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Alvopetro Announces Record Sales Volumes

MWN-AI** Summary

Alvopetro Energy Ltd. (TSXV: ALV, OTCQX: ALVOF) has reported record sales volumes for December 2025, achieving an average of 2,826 barrels of oil equivalent per day (boepd), reflecting the company’s strong performance and growth trajectory. The December figures indicate that sales in Brazil averaged 2,687 boepd, which included 14.9 million cubic feet per day (MMcfpd) of natural gas, 183 barrels of natural gas liquids (NGLs) from condensate, and 21 barrels of oil. Additionally, the company reported an average of 139 barrels of oil per day from Canada.

This notable achievement contributes to a Q4 2025 sales volume of 2,867 boepd, marking a 22% increase compared to Q3 2025 and establishing a new quarterly sales record for Alvopetro. Moreover, the average sales volume for the entirety of 2025 reached 2,524 boepd—up 41% from the previous year, showcasing a solid growth trend.

Alvopetro’s production derives primarily from its strategic assets, particularly the Caburé and Murucututu natural gas fields in Brazil. The company has also outlined a balanced capital allocation strategy aimed at reinvesting half of its cash flows into growth opportunities while distributing the remaining half to stakeholders. This approach demonstrates Alvopetro’s commitment to enhancing its operational efficiency and expanding its presence in both Brazil and Canada.

For further details, investors and stakeholders can access Alvopetro's updated corporate presentations and follow their latest developments through their official website and social media profiles.

MWN-AI** Analysis

Alvopetro Energy Ltd. has recently announced a remarkable increase in its sales volumes, achieving a new quarterly record of 2,867 barrels of oil equivalent per day (boepd) for Q4 2025, marking a 22% increase from Q3 2025 and a 41% jump from 2024. This surge in performance is driven primarily by the company's robust operations in Brazil, particularly from its Caburé and Murucututu natural gas fields, which collectively accounted for nearly 15 million cubic feet of natural gas sales per day in December.

From a market perspective, this growth indicates that Alvopetro is effectively leveraging its assets and efficiently scaling production amidst a global energy landscape that's increasingly favoring natural gas over traditional fossil fuels. With escalating energy prices and heightened demand for cleaner energy alternatives, Alvopetro's focus on natural gas and associated liquids positions it favorably for sustained profitability.

Investors should take note of the company’s balanced capital allocation model, which reinvests a significant portion of its cash flows into organic growth while also returning value to stakeholders. This approach not only ensures operational sustainability but also indicates a commitment to enhancing shareholder value, an attractive proposition for potential investors.

However, prospective investors should also consider the risks associated with the company’s reliance on Brazilian operations and the regulatory environment that can impact performance. The planned divestiture of certain oil fields could also influence future output and profitability metrics, depending on how these transactions are executed.

In summary, Alvopetro’s record sales volumes highlight a strong operational performance and growth potential in the natural gas sector. Investors may want to consider adding Alvopetro to their portfolios, but should carefully evaluate market conditions and regulatory changes that could affect future results.

**MWN-AI Summary and Analysis is based on asking OpenAI to summarize and analyze this news release.

Source: Canada Newswire

Canada NewsWire

CALGARY, AB, Jan. 6, 2026 /CNW/ - Alvopetro Energy Ltd. (TSXV: ALV) (OTCQX: ALVOF) announces December sales volumes of 2,826 boepd (based on field estimates). In Brazil, December sales averaged 2,687 boepd, including natural gas sales of 14.9 MMcfpd, associated natural gas liquids sales from condensate of 183 bopd and oil sales of 21 bopd. In Canada, December sales averaged 139 bopd. This brings our Q4 2025 sales volumes to 2,867 boepd, an increase of 22% over Q3 2025 and a new quarterly record for Alvopetro. 2025 sales volumes averaged 2,524 boepd, up 41% from 2024.

