An anonymous director reports

VERMILION ENERGY INC. ANNOUNCES RESTART OF WANDOO FACILITY AND PROVIDES OPERATIONAL UPDATE

Vermilion Energy Inc. has provided an update on its Australia and Ireland operations, and European gas hedge program.

Vermilion Energy is pleased to report that the company now expects Q3 2023 production to come in at the upper end of its quarterly guidance range of 80,000 boe/d (barrels of oil equivalent per day) to 83,000 boe/d, due to positive developments in Australia and Ireland.

In Australia, the company successfully completed the remaining inspection and repair work on its Wandoo facility, and restarted production in early September without incident. Initial production rates are strong and Australia is forecasted to produce approximately 4,000 barrels per day (bbl/d) in Q4 2023. The Wandoo asset has been in Vermilion Energy's portfolio since 2004 and has generated a significant amount of free cash flow (FCF) over this time frame. In 2022, Wandoo crude sold at a $14 (U.S.) premium to Brent, which drives very strong netbacks. Under current strip pricing the company is forecasting over $100-million of FCF from Australia in 2024.

In Ireland, Vermilion Energy successfully completed the planned major turnaround at Corrib approximately five days ahead of schedule in August. Corrib is forecasted to produce approximately 10,000 boe/d of premium-priced European gas net to Vermilion in Q4 2023.

European gas prices remain strong due to continued supply concerns as winter approaches. The 2024 and 2025 forward prices of $22 and $21 per MMBtu (million British thermal units), respectively, generate robust free cash flow. As a result, the company continues to add more European gas hedges over this period, and currently has 51 per cent of its H2 2023 European gas hedged at an average floor price of $32 per MMBtu, 31 per cent of its 2024 European gas production hedged at an average floor price of $33 per MMBtu and 14 per cent of its 2025 European gas production hedged at an average floor price of $21 per MMBtu. Hedging at these price levels enables Vermilion to lock in future fund flows from operations (FFO), and provides greater certainty on achieving its near-term debt targets while enhancing the company's future return of capital to shareholders.

Vermilion Energy's Q4 2023 production forecast of 86,000 boe/d to 89,000 boe/d and full-year guidance range of 82,000 boe/d to 86,000 boe/d remain unchanged. The company plans to release its Q3 2023 results on Nov. 1, 2023, after the close of North American markets.

About Vermilion Energy Inc.

Vermilion is an international energy producer that seeks to create value through the acquisition, exploration, development and optimization of producing assets in North America, Europe and Australia. The company's business model emphasizes free cash flow generation and returning capital to investors when economically warranted, augmented by value-adding acquisitions. Vermilion's operations are focused on the exploitation of light-oil- and liquids-rich natural gas conventional and unconventional resource plays in North America, and the exploration and development of conventional natural gas and oil opportunities in Europe and Australia.

Vermilion's priorities are health and safety, the environment, and profitability, in that order. Nothing is more important to the company than the safety of the public and those who work with it, and the protection of natural surroundings. Vermilion has been recognized by leading ESG (environmental, social and governance) rating agencies for its transparency on, and management of, key environmental, social and governance issues. In addition, Vermilion emphasizes strategic community investment in each of its operating areas.

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