Cavvy Energy (CVVY) Conference presentation summary

Operating profile

• TSX-listed producer with upstream and midstream assets concentrated in the Canadian foothills; Q2 2026 production was 21,497 boe/d and sulphur output averaged 984 mt/d.

• 2026 guidance: production of 22–23.5 kboe/d, sulphur output of 1.0–1.1 kmt/d, capital expenditures of $52–57MM, net operating income of $170–180MM and YE total debt of $75–85MM.

• Production capability of 33,000 boe/d, comprising 85% natural gas and 15% NGLs and condensate; ~9,200 boe/d and ~400 mt/d were shut in for economic or commercial reasons.

• Proved reserves totaled 196 MMboe; undeveloped acreage was 396K net and the PDP base decline rate was 5.9%.

Diversified revenue and infrastructure

• 2026 forecast gross revenue mix: hydrocarbon sales ~50%, sulphur sales ~40% and third-party volume handling ~10%.

• Three deep-cut gas processing facilities have aggregate capacity exceeding 400 MMcf/d, with associated sulphur recovery capacity of 4,600 mt/d.

• Approximately 80 MMcf/d of excess raw-gas processing capacity is available; full sulphur-processing utilization would require expanded gas processing and additional sour-gas throughput.

• Third-party processing provides fee-based revenue; midstream revenue was forecast at ~$45MM for 2026.

Sulphur market opportunity

• A 2027 agreement commits 200,000 mt, or 548 mt/d, at US$525/mt; remaining volumes receive Vancouver FOB spot pricing.

• The 2026 sulphur agreement prices one-third of volume at US$225/mt, one-third within a US$205/mt floor and US$250/mt cap, and one-third at Vancouver FOB spot; no fixed volume commitment applies.

• Sulphur prices were cited above US$800/mt, versus a stated long-term average of US$170/mt; the presentation links higher long-term price expectations to potential NAV upside.