Mr. Toby Pierce reports

NEW ZEALAND ENERGY CORP. PROVIDES CORPORATE UPDATE

New Zealand Energy Corp. has provided a corporate update regarding PML 38138 (Tariki) in New Zealand, which is held through the Tariki joint venture between NZEC Tariki Ltd. (operator, 50 per cent) and L&M Energy Ltd. (50 per cent). The Tariki petroleum mining licence has been formally extended for a further five-year term by New Zealand Petroleum & Minerals and will expire on July 20, 2031.

The extension was granted pursuant to Section 13(3) of New Zealand's Petroleum Act 1937 and includes an updated work program for the permit term. As part of the extension process, the joint venture has already completed certain work obligations, including the commencement of artificial lift operations at the Tariki-5A well and the restart of production activities at the Tariki gas field. The joint venture is also progressing toward establishing stabilized gas flows from the Tariki gas field by Jan. 20, 2028.

The company intends to continue working closely with NZP&M and will submit the appropriate technical and operational reports confirming completion of the applicable work program obligations as supporting production and flow data become available. New Zealand Energy believes the permit extension provides important long-term tenure certainty for continuing development and optimization activities at Tariki and supports the company's broader strategy of advancing gas production and gas storage opportunities in New Zealand.

The company also announces that Frank Jacobs has resigned as a director of the company and its subsidiaries, effective immediately, for personal reasons. The board of directors thanks Mr. Jacobs for his contributions to the company and wishes him well in his future endeavours.

Further to the company's news release dated May 1, 2026, regarding the issuance of a management cease trade order by the B.C. Securities Commission in connection with the delay in filing its annual disclosure documents for the year ended Dec. 31, 2025, the company confirms that work on the required documents is continuing and progressing.

The company continues to work closely with its independent reserves evaluator and external auditor to complete the reserves evaluation process and finalize the audited annual consolidated financial statements as expeditiously as possible. The company currently expects to complete the required filings within the timeline previously disclosed. The company is providing this biweekly update in accordance with National Policy 12-203 (Management Cease Trade Orders) and will continue to provide such biweekly updates until such time that it remains in default for failure to file the annual filings.

The company confirms that, as of the date herein: (a) there has been no material change to the information set out in the MCTO news release that has not been generally disclosed; (b) there has been no failure by the company in fulfilling its stated intentions with respect to satisfying the provisions of the alternative information guidelines set out in NP 12-203; (c) there has not been, nor is there anticipated to be, any specified default subsequent to the default which is the subject of the MCTO news release; and (d) there is no other material information concerning the affairs of the company that has not been generally disclosed.

About New Zealand Energy Corp.

New Zealand Energy is a publicly listed energy company focused on the development of oil, gas and gas storage opportunities in New Zealand. The company holds interests in multiple heritage assets and development-stage projects, including the Tariki gas storage project in Taranaki. With a 50-per-cent ownership stake in the Waihapa production station, the company can quickly tie in any near-term production and sell directly to market.

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