Natural gas, NGLs and crude oil sales:

December

2025

November

2025

Q4

2025

Q3

2025

Brazil:





      Natural gas (Mcfpd), by field:





      Caburé

9,833

9,881

9,653

8,735

      Murucututu

5,069

5,242

5,439

3,558

      Total natural gas (Mcfpd)

14,902

15,123

15,092

12,293

      NGLs (bopd)

183

163

184

147

      Oil (bopd) (1)

21

19

20

9

Total (boepd) – Brazil

2,687

2,702

2,719

2,205

Canada:





      Oil (bopd) – Canada

139

149

148

138

Total Company – boepd(2)

2,826

2,851

2,867

2,343

(1)

Oil sales volumes in Brazil relate to the Bom Lugar and Mãe da lua fields. Alvopetro has entered into an assignment agreement to dispose of the fields, the closing of which is subject to standard regulatory approvals, including approval of the ANP.

(2)

Alvopetro reported volumes are based on sales volumes which, due to the timing of sales deliveries, may differ from production volumes.

Corporate Presentation

Alvopetro's updated corporate presentation is available on our website at:
http://www.alvopetro.com/corporate-presentation

Social Media

Follow Alvopetro on our social media channels at the following links:

X - https://x.com/AlvopetroEnergy
Instagram - https://www.instagram.com/alvopetro/
LinkedIn - https://www.linkedin.com/company/alvopetro-energy-ltd

Alvopetro Energy Ltd. is deploying a balanced capital allocation model where we seek to reinvest roughly half our cash flows into organic growth opportunities and return the other half to stakeholders. Alvopetro's organic growth strategy is to focus on the best combinations of geologic prospectivity and fiscal regime. Alvopetro is balancing capital investment opportunities in Canada and Brazil where we are building off the strength of our Caburé and Murucututu natural gas fields and the related strategic midstream infrastructure.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.

Abbreviations:



boepd

=

barrels of oil equivalent ("boe") per day

bopd

=

barrels of oil and/or natural gas liquids (condensate) per day

Mcf

=

thousand cubic feet

Mcfpd

=

thousand cubic feet per day

MMcf

=

million cubic feet

MMcfpd

=

million cubic feet per day

NGLs

=

natural gas liquids (condensate)

BOE Disclosure

The term barrels of oil equivalent ("boe") may be misleading, particularly if used in isolation. A boe conversion ratio of six thousand cubic feet per barrel (6 Mcf/bbl) of natural gas to barrels of oil equivalence is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. All boe conversions in this news release are derived from converting gas to oil in the ratio mix of six thousand cubic feet of gas to one barrel of oil.

www.alvopetro.com
TSX-V: ALV, OTCQX: ALVOF

SOURCE Alvopetro Energy Ltd.

View original content: http://www.newswire.ca/en/releases/archive/January2026/06/c9691.html

FAQ**

What specific factors contributed to the 22% increase in Alvopetro Energy Ltd. ALV:CC's sales volumes in Q4 2025 compared to Q3 2025, and how might these factors influence future performance?

The 22% increase in Alvopetro Energy Ltd.'s sales volumes in Q4 2025 can be attributed to enhanced operational efficiencies, higher demand in key markets, and successful completion of strategic projects, potentially paving the way for sustained growth and improved profitability in future quarters.

How does Alvopetro Energy Ltd. ALV:CC plan to utilize its balanced capital allocation model to enhance organic growth opportunities within its Brazilian and Canadian operations?

Alvopetro Energy Ltd. plans to utilize its balanced capital allocation model by strategically investing in exploration and production initiatives to optimize operational efficiency and drive organic growth in both its Brazilian and Canadian assets.

What are the anticipated impacts of the assignment agreement to dispose of the Bom Lugar and Mãe da Lua fields on Alvopetro Energy Ltd. ALV:CC's overall sales volumes and financial performance moving forward?

The anticipated impacts of the assignment agreement to dispose of the Bom Lugar and Mãe da Lua fields on Alvopetro Energy Ltd.'s overall sales volumes and financial performance are expected to lead to a decrease in production levels and revenue, potentially enhancing focus on core assets.

Can you elaborate on the strategic significance of the Caburé and Murucututu natural gas fields for Alvopetro Energy Ltd. ALV:CC's future growth and capital investment strategy?

The Caburé and Murucututu natural gas fields are strategically significant for Alvopetro Energy Ltd.'s growth and capital investment strategy as they provide essential resources for enhancing production capacity, driving revenue growth, and positioning the company in the competitive Brazilian energy market.

**MWN-AI FAQ is based on asking OpenAI questions about Alvopetro Energy Ltd. (TSXVC: ALV:CC).

Alvopetro Energy Ltd.

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