Mr. Marshall Abbott reports

ARROW ANNOUNCES RECORD PRODUCTION AND IC-6 WELL RESULTS

Arrow Exploration Corp. has provided an update on operational activity at the Icaco field on the Tapir block in the Llanos basin of Colombia where Arrow holds a 50-per-cent beneficial interest.

Production

Current total corporate production is over 6,000 boe/d (barrels of oil equivalent per day), including production from the recently acquired Thorsby field in Alberta, Canada. This is a record high production rate for the company and reflects recent drilling successes, outstanding results from workovers and the Thorsby acquisition. Arrow believes it can continue to grow production from its prospect-rich inventory.

Cash balance

As of Sept. 1, 2026, after the Thorsby acquisition payment of $8.9-million (U.S.), the company's estimated cash balance is $21.8-million (U.S.). The company continues to enjoy a strong balance sheet while growing production and associated cash balance.

Icaco-6 well

The Icaco 6 well (IC-6) was spud on Aug. 19, 2026, and reached a total depth on Aug. 24, 2026. The IC-6 well encountered a fault and experienced lost circulation and associated drilling mud losses before reaching the target depth. Management, out of an abundance of caution, made the decision to case the well prematurely and complete it as a much-needed, water disposal well. The additional water disposal capacity will have a very positive impact on reducing operating costs.

Log analysis in the IC-6 well shows that the well encountered 6.5 feet MD (four feet TVD) of net pay in the Carbonera C7 formation (C7) and five feet MD (three feet TVD) of net pay in the Guadalupe formation with management encouraged with reservoir quality. The well was terminated before it reached the Gacheta and Ubaque formations.

Forward drilling plans

The IC-7 well was spudded on Sept. 1 and will be a vertical well with C7, Gacheta and Ubaque targets.

Tapir extension

Arrow continues constructive discussions with regulatory bodies on the Tapir extension. The recent presidential election resulted in a forward looking Government that is pro-business. In line with President De La Espriella's vision to increase Colombia's oil and gas development, Arrow is looking forward to being a part of the president's vision.

Marshall Abbott, chief executive officer of Arrow, commented:

"Arrow is very proud to surpass the 6,000 boe/d threshold. The additional production from drilling and workovers highlights the continued operational success the company has had on the Tapir block. The multizone quality of the Icaco discovery, and its commensurate production rates, have surpassed initial expectations.

"Arrow is building another five cellars on the Icaco pad, bringing the total number to 15, to continue drilling C7, Gacheta and Ubaque wells.

"Although the IC-6 well was terminated sooner than expected due to encountering a fault, we were able to quickly pivot and complete the well as a water injector in a cost-effective manner which will significantly help water handling and production efficiency at Icaco. Meanwhile, the best production wells in the Icaco block have paid out in less than two months and production continues to be strong from these wells.

"The company continues to experience strong netbacks. This adds significant value and materially strengthens our balance sheet. We look forward to updating our shareholders on further progress at Icaco over the coming months."

About Arrow Exploration Corp.

Arrow Exploration (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 underexploited, underexplored 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. By way of a private commercial contract with the recognized interest holder before Ecopetrol S.A., Arrow is entitled to receive 50 per cent of the production from the Tapir block. The formal assignment to the company is subject to Ecopetrol's consent. Arrow's seasoned team is led by a hands-on executive team supported by an experienced board. Arrow is listed on the Alternative Investment Market of the London Stock Exchange and on TSX Venture Exchange under the symbol AXL.

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. Mr. Carnie was formerly a member of the Canadian Society of Petroleum Geologists, holds a BSc in geology from the University of Alberta, and has over 35 years of experience in the oil and gas industry.

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