Mr. Shawn Mehler reports

PROSPERA ENERGY INC. COMMENCES MODULAR HORIZONTAL INFILL WELL PROGRAM TO CAPTURE 400 MILLION BARRELS OF REMAINING OIL

Prospera Energy Inc. has begun the spudding of the first horizontal well of the 10-well modular multipad infill drill program in the latter part of this week, subject to any weather-related or uncontrollable delays. Close to 100 services have been co-ordinated, along with lease preparation, permits and licences. This modular multipad infill drill program stems from a comprehensive geological, seismic and reservoir management delineation designed to optimize recovery with optimum wells in a cost-effective manner while also aligning with planned enhanced and improved recovery techniques. As previously announced, this 10-well program can approximately add an additional 750 bpd (barrels per day) at a low decline to Prospera's current 900-plus boepd (barrels of oil equivalent per day). This modular development is intended to accelerate production and recovery to capture the significant remaining heavy oil reserves (400 million barrels).

The medium-light oil spud will follow the heavy oil horizontal well transformation from vertical wells in the latter part of this month. These slanted drills are awaiting the preparation of the new leases, surface facilities and connecting pipelines. The medium-light oil development entails six to eight directional wells that can add an additional 600 bpd (gross) at 50 per cent WI, diversifying Prospera's product mix and improving margin.

Over all, this phase 2 development plan will allow Prospera Energy to become a low-cost producer with a significant increase in production. Meanwhile, Prospera will continue to execute its liability management plan to reduce the asset reduction obligations and minimize its environmental footprint. This involves efforts to reduce and eventually eliminate emissions, alongside pursuing innovative ESG (environment, social and governance) methods to enhance API quality, thereby achieving higher margins and eliminating the need for diluents.

About Prospera Energy Inc.

Prospera Energy is a publicly traded energy company based in Western Canada, specializing in the exploration, development and production of crude oil and natural gas.

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