Mr. Marshall Abbott reports

ARROW ANNOUNCES MAIDEN CARRIZALES NORTE RESERVES CORPORATE ECONOMIC 1P, 2P AND 3P RESERVES DOUBLED

Arrow Exploration Corp. has released the results of its maiden Carrizales Norte (CN) reserves evaluation by Boury Global Energy Consultants Ltd. (BouryGEC) as at Aug. 31, 2023.

All reserves volume figures stated below are solely at the discovery on the CN field on the Tapir Block in the Llanos Basin of Colombia where Arrow holds a 50 per cent beneficial interest. The company's other assets in the Tapir Block, Rio Cravo Este (RCE) and its other license interests, Columbia and Canada, have not formed part of this evaluation.

All reserves volume figures stated below are on a Working Interest Gross Reserve basis. Currency amounts are in United States dollars, unless otherwise indicated.

Highlights

• - CN Proved ("1P") reserves:
  • 1.82 million barrels of oil ("MMbbls"),
  • Net present value before tax, discounted at 10 per cent ("NPV-10") is $71.2 million for 1P reserves.
• - CN Proved plus Probable ("2P") reserves:
  • 3.92 MMbbls,
  • NPV-10 is $143.5 million for 2P reserves.
• - CN Proved plus Probable plus Possible ("3P") reserves:
  • 6.62 MMbbls,
  • NPV-10 is $244.1 million for 3P reserves.
• - Before tax NPV-10 per share of US$0.14/share, US$0.39/share, and US$0.63/share for 1P, 2P, and 3P reserves categories, respectively;
• - BouryGEC post-tax NPVs impacted by changes in Colombian tax regime in the year and exclude the effect of corporate tax shelters (further detail below).

CEO Commentary

Marshall Abbott, CEO of Arrow, commented: "The Carrizales Norte field is a material discovery for Arrow as the reserves report confirms. The Carrizales Norte reserves have doubled the 1P, 2P and 3P total reserves and value of Arrow. We are pleased with the results of the BouryGEC reserves evaluation, which reinforces the significant value of our Carrizales Norte asset at Tapir."

"The 3D program on the west of the Tapir block completed this year has also helped further develop prospects that we feel could show results similar to the Carrizales Norte and Rio Cravo Este fields. The company plans to explore these prospects in the coming months and years."

Carrizales Norte Maiden Reserves Summary as at August 31, 2023

Management has presented below a summary of Arrow's CN reserves as at August 31, 2023, on a Working Interest Gross Reserves basis (see glossary of terms), which have been taken from and reconcile directly to the reserves report prepared by BouryGEC, an independent qualified reserves evaluator. The figures in the following tables have been prepared in accordance with the standards contained in the most recent publication of the Canadian Oil and Gas Evaluation Handbook (the "COGEH") and the reserve definitions contained in National Instrument 51-101 - Standards of Disclosure for Oil and Gas Activities ("NI 51-101"). In addition to the summary information disclosed in this announcement, more detailed information will be included in Arrow's CN reserves evaluation for the date ended August 31, 2023 to be filed on SEDAR (www.sedar.com) and posted on Arrow's website (www.arrowexploration.ca).

After tax values have been calculated without taking into account the tax shelter created by capital spending on projects that do not have reserve values associated with them, such as the Tapir 3D seismic project and annual G&A. Spending on these projects will provide tax shelter and result in a reduction of tax in the future.

Qualified Person's Statement

The technical information contained in this announcement has been reviewed and approved by Grant Carnie, senior non-executive director of Arrow Exploration Corp. Mr. Carnie is a member of the Canadian Society of Petroleum Engineers, holds a B.Sc. in Geology from the University of Alberta and has over 35 years of experience in the oil and gas industry.

The recovery and reserve estimates provided in this news release are estimates only, and there is no guarantee that the estimated reserves will be recovered. Actual reserves may eventually prove to be greater than, or less than, the estimates provided herein. In certain of the tables set forth above, the columns may not add due to rounding.

Cautionary Statement

The estimates of reserves and future net revenue for individual properties may not reflect the same confidence level as estimates of reserves and future net revenue for all properties, due to the effects of aggregation.

This press release contains various references to the abbreviation "BOE" which means barrels of oil equivalent. Where amounts are expressed on a BOE basis, natural gas volumes have been converted to oil equivalence at six thousand cubic feet (Mcf) per barrel (bbl). The term BOE may be misleading, particularly if used in isolation. A BOE conversion ratio of six thousand cubic feet per barrel is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.

About Arrow Exploration Corp.

Arrow Exploration Corp. (operating in Colombia via a branch of its 100 per cent owned subsidiary Carrao Energy S.A.) is a publicly traded company with a portfolio of premier Colombian oil assets that are under-exploited, under-explored and offer high potential growth. The company's business plan is to expand oil production from some of Colombia's most active basins, including the Llanos, Middle Magdalena Valley (MMV) and Putumayo Basin. The asset base is predominantly operated with high working interests, and the Brent-linked light oil pricing exposure combines with low royalties to yield attractive potential operating margins. Arrow's 50 per cent interest in the Tapir Block is contingent on the assignment by Ecopetrol SA of such interest to Arrow. Arrow's seasoned team is led by a hands-on executive team supported by an experienced board. Arrow is listed on the AIM market of the London Stock Exchange and on TSX Venture Exchange under the symbol "AXL".

We seek Safe Harbor.