Tourmaline highlights Montney growth, cost reductions in Q3 update

FORT ST. JOHN, B.C. — Tourmaline Oil credited continued growth and cost reductions at its Montney operations in northeast B.C. in helping with strong third-quarter results.

The Calgary-based company has released it’s third-quarter financial results for 2025, which reported average production of 634,746 barrels of oil equivalent per day (boepd) and highlighted improved performance at its Montney wells north of Fort St. John, where output is 26 per cent higher than the five-year average.

Corporate operating costs fell to $4.80 per barrel of oil equivalent (boe) in the quarter, down seven per cent from earlier this year.

Once the Montney build-out is fully complete, Tourmaline expects to cut combined operating and transportation costs by at least $1 per boe over the next six years.

The NEBC Montney build-out is a multi-year expansion of pipelines, processing facilities and drilling programs across its northeast B.C. assets.

Tourmaline reported it drilled 68 wells and completed 88 during the quarter, from July to September, with plans for 370 new wells in 2026 across its Alberta Deep Basin, Peace River High and NEBC Montney complexes. 

The company is also exploring the sale of its Peace River High light oil and gas assets, with proceeds potentially redirected toward higher-margin growth in the Montney basin.

The company also announced new LNG-linked gas supply contracts and a 10-year gas storage agreement with AltaGas at the Dimsdale facility near Grande Prairie, which begins in April 2026.

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