Mr. Todd Durkee of CGX Energy reports

FRONTERA ENERGY AND CGX ENERGY PROVIDE UPDATE ON CORENTYNE BLOCK LICENSE

CGX Energy Inc. and Frontera Energy Corp., joint venture partners in the petroleum prospecting licence for the Corentyne block, offshore Guyana, have received a communication from the government of Guyana.

The government has taken the position that the licence, together with the joint venture's petroleum agreement with the government (as amended), has terminated and that, in the opinion of the government, there are no reasonable grounds to grant any extensions to the joint venture in respect of its appraisal or exploration obligations under the licence or the petroleum agreement. Furthermore, the government says that, if it is determined that the licence has continued, or that the joint venture holds any other type of licence contemplated by applicable legislation, the letter serves as a 30-day notice of the government's intention to cancel such licence.

Although the government argues that the licence has terminated, it invites the joint venture "on or before Feb. 22, 2025 ... to submit any representations (the joint venture) wish(es) (the government) to consider prior to (the government) making (its) final decision as to whether to not cancel any licence that may exist. Any such licence will cease to have effect on March 10, 2025, unless any representation that may be made are favourably considered." Additionally, the government also states its willingness "to extend the time for good-faith negotiations to the dates set forth above so as to allow receipt and consideration of any representation" the joint venture makes. The letter states that such invitation and intention to cancel are in no way any admission that the joint venture currently holds a licence of any nature.

The joint venture remains firmly of the view that its interests in, and the licence for, the Corentyne block remain in place and in good standing and the petroleum agreement has not been terminated. Notwithstanding the foregoing, the joint venture is assessing all legal options available to it to assert its rights and will respond to the government.

The joint venture looks forward to expeditiously resolving this matter and continuing its multiyear efforts and investments to realize value for the people of Guyana and its shareholders from the Corentyne block.

About CGX Energy Inc.

CGX is a Canadian-based oil and gas exploration company focused on the exploration of oil in the Guyana-Suriname basin and the development of a deepwater port in Berbice, Guyana.

About Frontera Energy Corp.

Frontera Energy is a Canadian public company involved in the exploration, development, production, transportation, storage and sale of oil and natural gas in South America, including related investments in both upstream and mid-stream facilities. The company has a diversified portfolio of assets, with interests in 22 exploration and production blocks in Colombia, Ecuador and Guyana, and pipeline and port facilities in Colombia. Frontera is committed to conducting business safely and in a socially, environmentally and ethically responsible manner.

We seek Safe Harbor.