Mr. Richard McHardy reports

LOGAN ENERGY CORP. ANNOUNCES COMPLETION OF PREVIOUSLY ANNOUNCED EQUITY FINANCING, OPERATIONS UPDATE AND 2023 GUIDANCE

Logan Energy Corp. has provided this initial update to shareholders and to announce that Logan has commenced operations as a new growth-oriented exploration, development and production company formed through the spinout of the early stage Montney assets of Spartan Delta Corp.

Equity financing

Logan is pleased to announce the completion of its previously announced non-brokered private placement for aggregate gross proceeds of approximately $48.5-million. Pursuant to the private placement, Logan issued an aggregate of 64.3 million units and 74.3 million common shares of Logan at a price of 35 cents per unit and Logan share, as applicable. The private placement generated significant demand from investors who provided indications materially in excess of $48.5-million. Proceeds from the private placement will be used to finance Logan's exploration and development activities and for general corporate and working capital purposes.

Each unit comprised one Logan share and one Logan share purchase warrant. Each warrant will entitle the holder to purchase one Logan share at a price of 35 cents for a period of five years. The warrants will vest and become exercisable in accordance with the terms set forth in the press release of Spartan dated March 28, 2023.

Pursuant to applicable securities laws, all securities issued pursuant to the private placement are subject to a hold period of four months plus one day following the date of issuance of such securities.

Conditional listing approval

The Logan shares have been conditionally approved for listing by the TSX Venture Exchange. Trading in respect of Logan shares is expected to commence on or about July 18, 2023, under the symbol LGN.

Liquidity

With the completion of the private placement and assuming that the Logan share purchase warrants (as further described in the press release of Spartan dated May 10, 2023, the transaction warrants) issued in connection with the spinout are fully exercised, Logan expects to exit July with approximately $109-million of cash on its balance sheet and no bank debt. Logan reminds shareholders that the transaction warrants, which entitle holders to acquire Logan shares at an exercise price of 35 cents per Logan share, expire on July 31, 2023.

Transaction warrant exercise process

Registered holders of transaction warrants seeking to exercise are required to contact the company's transfer agent, Odyssey Trust company, for assistance by e-mail at corptrust@odysseytrust.com.

If you own transaction warrants through a financial intermediary such as a bank, broker or trust company, and you wish to exercise such warrants, you should contact your financial intermediary.

As the transaction warrants expire on July 31, 2023, it is important to take such action as soon as possible.

Operations update and guidance

In early July, Logan spud the first well in Simonette of its seven well Montney drilling program for 2023. The initial 2023 drilling program is designed to deliver growth and test various development strategies across Logan's asset base and the information gathered will set the stage for an aggressive 2024 capital program. During the second half of 2023, Logan is budgeting to drill three (3.0 net) wells in Simonette (two completed and on stream), three (3.0 net) wells in Pouce Coupe and one (1.0 net) well in Flatrock (drill only).

Logan's capital expenditures are budgeted to be approximately $75-million over the second half of 2023. This estimate includes $18-million that has been allocated for land, seismic, infrastructure and contingency.

The company's capital program is expected to deliver production in excess of 7,000 BOE (barrels of oil equivalent) per day for the month of December, 2023, and to average 5,000 BOE per day for the six-month period ended Dec. 31, 2023. Logan expects to generate approximately $8-million of adjusted funds flow in the second half of 2023 based on average commodity price assumptions of $2.50 per GJ (gigajoule) for AECO natural gas, $70 (U.S.) per barrel for WTI crude oil, and an exchange rate of 1.32 (United States dollars/Canadian dollars).

Attached is a summary of corporate guidance for the second half of 2023.

Outlook

Logan's management team and board look forward to embarking on this new challenge. Richard McHardy, Logan's president and chief executive officer, stated: "We are excited to get to work. We believe Logan's asset base offers scalable production growth, backstopped by significant inventory depth and highly competitive play economics. Our strategy is simple: we have assembled a team with a demonstrated track record of success, and we have significant engineering and geological expertise in-house to unlock the value we see in our assets. We are well capitalized and plan to aggressively grow our assets both organically and through accretive acquisitions, and we believe Logan represents a compelling opportunity for investors interested in growth."

Website and corporate presentation

Logan is pleased to announce the official launch of its corporate website and Logan's corporate presentation as of July 13, 2023, can be accessed on its website.

About Logan Energy Corp.

Logan is a growth-oriented exploration, development and production company formed through the spinout of Spartan's early stage Montney assets. Logan is founded with a strong initial capitalization and three high-quality and opportunity-rich Montney assets located in the Simonette and Pouce Coupe areas of northwest Alberta and the Flatrock area of northeastern British Columbia. The management team brings proven leadership and a record of generating excess returns in various business cycles.

We seek Safe Harbor.