Mr. Alex Verge reports

JOURNEY ANNOUNCES SECOND QUARTER 2023 FINANCIAL AND OPERATING RESULTS

Journey Energy Inc. has released its financial and operating results for the three- and six-month periods ended June 30, 2023. The complete set of financial statements and management's discussion and analysis for the periods ended June 30, 2023, and 2022, is posted on SEDAR+ and on the company's website.

Second quarter 2023 highlights:

• Increased daily sales volumes by 29 per cent to 12,400 barrels of oil equivalent per day in the second quarter of 2023 from 9,590 boe/d in the second quarter of 2022; six months ended June 30 sales volumes increased 40 per cent year over year;
• Generated adjusted funds flow of $11.3-million or 18 cents per basic share and 17 cents per diluted share;
• Produced 6,830 megawatts of electricity at Journey's power generation facility in Countess, Alta., at an average price of $181.67 per megawatt-hour;
• Completed the purchase of the 16.5-megawatt power plant in Mazeppa, Alta., on April 28; following the purchase of Mazeppa, Journey also completed the purchase of the land the facility resides on and has entered into an agreement to purchase the sales pipeline delivering supply gas to the power plant from a nearby Atco meter station;
• Completed a farm-in agreement with a freehold mineral owner in the Gilby area of Alberta; this farm-in, combined with Journey's existing acreage, will give the company access to approximately 50 contiguous, gross sections for Duvernay development drilling; the lands are held on a four-year primary term with an option to enter into a secondary term for an additional three years.

Subsequent highlights:

• Began breaking ground on the construction of its power facility in Gilby, Alta., in pursuit of an early 2024 start-up date;
• Entered into agreements for two non-core divestments for aggregate proceeds of $3-million; these divestments closed in July.

Outlook and guidance

This guidance incorporates many material underlying assumptions, including, but not limited to:

• Forecasted commodity prices by month;
• Assumptions of VTB principal payments as principal repayments are based upon realized commodity prices;
• Forecasted operating costs, including forecasted prices for power;
• Forecasted costs for the capital program;
• Forecasted results and phasing of production additions from the capital program.

Journey has embarked on a careful and prudent expansion of its business plan to expand the company profitably. This includes executing on acquisitions, of which the timing can be unpredictable and, when executed on, can defer drilling plans. The October, 2022, acquisition is performing as expected and has been buoyed by commodity price tailwinds. The company's success would not be possible without the talented team at Journey, both in the office and the field. Management looks forward to updating you on Journey's progress on its development path.

About Journey Energy Inc.

Journey is a Canadian exploration and production company focused on conventional, oil-weighted operations in Western Canada. Journey's strategy is to expand its production base by drilling on its existing core lands, implementing water flood projects and executing on accretive acquisitions. Journey seeks to optimize its legacy oil pools on existing lands through the application of best practices in horizontal drilling and, where feasible, with water floods.

We seek Safe Harbor.