Tethys Petroleum receives reserve report

• The most recent release (April 10, 2026) is a NI 51-101 compliant reserve report for year-end 2025.
• Total proved and probable reserves volumes are reported as "about the same" as 2024 levels.
• Net Present Value (NPV) of proved plus probable reserves declined approximately 15% to $474 million from $560 million in 2024.
• The decline is attributed primarily to lower Brent crude oil price assumptions and a reduced domestic oil price environment in Kazakhstan.
• The report reaffirms that the fiscal and regulatory framework in Kazakhstan imposes a "significantly high tax and cost burden" on exported hydrocarbons.
• Previous operational updates (Feb-March 2026) indicated production ramp-up plans to ~700 t/d following equipment upgrades, though April news focuses on valuation rather than volume growth.

• The decline in NPV is negative for asset valuation but largely driven by external commodity price assumptions and known fiscal risks previously disclosed.
• Reserve volumes remaining stable prevents a "Material - Negative" classification regarding resource depletion or operational failure.
• However, the confirmation of high tax burdens without volume growth reinforces downside pressure on intrinsic value relative to the $1.75 acquisition offer seen in late 2025.
• The news does not introduce new operational risks but confirms existing headwinds, making it a Routine - Negative update for valuation models.

• Tethys Petroleum operates primarily in Kazakhstan, focusing on the Kul-Bas oil field and Aral 4 exploration block.
• Flagship Project: Kul-Bas Oil Field (Production Period officially commenced Feb 2026 through July 2048).
• Production wells include KBD-02, KBD-06, and KBD-07 with average output reported around 323-382 t/d in early 2026.
• Gas fields Kyzyloi and Akkulka contribute approximately 222,000 m³/day across 20 wells.
• Company is transitioning from exploration/development to production phase with infrastructure upgrades ongoing.