Dr. David Winter reports

HORIZON PETROLEUM LTD. CLOSES A SECOND TRANCHE OF CONVERTIBLE DEBENTURE UNIT OFFERING

Subject to TSX Venture Exchange acceptance, Horizon Petroleum Ltd. has closed a second tranche of 100 secured convertible debenture units of the company at a price of $1,000 per unit, for aggregate gross proceeds of $100,000. One investor subscribed for the financing.

The debentures bear interest from the applicable issuance date at 15 per cent per annum until the date that is 24 months following the closing date with interest paid annually in arrears. The debentures will be second position secured behind the $720,000 of debentures issued on May 20, 2025, and due May 20, 2026.

Each holder of a secured convertible debenture unit shall have the right, at its option, at any time up to and including the maturity date, to convert any or all of the secured convertible debenture units into equity units on the basis of each $1,000 principal amount for: (i) 10,000 common shares of the corporation issued at 10 cents per common share; and (ii) 5,000 common share purchase warrants, with each warrant exercisable until 36 months from closing the debentures into one common share at a price of 15 cents.

In connection with the tranche, the company paid finders' fees of $7,000 in cash and 70,000 finders' warrants with an exercise price of 10 cents per warrant with an expiry date of Dec. 24, 2027.

The company intends to use the proceeds from the offering for general corporate purposes.

All securities issued under the offering, including securities issuable on exercise thereof, are subject to a hold period expiring four months and one day from the date hereof.

The offering is subject to certain conditions, including, but not limited to, the receipt of all necessary approvals, including the approval of the TSX Venture Exchange. The financing was treated as a loan with bonus warrants by the TSX Venture Exchange.

About Horizon Petroleum Ltd.

Calgary-based Horizon is focused on the appraisal and development of conventional oil and natural gas resources, onshore Europe. The management and board of Horizon consist of oil and natural gas professionals with significant international experience.

We seek Safe Harbor.