New Zealand Energy Corp. Closes Funding Agreement

Executive Summary

• New Zealand Energy Corp. (“NZEC”) closed a definitive funding agreement with Monumental Energy Corp., effective January 12, 2026.
• Monumental will fund NZEC’s share of mutually‑agreed workover projects on the Licenses (PML 38140 & 38141) in onshore Taranaki, New Zealand.
• In return, NZEC granted Monumentan a project‑specific royalty: Monumental receives 75% of net receipts until its funded costs are recovered, then an ongoing 25% royalty thereafter.

Key Details

• Agreement Parties: New Zealand Energy Corp. (TSXV: NZ) and Monumental Energy Corp. (TSXV: MNRG).
• Effective Date: January 12, 2026.
• Licenses Covered: NZEC’s 50% interest in PML 38140 and PML 38141 located onshore Taranaki, New Zealand.
• Funding Scope: Monumental will provide capital to cover NZEC’s portion of workover projects aimed at increasing oil and gas production from the Licenses.
• Royalty Structure:
• Initial phase – Monumental receives 75% of net receipts, payable quarterly, until its funded costs are fully recovered.
• Post‑recovery phase – Monumental receives an ongoing royalty of 25% of net receipts.
• Conditions Precedent: Royalty becomes effective upon satisfaction of all conditions precedent and commencement of production from the workover projects.
• Strategic Rationale: Funding enables accelerated development and production upside on NZEC’s heritage assets, leveraging Monumental’s capital and expertise.

Notable Quotes

(No direct quotes were provided in the release.)