Please stand by. We're about to begin. Good morning everyone, and welcome to the Tamarack Valley Energy conference call and webcast on Wednesday, March 2, 2023, discussing the recent Q4 2022 results press release. I would like to introduce today's speakers, Mr. Brian Schmidt, President and CEO, and Mr. Steve Buytels, Vice President, Finance and CFO. If you would like to ask a question today, please press star then the number one on your telephone keypad to join the queue. If you would like to withdraw your question, please press star two. Thank you. Mr. Schmidt, you may begin the conference.
Good morning. We're pleased to announce our 2022 audited year-end financial and operating results, along with the operating results of our year-end independent oil and gas reserves evaluation, which was prepared by GLJ. First, though, I want to start by thanking our employees, directors , and shareholders for all their support over the past year. 2022 represented a year of continued transformation and operational execution as we drove towards a goal of repositioning our business into the most profitable oil place in North America. Tamarack completed and integrated three material Clearwater acquisitions, successfully positioning the company as the largest public producer in the Clearwater oil play. Our ongoing development, combined with over CAD 1.7 billion of strategic net A&D transactions, resulted in a 59% increase in fourth quarter production relative to 2021.
At the same time, we achieved an uplift in our corporate oil weighting from 69% to 82%. I'll pass it over to Steve for a run -through for further details relating to the plan.
Thanks, Brian. 2022 was a record year for financial performance, which saw Tamarack generate CAD 727 million of after-tax adjusted funds flow and CAD 268 and a half million of free funds flow excluding acquisition expenditures, which enabled the implementation of a return of capital to shareholders and established a strong financial position that provided a foundation for the accretive and transformational 2022 acquisitions. We initiated a return of capital framework during the year. We were able to increase our base monthly dividend by 50% on the back of our successful ongoing development and highly accretive acquisitions through the year.
During the fourth quarter, we integrated the acquired Deltastream assets and delivered average production of 64,344 BOE a day, which came in ahead of the high end of our guidance range, despite the unexpected downtime owing to the extreme cold weather to end the year. Capital spending during the quarter was at the low end of guidance, totaling CAD 125 million. Full year 2022 production averaged 48,283 BOE a day on total capital expenditures of CAD 458 million, contributed to the drilling of 100 net Clearwater oil wells, 17.2 net Charlie Lake oil wells, 13 net Viking oil wells, and two net Cardium oil wells.
As part of our portfolio rationalization strategy, we disposed of a non-core asset consisting of 160 BOE a day of net production for over CAD 24 million during the quarter. In conjunction with our previously announced Viking non-core sale, had gross proceeds for the year of approximately CAD 94 million. During the year, Tamarack completed the first energy sustainability-linked bond in North America. As part of the Deltastream acquisition, we structurally transformed Tamarack's reserve-based revolving credit facility to a three-year senior secured, sustainability-linked revolving credit facility. Key priorities for us in 2023 will be debt repayment to advance or enhance return of capital framework for shareholders. Brian?
The ongoing positive impact of Tamarack's drilling program, combined with the Clearwater acquisitions, contributed significantly to our reserves growth in 2022. This further underscores the long-term resiliency and sustainability of free fund flow generation. Key highlights from our year-end reserve report include a 35% increase to our approved developed producing or PDP reserves, which replaced 210% of production. Of that, 118% was replaced organically through the drill bit. A 33% increase to our total approved plus probable or TPP reserves, which now total 242 million BOE. Before tax net present value of reserves discounted at 10% of CAD 5 billion on a TPP basis.
Our year-end year-over-year reserves net present value per BOE increased by 36% and 27% on a PDP and TPP basis, respectively, illustrating the value added as a result of our 2022 activity on both organic and acquisition basis. We're extremely proud of the way the Deltastream assets have enhanced our portfolio. The Deltastream acquisition assets outperformed our initial evaluation estimates by 27% on a PDP basis and 12% on a TPP basis. I'll pass it back to Steve Buytels.
