Mr. Casey McCandless reports

CORPORATE UPDATE

Tethys Petroleum Ltd. has provided an update on the company's operations in the Republic of Kazakhstan.

Reserve report

Tethys engaged McDaniel and Associates Consultants to provide a reserve report as of Dec. 31, 2025. This report has now been completed and was prepared in compliance with National Instrument 51-101, Standards of Disclosure for Oil and Gas Activities, and the COGE handbook. Over all, the total proved and total proved plus probable reserves are about the same as last year, but net present value (NPV) calculations are lower primarily due to lower oil prices. The total proved and probable NPV using a discount rate of 10 per cent is about $474-million, as compared with $560-million in 2024 (down about 15 per cent). The attached table is a summary from the report.

While the volumes of total proved and total proved plus probable reserves remain broadly equivalent to the prior year, the NPV has declined. This reduction is primarily due to a decrease in Brent crude prices and lower domestic oil prices. The fiscal and regulatory framework continues to impose a significantly high tax and cost burden on exports, limiting the benefit of accessing international markets.

About Tethys Petroleum Ltd.

Tethys is focused on oil and gas exploration and production activities in Central Asia and the Caspian region.

We seek Safe Harbor.