Kistos Energy (Norway) AS (“KENAS”) update for the third quarter of 2025

27 Oct 2025 08:00 CET

OPERATIONAL
Production was 6,506 b/d net, of which gas represented 137 b/d, to KENAS in the
third quarter of 2025, with production efficiency of 91%. This compared to 2,969
b/d and 90% production efficiency in the second quarter of 2025.

Performance from the Balder Ringhorne field was strong with production driven by
the start-up and the accelerated ramp-up at the Jotun FPSO. All fourteen subsea
production wells have started up, unlocking gross proved plus probable (2P)
gross reserves of around 150 mmboe (15 mmboe net Kistos). Due to the successful
offshore completion of the project, the peak rate was achieved ahead of schedule
in September. Average production from these wells is according to expectations,
and work is ongoing to further optimise production levels going forward.

BALDER X
The Jotun FPSO project was fully completed by end September 2025, and the
project team has been demobilised.

The drilling of six new wells as part of the Balder Phase V project is
progressing as planned, with three wells expected to commence production during
the fourth quarter 2025. Additionally, the Balder Phase VI project is in
execution, ahead of original plan with anticipated first oil by end 2026, with
the Operator expecting an internal rate of return (IRR) above 35% and breakeven
price below USD 35 per boe. Together these two projects will capture gross
proved plus probable (2P) gross reserves in the range of 45-50 mmboe.

Further early phase projects are also being progressed at pace to utilise the
production capacity of the Jotun FPSO in the years to come. The Balder Next
project is targeting to develop the next phase for the Balder field and unlock
significant contingent resources. The project consists of taking the Balder
Floating Production Unit (FPU) to shore for decommissioning, targeted in 2028.
Selected wells producing through Balder FPU will be transferred to the Jotun
FPSO. In addition, production will be accelerated as part of the Jotun FPSO
debottlenecking project to increase production capacity on the FPSO, as well as
developing new production wells. Combined, the Operator estimates that this will
maintain production from the Balder field area in the range 70-80 kboepd gross
(7-8 kboepd net Kistos) towards 2030. The Operator expects that the
decommissioning of Balder FPU will reduce operating costs by approximately USD
130 million gross per annum and reduce CO2 emissions by around 80,000 tonnes
gross per year.

The above projects are steps to ensure high value barrels from the Balder area
towards 2045 and beyond.
KENAS’ 2P reserves estimate at year end 2024 is 21.2 MMBoe (net to KENAS). The
disclosed reserves position as of 31 December 2024 has been aligned with the
quantities as reported by the operator in their Annual Statement of Reserves.

FINANCIAL
KENAS entered a financing and lifting agreement (a produced quantity or PQ
arrangement) with an international oil major commencing in January 2024. Under
the terms of this arrangement KENAS is paid for its entitlement monthly, the
buyer then lifts in full cargo lots once KENAS is entitled to lift a crude oil
cargo. KENAS had no cargo oil lifts during the third quarter.

Gas exports started on 10 August 2025. Total revenue for the quarter related to
gas was NOK 9.3 million.

At the end of September 2025, KENAS had cash at bank of USD 11.6 million, of
which USD 0.25 million is restricted. KENAS had drawn USD 74.0 million under the
terms of the revolving credit facility from its parent company, Kistos plc, by
the end of the third quarter of 2025.

As per the two outstanding bond agreements (ISIN NO 0012867318 and ISIN NO
0011142036), KENAS can report that the “Balder Ringhorne First Oil date”,
(“Balder Ringhorne First Oil Date” means the date on which the Balder Ringhorne
Licences have achieved 90 days of production of oil with an average oil
production per day of 75,000 bbl.), was achieved on or about 19 October 2025.
This means that the minimum liquidity covenant of USD 10 million is reduced to
USD 0 million effective from this date and onwards.

The tax refund for fiscal year 2024 is estimated to be NOK 746 million
(excluding interest). This amount is expected to be received early December
2025.


For further information please contact:
Olav Haugland
Chief Financial Officer (Kistos Energy (Norway) AS)
Phone: +47 915 41 809
Email: olav.haugland@kistosplc.com

James Thomson
Chief Financial Officer (Kistos Holdings plc)
Phone: +44 7495 122576
Email: james.thomson@kistosplc.com

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