With respect to our 2023 previously announced guidance, nothing changes. We're maintaining our prior CapEx and production guidance at CAD 425 million-CAD 470 million of expenditures, with production expected to range between 68,000-72,000 BOE a day, respectively. With respect to the CapEx, we have, you know, some pretty large infrastructure projects that have been announced with respect to the Charlie Lake gas plant, as well as the Nipisi Clearwater pipeline and terminal project, which will occur through midyear. These projects will drive lower OpEx and enhance netbacks long-term for the company. Brian? Oh, sorry. Looking at the commodity price performance.
While we continue to see volatility in the WCS and WTI markets, we have seen WCS heavy oil differentials move materially in our favor in recent weeks, providing a positive backstop to our outlook for 2023. We estimate an increase to our adjusted free funds flow of approximately $9 million on an annual basis for each dollar per barrel improvement in the WCS differential. Back to you, Brian Schmidt.
Operationally, we currently have eight drilling rigs running, including three in the Charlie Lake and five in the Clearwater. 1-24 Charlie Lake well, drilled in Q4 2022, continues to exceed expectations and ranks as one of the top-performing oil wells drilled in the play to date. Based on our field estimates for February, the 1-24 well produced 1,900 BOE per day of production, which 70% was liquids. At Marten Hills, we recently brought on three new extended reach wells on, and put them on stream at over 15-15 pad, which were drilled under our West Nipisi waterflood design, and it delivered recent production of over 700 bpd .
Combined production from Marten Hills and Canal averaged 16,300 BOE per day for the first three weeks of February, up from 15,100 BOE per day at the close of the acquisition. Nipisi year to date in 2023, we have released two oil wells, one multi-lateral injector, which we expect to run a 2-rig program here through spring breakup. By the end of the first quarter, Tamarack will have commenced injection into eight new West Nipisi wells, building on our strong waterflood pilot results on our 13-19 pilot. The producing well in the pilot, supported by three single-leg injectors, has delivered over 140,000 barrels of cumulative oil production in just 14 months and is currently producing over 400 bpd with a 15% water cut.
In support of ongoing development, expansion of our 15-22 oil battery is expected to be completed in Q4 2023. Volumes from this battery will be connected to a third-party pipeline where Tamarack holds an agreement for firm service. Once the battery is operational, 70% of Tamarack's Nipisi's oil production will be shipped via pipeline.
Tamarack continues to balance our near-term priorities with our long-term objectives to deliver on our return of capital framework and enhance our business value through the execution of our five-year plan. In 2023, we're making investments in critical infrastructure, which I highlighted, which provide for longer-term cost efficiency improvements, enhance reliability, and facilitate strategic execution of our development and exploration programs. Alongside that, investment in exploration to high grade and extend our future inventory of drilling opportunities , and the expansion of our waterflood program to support long life, low decline production are all designed to improve our profitability by growing our debt-adjusted free funds flow on a per share basis. I'll turn it back to Brian for some final comments.
Thank you, Steve. As we look ahead, I'm pleased to announce the appointment of Caralyn Bennett to our board of directors. Ms. Bennett is Executive Vice President and Chief Strategy Officer of GLJ, and she also serves as President of the Canadian Heavy Oil Association. Carolyn brings strong advisory experience in reserves and resource governance and contributes strategic expertise to business transformation, including sustainability, decarbonization, and energy diversification. 2022 represented a year where Tamarack truly transformed our business. That would not have happened without the support of our board of directors. With successful closing of three material and targeted Clearwater acquisitions and the divestment of two non-core assets, we've clearly defined ourselves as the leader in the Clearwater and Charlie Lake resource plays.
These outcomes re-reflect the successful execution of a strategic plan drafted three years ago to establish footholds in core areas and grow those through follow-on acquisitions and organic drill bit development. We look forward to continuing to develop our high-quality assets to create shareholder value in a sustainable, responsible way. I'll now turn it back to the moderator for questions.
Thank you. Ladies and gentlemen, if you have a question, it is star one on your telephone keypad. If you're using a speakerphone, please make sure your mute function is turned off to allow your signal to reach our equipment. Again, that is star one for any questions at this time. So far , I do not have any signal, but again, that was star one if you had a question or comment at this time. Ladies and gentlemen, I believe we may have been disconnected from the moderator. This will conclude our call for today. Thank you.