Condor Provides a Drilling Update for Uzbekistan and Announces the Sale of Its Turkish Assets

Executive Summary

• Condor Energies reported record‑long horizontal drilling in Uzbekistan (A‑21 well, 1279 m lateral, >6% porosity, up to 12% porosity over 223 m) with strong gas shows (20–31%).
• Acid stimulation and flow testing are planned for A‑21 and the previously drilled A‑23 well, with production expected in H2 2026.
• The company entered a share purchase agreement to sell its Turkish properties for a ten‑year gross overriding royalty (0–15% up to US$10 M cap) plus €18,000 cash, subject to Turkish government approvals.

Key Details

• Uzbekistan – Well A‑21
• Total depth (TD): 3,456 m; horizontal lateral: 1,279 m (record length for Uzbekistan).
• Carbonate reservoir intersected over >960 m with visible porosity >6%; 223 m segment up to 12% porosity.
• Gas shows in cuttings ranging from 20% to 31% of fluid volume.

• Planned acid stimulation of entire lateral, followed by flow test and production start expected H2 2026.

• Uzbekistan – Well A‑23

• Previously drilled vertical pilot; acid stimulation previously increased rates 8–10×.

• Post‑A‑21 stimulation, the 1,007 m lateral of A‑23 will also be acid stimulated, tested and brought online.

• Kumli Field – Well K‑45

• Vertical well targeting multiple reservoirs; planned TD 2,400 m.
• Core recovered at 2,150 m (18 m length) to be shipped to Canada for analysis.
• Logging will calibrate regional wireline data; testing slated for February 2026.

• Plans to construct a second drilling pad in Q1 2026 for one additional vertical and up to six horizontal wells.

• Turkish Properties Sale

• Share Purchase Agreement signed 21 Jan 2026 with third‑party buyer.
• Consideration: ten‑year gross overriding royalty (0–15% of sales revenue less royalties & transport, capped at US$10 M) + €18,000 cash on closing.
• Buyer assumes operating expenditures for 60 days post‑signing and must meet a Minimum Work Commitment (workovers & drilling one new well).

• Transaction subject to Turkish government approvals; closing within ten business days after approval.

• Strategic Commentary

• CEO Don Streu highlighted the high reservoir quality, strong gas shows, and upcoming acid‑stimulation programs as near‑term production catalysts.
• Sale of Turkish assets aligns with focus on Central Asian gas portfolio, LNG project in Kazakhstan, and critical mineral development from brines.

Notable Quotes

• “Our active drilling and completion programs are providing several catalysts that may yield further near‑term production growth… The sale of the Turkish assets reaffirms our strategic focus in Central Asia…” – Don Streu, President & CEO.