Mr. Wolf Regener reports

KOLIBRI GLOBAL ENERGY ANNOUNCES FIRST QUARTER 2023 NET INCOME OF US$7.9 MILLION AND ADJUSTED EBITDA OF US$11.4 MILLION

Kolibri Global Energy Inc. has released its results for the first quarter of 2023.

FIRST QUARTER HIGHLIGHTS

• Average production for the first quarter of 2023 was 3,194 BOEPD, an increase of 203% compared to first quarter of 2022 average production of 1,054 BOEPD. The production increase is due to the additional production from the five wells in the 2022 drilling program.
• Adjusted EBITDA(1) was $11.4 million in the first quarter of 2023 compared to $2.8 million in the first quarter of 2022. The increase was due to higher production partially offset by lower average prices.
• Revenue, net of royalties was $14.2 million in the first quarter of 2023 compared to $5.5 million for the first quarter of 2022, an increase of 158%. The increase was due to higher production partially offset by lower average prices.
• Net income in the first quarter of 2023 was $7.9 million, compared to a net loss of $2.5 million in the same period of 2022. The increase was due to higher production partially offset by lower average prices. In addition, the Company had an unrealized gain on commodity contracts in the first quarter of 2023 compared to an unrealized loss in the first quarter of 2022.
• Average netback from operations(2) for the first quarter of 2023 was $43.67 per BOE, a decrease of 11% from the prior year first quarter of $48.91 per BOE due to lower average prices. Netback including commodity contracts(2) for the first quarter of 2023 was $42.23 per BOE compared to $36.88 in the first quarter of 2022, an increase of 15% from the prior year period. The increase compared to the prior year was due to lower realized losses from commodity contracts in the first quarter of 2023 compared to the first quarter of 2022.
• Production and operating expense per barrel averaged $6.04 per BOE in the first quarter of 2023 compared to $9.56 per BOE in the first quarter of 2022, a decrease of 37%. The decrease was due to lower production taxes and increased production which reduced the per barrel fixed costs.
• At March 31, 2023, the Company had $6.8 million of available borrowing capacity on the credit facility. The Company is currently awaiting its next redetermination from the bank which is expected to occur in the second quarter of 2023.

(1) Adjusted EBITDA is considered a non-GAAP measure. Refer to the section entitled "Non-GAAP Measures" of this earnings release.

(2) Netback from operations and netback including commodity contracts are considered non-GAAP ratios. Refer to the section entitled "Non-GAAP Measures" of this earnings release.

Kolibri's President and Chief Executive Officer, Wolf Regener commented:

"We are pleased with the first quarter performance of the Company, which included production from the three wells that were drilled at the end of 2022. Those wells far exceeded our management type curve, as did all of our wells that were drilled in 2022. We started our 2023 drilling program with the drilling of the first three wells, which we expect will further increase our production and cash flow. Both the Barnes 8-2H (98% working interest) and the Barnes 8-3H (98% working interest) have been drilled and cased, and the Barnes 8-1H (98% working interest) is currently being drilled. We expect to begin fracture stimulation operations in late May 2023, with production expected to begin in June 2023.

"Average production for the first quarter of 2023 was 3,194 BOEPD, an increase of 203% compared to first quarter of 2022 average production of 1,054 BOEPD. The production increase is due to the additional production from the five wells in the 2022 drilling program.

"In the first quarter of 2023, we generated $11.4 million of adjusted EBITDA, compared to $2.8 million in the first quarter of 2022, which was an increase of 305%. The increase was due to higher average production of 203% partially offset by lower average prices of 16%.

"Net revenue increased by 158% in the first quarter of 2023 due to higher average production partially offset by lower prices.

"Net income in the first quarter of 2023 was $7.9 million, compared to a net loss of $2.5 million in the same period of 2022. The increase was due to higher production, partially offset by lower average prices. In addition, the Company had an unrealized gain on commodity contracts in the first quarter of 2023 compared to an unrealized loss in the first quarter of 2022.

"Netback from operations(2) decreased to $43.67 per BOE in the first quarter of 2023 compared to $48.91 per BOE in the same period of 2022, a decrease of 11% due to lower average prices. Netback including commodity contracts(2) for the first quarter of 2023 was $42.23 per BOE compared to $36.88 in 2022, an increase of 15% from the prior year period. The increase compared to the prior year was due to lower realized losses from commodity contracts in the first quarter of 2023 compared to the first quarter of 2022.

"Production and operating expense per barrel averaged $6.04 per BOE in the first quarter of 2023 compared to $9.56 per BOE in the first quarter of 2022, a decrease of 37%. The decrease was due to lower production taxes and increased production which reduced the per barrel fixed costs."

First Quarter 2023 versus First Quarter 2022

Oil and gas gross revenues totaled $16,278,000 in the first quarter of 2023 versus $6,179,000 in the first quarter of 2022. Oil revenues increased $10,099,000 or 163% as oil production increased by 240% to 2,431 bopd partially offset by an oil price decrease of $21.77 per barrel or 23% to $74.40 per barrel. Natural gas revenues increased $424,000, or 108%, to $815,000 as natural gas production increased by 132% to 2,138 mcfpd partially offset by a price decrease of 10% to $4.24/mcf. Natural gas liquids (NGLs) revenues increased $440,000, or 81%, as NGL production increased by 119% to 407 boepd partially offset by a price decrease of 17 to $26.77 per BOE.

Average production for the first quarter of 2023 was 3,194 BOEPD, an increase of 203% compared to first quarter of 2022 average production of 1,054 BOEPD. The production increase is due to the additional production from the five wells in the 2022 drilling program.

Production and operating expenses for the first quarter of 2023 was $1.6 million compared to $0.9 million in the prior year period, an increase of 77%. The increase is due to the increase in production of 203% partially offset by lower production taxes and compressor costs which are accounted for as leases under IFRS 16 and therefore not included in the first quarter of 2023 production and operating expenses. Production and operating expenses including these compressor costs would have been $1.7 million for the first quarter of 2023.

Depletion and depreciation expense for the first quarter of 2023 was $4.3 million compared to $1.1 million in the same period of 2022. The increase of 290% is due to increased production and a higher PP&E balance.

General and administrative expenses for the first quarter of 2023 was $0.9 million compared to $0.7 million for the same period of 2022, an increase of 29%. The increase is due to increases in both payroll costs and director fees in 2023 and an increase in investor relations and marketing costs in 2023.

Finance income increased $1.3 million in the first quarter of 2023 compared to the prior year quarter due to an unrealized gain on commodity contracts in 2023.

Finance expense decreased $4.2 million in the first quarter of 2023 compared to the prior year quarter due primarily to an unrealized loss on commodity contracts in the first quarter of 2022 of $3.8 million.

About Kolibri Global Energy Inc.

KEI is an North American energy company focused on finding and exploiting energy projects in oil, gas and clean and sustainable energy. Through various subsidiaries, the Company owns and operates energy properties in the United States. The Company continues to utilize its technical and operational expertise to identify and acquire additional projects. The common shares of the Company trade on the Toronto Stock Exchange ("TSX") under the symbol "KEI" and on the Over the Counter QX ("OTCQX") under the symbol "KGEIF".

We seek Safe Harbor.