International Petroleum Corporation Corporate Update: Blackrod Phase 1 Commencement of Steam Injection

Executive Summary

• IPC commenced first steam injection at the Blackrod Phase 1 project on 20 Dec 2025, marking a key milestone toward first oil.
• The company now expects first oil production in Q3 2026, one quarter earlier than previously guided.
• Capital spending to date totals US$785 M, representing ~92% of the US$850 M growth‑capex budget for Phase 1, indicating the project remains on budget.

Key Details

• Steam Injection Start: 20 Dec 2025 – first steam circulated through the initial set of wells.
• First Oil Forecast: Q3 2026 (earlier than prior guidance).
• Capital Expenditure to Date: US$785 M incurred from sanction to end‑Q3 2025, ~92% of the US$850 M growth‑capex target.
• Remaining Capex to First Oil: Approximately US$65 M (US$850 M – US$785 M).
• Asset Overview: 100 % owned Blackrod asset holds 259 MMboe of 2P reserves and 1,025 MMboe of contingent resources (best‑estimate, unrisked) as of 31 Dec 2024; regulatory approval to produce up to 80,000 bopd.
• Phase 1 Production Target: Plateau of 30,000 bopd once fully ramped.
• Future Communication: IPC will provide further production and cash‑flow guidance at its Capital Markets Day on 10 Feb 2026.

Notable Quotes

“We are extremely excited to announce that first steam at the transformational Blackrod Phase 1 development project occurred in December 2025… The Blackrod Phase 1 development remains on budget with a forecast growth capital expenditure of MUSD 850 to first oil.” – William Lundin, President & CEO, International Petroleum Corporation.