Mr. Majid Shafiq reports

I3 ENERGY PLC ANNOUNCES PUBLICATION OF 2022 ESG REPORT

i3 Energy PLC has published its 2022 ESG (environmental, social and governance) report on its website.

Highlights of 2022 environment, social and governance (ESG) report

Emissions reduction initiatives

• i3 is committed to being net zero for scope 11 and scope 22 emissions for its operated assets by 2050, with accelerated targets to be set following additional pathways analysis.
• Since 2021, during which period the scope and scale of i3's operations grew significantly and production by 23 per cent, the company managed to achieve a 4-per-cent reduction in its scope 1 and scope 2 emissions.
• Continued the successful efforts to reduce methane emissions -- completed the replacement of the company's entire inventory of hi-bleed pneumatic controllers with low bleed or instrument air and commenced the replacement of 400 pneumatic pumps on the assets acquired from Cenovus with solar powered electric pumps; once complete these initiatives in aggregate will reduce annual methane emissions by an estimated 64,600 tCO2e3, which is equivalent to circa 28 per cent of the company's total CO2e (carbon dioxide equivalent) emissions in 2022.
• Commenced electrification of well pumpjacks, completing 30 conversions in 2022 at the company's Carmangay and Retlaw properties, reducing emissions by 6,366 tCO2e annually.
• Reduced emissions from the company's extensive fleet of compressor engines by installing air-to-fuel gas gauges to optimize fuel efficiency and engine performance and converting rich burn engines to lean burn engines.

Emissions reporting:

• GHG scope 1 and scope 2 total emissions intensity for 2022 was 41 kilograms carbon dioxide equivalent (kgCO2e) per barrel of oil equivalent (boe), a 4-per-cent reduction on the 2021 level and below the average for Canadian conventional oil production and gas production and processing of 48.14 kgCO2e per barrel (bbl) and 42.04 kgCO2e per boe, respectively.
• In 2022, commenced an alternative fugitive emissions management program (launched in 2023), which uses a crewed aircraft equipped with laser technology to image methane emissions from the air, allowing more rapid and efficient repair operations, which could reduce fugitive methane leakage by more than 10 per cent across our operations.
• Invested in software to optimise field process data acquisition to pro-actively detect and repair leaks, track fugitive emissions and enhance reporting. When fully implemented across the company's portfolio, the software will assist in further reducing emissions.

Environment:

• i3 operates in jurisdictions with environmentally responsible operating contexts and world class regulations for all aspects of ESG, with currently circa 77 per cent of its production being gas and natural gas liquids.
• Abandonment and reclamation are continuing activities and, in 2022, 70 wells were abandoned, 37 well sites were decommissioned and nine reclamation certificates were received.
• The company had four reportable spills in 2022 (a 53 per cent reduction from 2021), all of which were rapidly cleaned up and remediated.

Social:

• Safety is a top priority for i3; there were no employee loss time injuries and only two contractor loss time injuries in 2022.
• The company is proud of its gender diversity with 26 per cent of employees being women.
• i3 has a continuing program of support, through charitable donations, to the communities in which it operates.

Governance:

• Established i3 Energy's ESG committee which reports to the chief executive officer and comprises a multidisciplinary team of senior leadership and subject matter experts across the organization, tasked with assessing and recommending policies, programs and practices that promote the company's ESG goals and long-term sustainability strategy.
• Established ESG-linked key performance indicators (KPIs), as well as monitoring leading and lagging indicators of safety.

Majid Shafiq, chief executive officer of i3 Energy, commented:

"Since 2021, during which period the scope and scale of our operations grew significantly and our production by over 23 per cent, we are very proud to say that multiple initiatives and company-wide efforts have managed to reduce our scope 1 and 2 emissions intensity by 4 per cent, and our emissions intensity remains below the average of our peers operating in Alberta on a CO2e/boe basis. This achievement is down to the strong oversight of our ESG committee, and especially to the skill, ingenuity, dedication and hard work of all our employees and the daily efforts of our operations teams in the office and at the field level. We look forward to the future with optimism, as we continue to responsibly grow a sustainable energy business serving the needs of the communities and countries in which we operate."

About i3 Energy PLC

i3 Energy is an oil and gas company with a low cost, diversified, growing production base in Canada's most prolific hydrocarbon region, the Western Canadian sedimentary basin and appraisal assets in the North Sea with significant upside.