Mr. Corey Ruttan reports

ALVOPETRO ANNOUNCES MARCH 2024 SALES VOLUMES AND AN OPERATIONAL UPDATE

Alvopetro Energy Ltd. has released its March, 2024, sales volumes and an operational update.

March, 2024, sales volumes

March sales volumes averaged 1,911 barrels of oil equivalent per day, including natural gas sales of 10.9 million cubic feet per day, associated natural gas liquids sales from condensate of 86 barrels of oil per day and oil sales of eight bopd, based on field estimates. March volumes increased by 29 per cent from February. Its first quarter sales averaged 1,701 compared with 2,143 boe/d in fourth quarter 2023. Q1 production was impacted by reduced nominations from its offtaker, Bahiagas, in January and February. Demand resumed in March; however, lower natural gas nominations of approximately 8.9 MMcfpd are anticipated for April.

Operational update

Its coming capital projects are focused on optimizing production from its three existing wells on its Murucututu natural gas field. On its 183-A3 well, it has concluded production logging operations and plans to proceed with the initial completion of the upper two higher-porosity Caruacu intervals (Sequence 6.4) of the wellbore. It also plans to recomplete the Caruacu Sequence 6.2 in the 183-1 wellbore. It is also planning a chemical injection operation at 197-1 to enhance productivity in the Gomo formation. This work is all scheduled to be done in the second quarter.

Alvopetro's vision is to become a leading independent upstream and mid-stream operator in Brazil. Its strategy is to unlock the onshore natural gas potential in the state of Bahia in Brazil, building off the development of our Cabure natural gas field and its strategic mid-stream infrastructure.

We seek Safe Harbor.