Mr. Chayan Chakrabarty reports

BENGAL ANNOUNCES REFINANCING OF JOINT VENTURE PAYABLES LOAN

Bengal Energy Ltd. has entered into an agreement to refinance its joint venture payables loan, having an outstanding principal balance owing, as of Feb. 28, 2025, of $1.8-million (Australian), through a new loan agreement with Texada Capital Management Ltd., a company controlled by W.B. (Bill) Wheeler. Mr. Wheeler is a director of Bengal, and owns or controls (directly or indirectly) 398,679,364 common shares of Bengal, being approximately 82.2 per cent of the issued and outstanding common shares.

The joint venture loan has a term of 24 months, has monthly payments of $98,642 (Australian) and is secured by the company's working interest in the Barta joint venture. The interest rate on the joint venture loan is set at 5.0 per cent over the Westpac Bank bill swap rate and is compounded on a daily basis.

The Texada loan is in the principal amount of $1.7-million (Canadian), which amount will be used to repay the joint venture loan in full. The Texada loan has a maturity date of April 1, 2027, with interest only payable until the date of maturity. Interest is payable at the rate of 10 per cent per annum, payable quarterly. The Texada loan is secured by a security interest over all of Bengal's present and after acquired assets other than shares in its wholly owned subsidiary, Bengal Energy (Australia) Pty. Ltd. Bengal may at any time prepay the principal sum owing under the Texada loan, in whole or in part, without any notice or penalty to Texada, provided that any such prepayment shall be in a minimum amount of $200,000. Texada has the right to accelerate repayment of the Texada loan if, at any time, Mr. Wheeler (directly or indirectly through one more entities owned or controlled by Mr. Wheeler) ceases to own, in the aggregate, less than 51 per cent of the issued and outstanding voting shares in the capital of the corporation (on a basic basis).

"We are pleased to secure this refinancing with Texada as we believe it strengthens our financial position by reducing interest costs while maintaining financial flexibility for future growth," said Chayan Chakrabarty, president and chief executive officer of Bengal. "We believe this transaction reflects our pro-active approach to managing capital efficiently and positions us well to deliver value to our shareholders."

About Bengal Energy Ltd.

Bengal is an international junior oil and gas exploration and production company with assets in Australia. The company is committed to increasing shareholder value through international exploration, production and acquisitions. Bengal's common shares trade on the Toronto Stock Exchange under the symbol BNG.

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