Mr. Craig Blackwood reports

ADVANTAGE ANNOUNCES SECOND QUARTER 2023 FINANCIAL AND OPERATING RESULTS

Advantage Energy Ltd. has released its second quarter 2023 results, including continued strong well performance and a successful major planned production outage while net debt (1) remained on target. Development operations continued at a steady pace with a focus on liquids-weighted assets at Wembley, Valhalla and Progress.

Second Quarter 2023 Financial Highlights

• Cash provided by operating activities of $38.0 million
• Adjusted funds flow ("AFF")a of $52.4 million or $0.31 per sharea
• Cash used in investing activities was $88.4 million
• Net capital expendituresa were $64.9 million
• Net income of $2.2 million or $0.02 per share
• Repurchased 1.9 million shares at a cost of $14.2 million ($7.45/share average)

Second Quarter 2023 Operational Highlights

• Quarterly production of 51,842 boe/d (272.9 MMcf/d natural gas and 6,355 bbls/d liquids), an 11% decrease from the first quarter of 2023 primarily due to the planned turnaround at the Glacier Gas Plant, with minor impacts from certain unplanned disruptions including wildfires
• Quarterly liquids production of 6,355 bbls/d (2,801 bbls/d crude oil, 871 bbls/d condensate and 2,683 bbls/d NGLs), on-track to grow annually by more than 20% as compared to 2022
• At Glacier, winter program gas wells delivered an average IP30 of 14.3 MMcf/d
• The Glacier Gas Plant expansion to 425 MMcf/d capacity was completed, with peak gas rates having now exceeded 410 MMcf/d (raw)
• At Wembley, winter program wells delivered an average IP30 of 1,572 boe/d (3.4 MMcf/d natural gas, 649 bbls/d crude oil and 353 bbls/d NGLs), including Advantage's first D4 well (IP30 of 2,107 boe/d including 4.5 MMcf/d natural gas, 1,026 bbls/d crude oil and 333 bbls/d NGLs). Three additional Wembley D3 wells remain behind pipe with production expected to begin in August.

(1) Specified financial measure which is not a standardized measure under International Financial Reporting Standards ("IFRS") and may not be comparable to similar specified financial measures used by other entities. Please see "Specified Financial Measures" for the composition of such specified financial measure, an explanation of how such specified financial measure provides useful information to a reader and the purposes for which Management of Advantage uses the specified financial measure, and where required, a reconciliation of the specified financial measure to the most directly comparable IFRS measure.

Marketing Update

Advantage has hedged approximately 24% of its forecast natural gas production for summer 2023 and 16% for winter 2023/24. As part of our ongoing efforts to expand our natural gas export capacity and reduce concentration risk, Advantage successfully acquired 61 MMcf/d of new long-term Empress capacity commencing April 2026.

Looking Forward

To maximize shareholder value, Advantage remains focused on growing AFF per sharea through organic growth and share repurchases. Advantage's three-year plan is to deliver compound annual production growth of approximately 10% with annual capital spending between $250 million and $300 million. All free cash flowa is planned to be returned to shareholders via share buybacks with our net debta target between $170 million and $230 million (excludes Entropy Inc., a subsidiary of Advantage).

Advantage's 2023 capital guidance remains between $250 million and $280 million. Production guidance for 2023 remains between 59,000 boe/d and 62,500 boe/d, with operational outperformance partially offset by unplanned events including third-party pipeline restrictions. During the major turnaround at the Glacier Gas Plant in May 2023, two unplanned maintenance issues arose that extended the outage by three days, impacting second quarter production by an additional 2%. Production growth is planned to resume in the second half of 2023.

With modern, low emissions-intensity assets and ownership of 85% (2) of Entropy Inc., the Corporation continues to proudly deliver clean, reliable, sustainable energy, contributing to a reduction in global emissions by displacing high-carbon fuels. Advantage wishes to thank our employees, Board of Directors and our shareholders for their ongoing support.

Below are complete tables showing financial and operating highlights.

(2) Advantage currently owns 90% of Entropy's common shares. Assuming Brookfield Global Transition Fund's currently-held unsecured debentures are exchanged for common shares according to the terms of the investment agreement, Advantage will own 85% of Entropy's common shares.

The Corporation's unaudited consolidated financial statements for the three and six months ended June 30, 2023 together with the notes thereto, and Management's Discussion and Analysis for the three and six months ended June 30, 2023 have been filed on SEDAR Plus and are available on the Corporation's website. Upon request, Advantage will provide a hard copy of any financial reports free of charge.

We seek Safe Harbor.