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Obsidian Energy Moves to Consolidate Belly River Position With $96 Million Asset Deal

Tipranks - Thu Jun 4, 10:04AM CDT

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Obsidian Energy ( (TSE:OBE) ) has provided an announcement.

On June 2, 2026, Obsidian Energy announced a cash acquisition of Belly River light oil assets in the Wilson Creek area of Willesden Green from Highwood Asset Management for a net $96 million, with closing targeted for around June 30, 2026. The deal adds about 2,500 boe/d of mainly light oil production, 35 net sections of land and 13.6 MMboe of 2P reserves, and includes a contingent value payment of up to $7 million tied to future WTI prices.

The transaction consolidates Obsidian’s position as the largest Belly River producer, increases its Willesden Green land base to roughly 290 net sections and lifts expected pro forma 2026 corporate output to about 31,400 boe/d. Management expects the immediately accretive deal to enhance funds flow, deepen the company’s drilling inventory to more than 100 net Belly River locations and support a multi-year growth plan in Willesden Green while maintaining net debt to funds from operations at about 1.1 times by year-end 2026.

The most recent analyst rating on (TSE:OBE) stock is a Buy
with a C$19.00 price target.
To see the full list of analyst forecasts on Obsidian Energy stock,
see the TSE:OBE Stock Forecast page.

Spark’s Take on OBE Stock

According to Spark, TipRanks’ AI Analyst, OBE is a Neutral.

The score is held back primarily by weakening financial performance and negative free cash flow, with additional uncertainty from a negative P/E. These are partially offset by strong technical momentum, with price trading well above key moving averages and positive MACD.

To see Spark’s full report on OBE stock,
click here.

More about Obsidian Energy

Obsidian Energy Ltd. is an intermediate-sized oil and gas producer focused on exploring for, developing and operating oil and natural gas properties and related infrastructure in the Western Canada Sedimentary Basin. The company holds a balanced portfolio of high-quality assets, primarily in the Peace River, Willesden Green and Viking areas of Alberta, and its shares trade on the Toronto Stock Exchange and NYSE American under the symbol OBE.

Average Trading Volume: 453,560

Technical Sentiment Signal: Buy

Current Market Cap: C$1.15B

For a thorough assessment of OBE stock, go to TipRanks’ Stock Analysis page.

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