Mr. Mike Maguire reports

HIGH ARCTIC ANNOUNCES COMPLETION OF PREVIOUSLY ANNOUNCED REORGANIZATION AND INTENTION TO ANNOUNCE 2024 SECOND QUARTER RESULTS

High Arctic Energy Services Inc. has completed its previously announced reorganization of High Arctic to separate the corporation's North American and Papua New Guinea businesses, by way of a court-approved plan of arrangement between the corporation and High Arctic Overseas Holdings Corp. (SpinCo).

Pursuant to the arrangement, among other things:

• High Arctic transferred all of the outstanding ordinary shares of High Arctic Energy Services Cyprus Ltd., the subsidiary that owns and operates the corporation's Papua New Guinea focused energy service business, to SpinCo.
• Each shareholder of the corporation received as consideration one-quarter of one common share of SpinCo and one-quarter of one common share of postarrangement High Arctic for each common share of High Arctic held.
• SpinCo became a reporting issuer in Alberta, British Columbia, Manitoba, Ontario and Saskatchewan, will be listed on the TSX Venture Exchange, and will trade under the trading symbol HOH.
• High Arctic retained its interests in its existing North American energy service business and remains listed on the Toronto Stock Exchange and continues to trade under the trading symbol HWO.

The corporation has received conditional approval to list the new High Arctic common shares on the TSX and conditional approval to list the SpinCo common shares on the TSX Venture Exchange. Final listing approval will be subject to the corporation and SpinCo satisfying all of the listing conditions of the TSX and the TSX-V, respectively. The corporation will announce by way of a further press release the date on which trading of the New High Arctic shares and SpinCo common shares will commence, which is expected to be by the end of this week.

Following the completion of the arrangement, High Arctic has 12,448,166 new High Arctic common shares outstanding, and SpinCo has 12,448,166 SpinCo common shares outstanding. Further details regarding SpinCo are contained in SpinCo's TSX-V Form 2B (Listing Application), which will be available under SpinCo's profile on SEDAR+.

Shareholders who hold their common shares through an intermediary (that is, broker) will receive the consideration payable to them pursuant to the arrangement through their broker or other intermediary. Such non-registered shareholders should contact their intermediary for instructions and assistance in receiving the arrangement consideration.

Registered shareholders will be required to file a letter of transmittal with Odyssey Trust Company to receive the consideration to which they are entitled. Registered shareholders of record on May 13, 2024, should have received a letter of transmittal by mail. Registered shareholders requiring assistance to exchange their common shares may contact Odyssey Trust Company assistance at 1-888-290-1175 (toll-free).

The arrangement was approved by shareholders, along with a distribution of 76 cents per share to its shareholders by way of a return of capital, and other matters, at the annual general and special meeting held on June 17, 2024. The return of capital was paid to shareholders on July 17, 2024.

Upon the completion of the arrangement, SpinCo will have positive working capital of approximately $19-million (U.S.) inclusive of $13-million (U.S.) cash on hand, and High Arctic will have positive working capital of approximately $5-million inclusive of $4-million cash on hand.

For more information on the arrangement and the return of capital, please see the management information circular of the corporation dated May 9, 2024, and news releases dated May 11, 2024, May 21, 2024, May 29, 2024, June 12, 2024, June 18, 2024, June 27, 2024, June 28, 2024, July 31, 2024, and Aug. 2, 2024, available on the corporation's SEDAR+ profile.

Further, High Arctic intends to release its second quarter 2024 results on Wednesday, Aug. 14, 2024, after the close of market trading and has scheduled a conference call to begin at 3 p.m. MT (5 p.m. ET) on Thursday, Aug. 15, 2024.

The conference call dial-in numbers are 1-800-898-3989 or 416-340-2217, and the participant passcode is 7163931 followed by the number sign.

Participants joining from outside of North America can find international dial-in numbers on-line.

An archived recording of the conference call will be available approximately two hours after the call ends by dialling 1-800-408-3053 and entering passcode 2379636 followed by the number sign, and will remain available until Sept. 15, 2024. An audio recording of the conference call will also be available within 24 hours on High Arctic's website.

The corporation's second quarter interim financial statements and management's discussion and analysis will be posted to High Arctic's website and SEDAR+ after the results are released, which is expected to be after market close on Aug. 14, 2024.

About High Arctic Energy Services Inc.

High Arctic is an energy service provider. High Arctic provides pressure control equipment and equipment, supporting the high-pressure stimulation of oil and gas wells and other oil field equipment on a rental basis, to exploration and production companies, from its bases in Whitecourt and Red Deer, Alta.

We seek Safe Harbor.