Obsidian Energy Lowers 2026 Heavy Oil Production Guidance
The producer reduced its 2026 heavy oil production estimate to 11,700 bbl/d from a previous midpoint of 11,800 bbl/d.
Obsidian Energy Ltd. (OBE), an intermediate-sized oil and gas producer in Alberta, lowered its 2026 production guidance for heavy and light oil. The company updated its heavy oil production estimate to 11,700 bbl/d, down from a previous guidance midpoint of 11,800 bbl/d. Light oil production guidance also decreased to 7,000 bbl/d from 7,300 bbl/d.
These reductions were offset by increases in other product categories. Natural gas production guidance rose to 48.6 mmcf/d from 46.8 mmcf/d, and NGLs guidance increased to 2,100 bbl/d from 2,000 bbl/d. Total production guidance remained unchanged at 28,900 boe/d.
Drilling activity continued through the start of the year, with the final well of the 2025 program rig released on January 2, 2026. The company reported 65 total operated wells, including 14 in the H2 Willesden Green (Belly River) area and 3 in the H2 Willesden Green (Cardium) area.
Obsidian Energy expects to drill one operated water source well in 2026. The company also plans to participate in nine non-operated wells, representing 4.0 net wells. One of 10 added Clearwater injector wells is expected to be rig released in early 2027.