Mr. Bradley Parkes reports

RESOLUTE RESOURCES LTD. CORPORATE UPDATE: LAND ACQUISITION, DRILL PROGRAM STATUS, ACQUISITION OF 3D SEISMIC DATA AND RECEIPT OF RESOURCE REPORT

Resolute Resources Ltd. has provided an update on the following corporate activities:

As announced in the Aug. 23, 2023, news release of the company, the business combination between the company (formerly, Crossover Acquisitions Corp.) and Resolute Resources was completed on Aug. 23, 2023. The shares of the company will resume trading on the TSX Venture Exchange, under the symbol RRL, at the open on Aug. 30, 2023. Due to the changing shareholder registration and the evolving shareholder registry upon the resumption of trading, please subscribe to the corporate mailing list on Resolute Resources' website.

Land acquisition

As reflected in the filing statement of the company dated Aug. 10, 2023, the company would also like to announce that it acquired 8.75 sections of land in the Grimshaw and Flood area of the GFD (Grimshaw, Flood and Duncan) project in the Crown land sale held on May 17, 2023. This brings the company's total land package in the GFD project to 53.5 sections or approximately 35,000 acres.

Operations update

The company has begun preparations for the coming exploration program. Resolute recently completed surveying the 14-19-83-23 W5M and 5-25-83-24 W5M surface pad locations. It is expected the 5-25 location will be the first spudded, and a predisturbance environmental baseline study and aquifer water chemistry study have each been completed in advance of drilling. This location is targeting the Shoreface A reservoir. The location was chosen based on a combination of well control and 3-D seismic and to minimize surface disturbance.

Surface leases for the 5-25 drill pad and the 14-19 drill pad have been signed and a well licence for the Resoluteresltd HZ Anthony 7-24-83-24 well has filed and obtained. The 5-25 pad construction commenced on Aug. 23, 2023, and was completed on Aug. 26, 2023.

A drilling rig has been contracted and is expected that the first of three wells to be drilled in the second half of 2023 will be spudded in the first week of September.

3-D seismic interpretation

Resolute has received the results of the 3-D seismic data that were acquired earlier in the year. The 5.5-square-mile 3-D seismic acquisitions cover both the Grimshaw drilling locations. The data were of high quality and did not require reprocessing. A 3-D model has been developed and interpreted. Resolute's 3-D seismic model is being used to better target the horizontal sections of its planned wells for both the Shoreface A sand and Channel sand wells. Resolute's 3-D seismic interpretation was not used in the generation of the resource report due to timing of data acquisition, interpretation and the resource report.

Resource report

RRL is pleased to announce the results of its independent resource evaluation, which was conducted by GLJ Ltd. of Calgary and published in a resource report dated Feb. 28, 2023. The evaluation was conducted, and the report was prepared, in accordance with the definitions, standards and procedures contained in the Canadian Oil and Gas Evaluation Handbook (COGEH) and National Instrument 51-101 -- Standards for Disclosure of Oil and Gas Activities. The report was summarized in the filing statement, which was filed with the TSX Venture Exchange in connection with the business combination and the listing of the company as a Tier 2 oil and gas issuer.

The report covers 38 of the 53.5 sections that Resolute is the 100-per-cent working interest owner in its light oil Grimshaw, Flood and Duncan project. A summary of certain findings of the report are as follows:

Economic estimation

Economic parameters for the Grimshaw, Duncan and Flood properties were based on the company's feedback to GLJ that the company plans to drill Clearwater-style multileg lateral wells to produce the reservoirs. Using industry knowledge of the Clearwater formation and well geometries similar to what the company has proposed, GLJ was able to estimate operating costs, capital costs and abandonment costs.

Information sources for GLJ's price forecast include government agencies, industry publications, Canadian oil refiners and natural gas marketers. GLJ's forecasts are based on an informed interpretation of currently available data. While the three consultants' average (GLJ Ltd., McDaniel & Associates Consultants Ltd., and Sproule) included in the report is considered reasonable at this time, users of these forecasts should understand the inherent high uncertainty in forecasting any commodity or market.

Range of uncertainty

The range of uncertainty of estimated recoverable volumes may be represented by either deterministic scenarios or by a probability distribution. Resources should be provided as low, best and high estimates as follows:

Low estimate: This is a conservative estimate of the quantity that will actually be recovered. It is likely that the actual remaining quantities recovered will exceed the low estimate. If probabilistic methods are used, there should be at least a 90-per-cent probability (P90) that the quantities recovered will equal or exceed the low estimate.

Best estimate: This is considered to be the best estimate of the quantity that will actually be recovered. It is equally likely that the actual remaining quantities recovered will be greater or less than the best estimate. If probabilistic methods are used, there should be at least a 50-per-cent probability (P50) that the quantities actually recovered will equal or exceed the best estimate.

High estimate: This is considered to be an optimistic estimate of the quantity that will actually be recovered. It is unlikely that the actual remaining quantities recovered will exceed the high estimate. If probabilistic methods are used, there should be at least a 10-per-cent probability (P10) that the quantities actually recovered will equal or exceed the high estimate.

For reference, the COGEH defines prospective resources as "those quantities of petroleum which are estimated, as of a given date, to be potentially recoverable from undiscovered accumulations by application of future development projects."

The report estimates undiscovered petroleum initially in place (UPIIP) across the Grimshaw, Flood and Duncan prospects. Undiscovered petroleum initially in place, which is equivalent to undiscovered resources, is that quantity of petroleum that is estimated, on a given date, to be contained in accumulations yet to be discovered.

Chief executive officer Bradley Parkes commented: "The report shows a wide range of outcomes, which is expected, from a project at this stage; however, we feel the significant upside of the Grimshaw, Flood and Duncan prospect is depicted in this report. At Resolute we look forward to moving the valuation of the properties from the risked numbers towards the unrisked numbers."

About Resolute Resources Ltd.

Resolute energy corporation trading on the TSX-V under the symbol RRL.V. Resolute has projects in northwestern Alberta and northeastern British Columbia, where it is exploring shallow cretaceous sandstone reservoirs that can be exploited with multilateral open-hole wells. Resolute has accumulated just under 35,000 acres in its GFD light oil project in northwestern Alberta and approximately 10,000 acres at its Evie project in northeastern B.C. Resolute is pursuing projects that are high in environmental social and governance metrics, that result in lower-emission oil and low water use due to no hydraulic fracturing, but that provide high economic returns.

We seek Safe Harbor.