Dr. Sean Guest reports

VALEURA ENERGY INC. ANNOUNCES Q2 2026 OPERATIONS UPDATE

Valeura Energy Inc. has provided an operations and financial update for Q2 2026.

Highlights:

• Oil production averaged 22,300 barrels per day;
• Sales of 2,454,000 barrels of oil;
• Price realizations averaged $105.80 (U.S.) per barrel, resulting in revenue of $259.8-million (U.S.);
• Drilled the longest horizontal lateral ever recorded in the Gulf of Thailand and also the first ever complex multilateral development well in Thailand, both on the company's Nong Yao field;
• Secured a formal reduction of the Manora field's decommissioning liability, resulting in a partial release of bank guarantees and therefore a 31-per-cent reduction in restricted cash;
• Cash position of $316.5-million (U.S.) at June 30, 2026, and a receivable of $42.7-million (U.S.) in respect of oil sold just prior to end of the quarter; no debt;
• Based on preliminary unaudited estimates, anticipated record quarterly free cash flow of approximately $100-million (U.S.).

Dr. Sean Guest, president and chief executive officer, commented: "During Q2 2026, we once again delivered production in line with our plan and executed an ambitious development and appraisal drilling program on our Nong Yao field, which met or exceeded all predrill expectations. We are focused always on driving deeper efficiency into our business to enhance cash flow margins, and, this quarter, our efforts have delivered two new Gulf of Thailand records -- the longest horizontal interval ever drilled and the first-ever complex multilateral development well.

"In a single quarter, we generated record high revenue of $259.8-million (U.S.), driven by quarterly oil sales of 2,454,000 barrels and high realized oil prices of $105.8 (U.S.) per barrel. This has strengthened our balance sheet to a June 30, 2026, cash position of $316.5-million (U.S.) (including $15.8-million (U.S.) recorded as restricted cash), and no debt. This increase is after having paid the 2025 taxes during the quarter of $19.2-million (U.S.) and will be boosted further by the fact that we recorded a receivable of $42.7-million (U.S.) in respect of oil that was sold just prior to the end of the quarter. Based on preliminary estimates for Q2 2026, we anticipate that our free cash flow generation in the quarter will be in the order of $100-million (U.S.), a record for the company.

"With an increasingly strong financial position, we believe we are well positioned to pursue our growth-oriented strategy. Our asset portfolio continues to yield what we consider to be attractive organic investment opportunities, and we continue to monitor potential inorganic growth prospects which are currently on market or which we anticipate may become available in the near term."

Q2 2026 update

Valeura's working interest share production before royalties was on plan for Q2 2026, averaging 22,300 barrels per day. The company sold a total of 2,454,000 barrels of oil during the quarter. Realized prices averaged $105.80 (U.S.) per barrel bbl and revenue was $259.8-million (U.S.) in Q2 2026, both new quarterly records for the company.

Oil sold during Q2 2026 included a substantial contribution from volumes held as inventory at the end of Q1, totalling 1,225,000 barrels. As a result, the company's inventory of crude oil held in its floating storage vessels has since reduced to more typical levels, being 793,000 barrels at June 30, 2026.

On the back of sales volumes in excess of quarterly production and high realized prices, the company anticipates Q2 2026 free cash flow of approximately $100-million (U.S.), the company's highest quarterly result to date.

During the quarter, the company paid taxes of $19.2-million (U.S.), related mostly to the 2025 financial year special remuneratory benefit (SRB).

At June 2330, 2026, Valeura had $316.5-million (U.S.) in cash and no debt. This quarter-end cash position does not fully reflect Q2 sales, as $42.7-million (U.S.) in proceeds from two parcels of oil sold just prior to the end of the quarter, is expected to be received in early Q3 2026.

Manora decommissioning reduction

During Q2 2026, Valeura and Thailand's upstream regulator agreed to a reduction in the anticipated future decommissioning cost of its Manora field. As a result, the amount of security required to be lodged with the government of Thailand to support this future spending was reduced, thereby reducing the company's restricted cash by 31 per cent while increasing its (unrestricted) cash. At June 30, 2026, Valeura's restricted cash totalled $15.8-million (U.S.).

Results timing

Valeura intends to release its full unaudited financial and operating results for Q2 2026 on Aug. 6, 2026, and will discuss the results in more detail through a management webcast.

About Valeura Energy Inc.

Valeura Energy is a Canadian public company engaged in the exploration, development and production of petroleum and natural gas in Thailand and Turkey. The company is executing a growth-oriented strategy, reinvesting into its producing asset portfolio while deploying capital toward further organic and inorganic growth across Southeast Asia. Valeura is committed to delivering value-accretive growth for all stakeholders, underpinned by high standards of environmental, social and governance responsibility.

We seek Safe Harbor.