Condor Energies increases financing to $26-million

• Condor Energies has upsized its previously announced bought deal public offering from $15 million to a total of $26 million in aggregate gross proceeds.
• The offering includes an over-allotment option for underwriters to purchase up to 1.5 million additional common shares, potentially generating approximately $3.9 million more.
• Net proceeds are designated for the development of natural gas fields in Uzbekistan (specifically field compression enhancement) and general corporate purposes.
• The offering price is $2.60 per share; anticipated closing date is on or about April 21, 2026.
• Underwriters Canaccord Genuity Corp. and Research Capital Corp. are leading the deal with standard 6% cash commissions plus broker warrants (3% of shares sold).
• This financing follows a record production announcement on April 13, 2026, where daily production exceeded 14,000 boe/d following the K-46 horizontal well.

• Capital Adequacy: The $26 million raise is material relative to the company's asset base ($98.4M reported end of 2025), providing sufficient liquidity to fund the announced 12-well drilling program and LNG facility completion without immediate further dilution.
• Dilution Risk: Issuing approximately 10 million shares (at $2.60) represents significant equity dilution, which typically exerts downward pressure on share price post-closing unless offset by substantial operational upside.
• Validation of Strategy: The ability to upsize a bought deal indicates strong institutional demand and validates management's growth narrative following the K-46 well success (9x AOF vs vertical wells).
• Operational Alignment: Proceeds directly fund field compression, which is critical for mitigating the historic 20% annual reservoir decline mentioned in historical news.
• Market Context: The financing occurs immediately after a material operational breakthrough; while positive for execution capability, equity raises are generally viewed as routine capital management rather than fundamental business model changes.

• Company: Condor Energies Inc., focused on natural gas exploration and production in Central Asia (Uzbekistan, Kazakhstan).
• Flagship Project: Kumli Field development in Uzbekistan, utilizing horizontal drilling to access high-porosity sucrosic dolomite formations.
• Production Status: Achieved record daily production of 14,000+ boe/d in April 2026; Q4 2025 average was 10,534 boe/d (up 20% YoY).
• LNG Initiative: First LNG liquefaction facility (48,000 gal/day capacity) fabricated and testing ongoing for shipment to Kazakhstan in Q2 2026.
• Critical Minerals: Holds 100% interest in Sayakbay and Kolkuduk lithium/copper licenses in Kazakhstan; drilling not expected before 2027.