Work planned at C-2 and C-1
In an interview with Proactive's Stephen Gunnion, Lower outlined plans to re-enter the C-2 discovery well, drill a sidetrack at C-1 and conduct about 40 kilometers of seismic surveying. The financing would support that work, and he said the seismic program could begin shortly.
The survey will also inform Dune's assessment of a possible exploration well in southern M47, where the company hopes to find a second discovery. Lower identified well results, the conversion of resources into reserves and further exploration as key developments to watch over the next six to eight months.
Dune says both C-1 and C-2 encountered significant net oil pay containing 32.4° API light oil. Neither well, however, has flow tested the Mardin reservoir. The company cautions that pay estimates derived from logs do not necessarily indicate how a well or reservoir will perform.
Financing terms and payment commitments
A company release carried by The Globe and Mail describes the offering as a brokered, best-efforts private placement under the listed issuer financing exemption, or LIFE. Dune is offering units at C$0.10 each to raise up to C$8.3 million. Each unit includes one common share and one warrant, exercisable at C$0.125 for 36 months.
Research Capital Corporation is the lead agent and sole bookrunner, working alongside Canaccord Genuity Corp. The offering is expected to close on or about November 13, 2026, subject to conditional approval from the Canadian Securities Exchange.
Dune also has near-term commitments under its revised farm-in agreement, announced October 15, 2026. It has advanced US$200,000 to start the 2026 seismic program and agreed to provide another US$4.1 million by November 15, 2026, for the initial 2027 post-seismic work program. The next payment after that is not due until November 15, 2027.
Resources and the path to reserves
Lower cited a third-party reserve report that put the chance of commerciality at 80%. He said sustained production from the existing discoveries would be essential to establishing M47's commercial potential and converting contingent resources into proven reserves.
An independent NI 51-101 evaluation by Chapman Hydrogen and Petroleum Engineering Ltd., effective December 31, 2025, estimated the M47 North prospect's best-estimate, or 2C, contingent light oil resource at 27,641 thousand barrels (27.6 MMbbl), attributable to Dune's 29% working interest before royalties. After the 12.5% government royalty, the estimate is 24,186 thousand barrels.
The evaluation assigned that interest an unrisked, before-tax net present value discounted at 10% (NPV10) of US$733.5 million. Its risk-adjusted value was US$594.2 million.
Ownership and regional setting
Dune is earning its 29% working interest in M47's C3 and C4 licenses by funding US$15 million of work in two tranches across 2026 and 2027. According to Crux Investor, license holder Derkim has a 51% interest tied to a US$7 million commitment, while local driller and farm-in partner GYP holds 20% against a commitment of US$8 million to US$9 million.
The roughly 450-square-kilometer block is in southeastern Türkiye's Cudi-Gabar petroleum province. About 11 kilometers to its northwest is the Şehit Aybüke Yalçın field, which Dune describes as Türkiye's largest onshore light oil discovery. That field produces from the same Beloka and Mardin Group carbonate reservoirs found at M47.
For regional context, Dune cited an August 6, 2026, statement from Türkiye's Ministry of Energy and Natural Resources reporting that Cudi-Gabar production had risen from virtually zero to a record 83,300 barrels per day in about five years. The ministry reported cumulative production of more than 50 million barrels from seven fields since 2021. Dune has no interest in those fields and has not independently verified the figures.
Debt settlement
Separately, Dune has agreed to settle a loan with TR1 Master Fund dating to July 1, 2023. The agreement provides for the retirement of US$3,681,350 in debt and a US$2,977,125 net gain on settlement. Dune expects to make the settlement payment no later than November 30, 2026.
