Proposed Offering of Common Shares

• Financing Announcement: On May 15, 2026, Sintana Energy announced a private placement to raise minimum US$11.5 million (C$15.6 million).
• Share Issuance: Up to 49,565,690 new common shares at C$0.41 per share.
• Management Participation: CEO Robert Bose and President Eytan Uliel subscribing for a total of C$0.5 million, signaling confidence in the company's trajectory.
• Use of Proceeds: Funding Chevron-operated Nabba-1 exploration well (PEL 90), acquisition of PEL 37 interest (Walvis Basin), and KON-16 licence interest (Angola).
• Financial Context: Q1 2026 results released same day showed cash at $8.2 million with a net loss of $1.1 million, reduced by an ExxonMobil settlement ($9M total).
• Listing Status: Shares to be admitted on AIM and TSX-V; existing listings include OTCQX.

• Capital Adequacy: The raise is material relative to current cash reserves ($8.2M), effectively doubling the company's liquidity runway to fund active exploration without immediate distress.
• Dilution Impact: Issuance of ~49.5M shares against ~510M outstanding represents approximately 9% dilution, which is standard for junior explorers but requires monitoring.
• Discount Pricing: The issue price (C$0.41) trades at a discount to the recent market close ($0.49), indicating immediate short-term pressure on share value despite long-term utility of funds.
• Strategic Alignment: Proceeds directly fund high-priority assets identified in previous news (Mopane, Walvis Basin), aligning capital deployment with strategic growth rather than debt servicing or legacy asset cleanup.
• Management Skin-in-the-Game: The C$0.5 million subscription by executives mitigates some negative sentiment associated with discounted financings, suggesting management believes the stock is undervalued at current levels.

• Core Business: Offshore oil and gas exploration with a focus on the South Atlantic margin (Namibia, Uruguay) and legacy assets in Colombia/Bahamas.
• Flagship Project: Mopane Discovery (PEL 83, Namibia). Galp Energia announced a 57% resource upgrade to 1.38 billion boe (gross), with Sintana holding an indirect 4.9% interest (~67 mmboe net).
• Secondary Assets: Uruguay blocks (AREA OFF-1) operated by Chevron; Walvis Basin interests (PEL 37, PEL 82); Angola KON-16 licence.
• Recent M&A: Completed acquisition of Challenger Energy Group in December 2025, adding Uruguay assets and expanding the portfolio to eight licences.