Trillion Energy seeking buyers for SASB interest

Executive Summary

• Trillion Energy International Inc. provided a corporate update highlighting a new earn-in agreement for a 29% working interest in the M47 block in southeastern Turkey, contingent on a $15 million U.S. investment.
• The company is actively seeking buyers for its 49% working interest in the South Akcakoca subbasin (SASB) natural gas project in the Black Sea.
• Previous farm-in agreements for blocks M47, M46C, and M46D have been cancelled, and the company continues to evaluate other oil and gas opportunities in Turkey.

Key Details

• M47 Block Earn-In Agreement:
  • Trillion has signed a new agreement to earn a 29% working interest in the M47 block, located in southeastern Turkey (Cudi-Gabar petroleum province).
  • Total investment required for the earn-in is $15 million (U.S.).
  • The earn-in is subject to the company paying for certain work program costs on a timely basis.
  • The work program includes new exploration wells and acquisition of seismic data.
  • Total work program cost for the M47 block is approximately $35 million (U.S.), with approximately $18 million already expended by existing parties.
  • Trillion will bear 80% of the cost of the next two wells and certain seismic costs.
  • Financing Tranches:
    • First tranche: $9.5 million (U.S.) for the 2026 work program.
    • Second tranche: $5.5 million (U.S.) for the 2027 work program.
  • A joint operating committee will determine all drilling decisions, planning, and procurement matters.
  • Post-investment, cost contributions will be pro rata based on participating interests.
• South Akcakoca Subbasin (SASB):
  • Trillion holds a 49% working interest in the SASB natural gas project in the Black Sea.
  • Turkish Petroleum Corporation (TPAO) holds the remaining 51% and is the operator.
  • The company is actively seeking buyers for its 49% interest.
• Other Operational Updates:
  • Previously announced farm-in agreements on M47, M46C, and M46D blocks have been cancelled.
  • Management continues to evaluate a pipeline of prospective oil and gas assets in Turkey and welcomes discussions with potential partners.
• Corporate Governance:
  • Shareholders are encouraged to attend the Annual General Meeting (AGM) scheduled for March 31, 2026.
  • Voting items include setting the number of directors at four, election of directors, appointment of the auditor, and approval of the long-term equity incentive plan.

Notable Quotes

• "The company is actively seeking buyers for its 49-per-cent interest in SASB and will provide further updates as they become available."
• "Management continues to evaluate a pipeline of prospective oil and gas assets, and welcomes discussions with potential partners and asset holders."