Mr. Todd Durkee of CGX Energy reports

CGX ENERGY PROVIDES 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 provided a response to the recent letter received from the government of Guyana (as described further in the joint press release dated Feb. 10, 2025).

Pursuant to the response letter, the joint venture has advised the government that, among other things, despite the government's contradictory positions, the licence and the joint venture's petroleum agreement with the government in respect of the Corentyne block (as amended) remain valid and in force. Additionally, in the response letter, the joint venture has contested the government's purported termination of the licence, including the grounds for such termination, as further described in the letter.

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 continues to assess all legal options available to it to assert its rights in respect of the licence and the petroleum agreement.

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.

We seek Safe Harbor.