Mr. Shubham Garg reports

PROSPERA ENERGY ANNOUNCES Q2 2025 FINANCIALS & ENERCOM DENVER 2025 PARTICIPATION

Prospera Energy Inc. has released its results for the second quarter of 2025.

In Q2 2025, Prospera invested $1.65-million in capital expenditures, including $665,000 for well reactivations, $534,000 for plant maintenance and $448,000 for environmental work. Reactivation efforts targeted 11 wells in the Luseland and Cuthbert properties, adding 87 boe/d (barrels of oil equivalent per day) of production at an improved capital efficiency of $7,644/boe (versus $9,317/boe in Q1). Plant maintenance improved infrastructure integrity, enhanced production reliability and supported higher oil recovery.

Strategic achievements included:

1. Securing $3.2-million in additional term-debt advances for development and optimization;
2. Completing work force optimization to streamline decision-making and reduce G&A (general and administrative) costs;
3. Securing $150,000 through a convertible debenture offering, expected to close in Q3 2025.

Operational highlights for Q2 2025 are as follows:

• PEI realized average net sales of 780 boe/d in Q2 2025, an increase of 18 per cent from Q1 2025 net sales of 660 boe/d.
• Sales revenue in Q2 2025 totalled $4,902,540 ($69.03/boe), a 7-per-cent increase from $4,579,726 ($77.33/boe) in Q1 2025, due to higher sales volumes, partially offset by weaker commodity prices.
• In Q2 2025, operating costs fell 38 per cent from Q1 to $36.86/boe due to the absence of unplanned maintenance, upgrades and extreme cold weather costs seen earlier in the year.
• In Q2 2025, PEI's operating netback was $1.61-million ($22.73/boe), up from $627,000 ($10.55/boe) in Q1 2025.
• Improved the working capital deficit by $2.8-million from Dec. 31, 2024, with Q2 period-end cash increasing by $582,000 to $947,000.

Conference call to accompany Q2 2025 financial results

Stakeholders are encouraged to join Prospera Energy for an investor conference call on Aug. 15, 2025, at 10 a.m. MT, where management will review Q2 2025 financial results, technical discussion of key wells, operational milestones and the company's strategic direction.

Enercom Denver presentation

Prospera is pleased to announce that it will participate in the 30th Annual Enercom Energy Investment Conference, taking place in Denver, Colo., on Aug. 18 and Aug. 19, 2025. Shubham Garg, chief executive officer, and Chris Ludtke, chief financial officer, will present on Tuesday, Aug. 19, 2025, at 1:55 p.m. MT.

About Prospera Energy Inc.

Prospera Energy is a publicly traded Canadian energy company specializing in the exploration, development and production of crude oil and natural gas. Headquartered in Calgary, Alta., Prospera is dedicated to optimizing recovery from legacy fields using environmentally safe and efficient reservoir development methods and production practices. The company's core properties are strategically located in Saskatchewan and Alberta, including Cuthbert, Luseland, Hearts Hill and Brooks. Prospera Energy is listed on the TSX Venture Exchange under the symbol PEI and the U.S. OTC Market under GXRFF.

Prospera reports gross production at the first point of sale, excluding gas used in operations and volumes from partners in arrears, even if cash proceeds are received. Gross production represents Prospera's working interest before royalties, while net production reflects its working interest after royalty deductions. These definitions align with ASC 51-324 to ensure consistency and transparency in reporting.

We seek Safe Harbor.