The quarter is a record. Late August is still a completion date
Kelt (TSX: KEL) reported second-quarter 2026 results on August 6. Production averaged 50,388 boe/d, up 30 percent from a year earlier: 11,812 barrels of oil, 7,669 barrels of NGLs, and 185.4 MMcf/d of gas. Liquids were 39 percent. Sales were $222.2 million. Adjusted funds from operations were $108.7 million, or $0.53 a diluted share. Net income was $44.7 million. Capital net of A&D was $137.9 million. Net debt was $242.1 million, 0.6 times the company's US$79.50 WTI / C$1.75 AECO funds-flow forecast of $410 million for the year.
Realized oil was $131.65 a barrel, 102 percent of the Canadian-dollar WTI print. Gas was $2.14 per Mcf, 31 percent over AECO daily, and still down 8 percent from last year. Sulphur added $9.2 million: 110 long tons a day at $919.44 a long ton. That is a by-product cheque, not a gas-price story.
IP30s are not the 7-8 pad
At Wembley/Pipestone, 12 Montney wells from the 6-9, 11-34, and 16-26 pads are on. The 6-9 four-well pad averaged 1,046 boe/d IP30 per well, 57 percent liquids. The 11-34 four-well pad averaged 1,043 boe/d IP30 per well, 67 percent liquids. Both beat last year's independent-engineer type curves. Five wells off 7-8 were still completing and were aimed at late August. Three more D3/D4 wells and two D2 wells are the rest of the year at Wembley. Pouce Coupe/Progress still has four drills and six completions in the second half. Full-year volumes stay 50,000 to 52,000 boe/d. Third-party downtime is in the note. Guidance did not go up.
Neutral read
KEL is on the listed producer list. Banks were skipped. 50,388 boe/d and $131.65 oil are the prints. The 7-8 pad is a late-August start, not a second-quarter volume. Watch whether those five wells actually come on, whether 50,000 to 52,000 holds through third-party outages, and whether $2.14 gas stays a leftover after the oil cheque.