Vår Energi ASA

Earnings Release • May 8, 2024

Vår Energi sells Norne area assets and increases stake in Ringhorne East

Vår Energi sells Norne area assets and increases stake in Ringhorne East

Sandnes, Norway 8 May 2024: Vår Energi ASA (OSE: VAR) agrees the sale of its

Norne area assets to DNO Norge AS for a fixed after-tax consideration of USD 51

million, and DNO Norge AS will transfer to Vår Energi their stake in the

Ringhorne East unit.

The transaction with DNO is in line with Vår Energi's stated strategy to dispose

of non-core assets to high grade the portfolio, supporting further growth and

long-term value creation in our core hub areas. The assets being sold are late

life, and the transaction will improve Vår Energi's unit operating costs and

emissions intensity outlook.

Vår Energi CEO Nick Walker says:

"Vår Energi is one of the fastest growing E&P companies in the world and is

firmly on track to reach production of around 400 thousand barrels of oil

equivalent per day by the end of 2025. Following the Neptune transaction our

stated plan was to dispose of non-core assets to high grade the portfolio, and

we are pleased to have reached an agreement with DNO for the sale of producing

field interests in the Norne area and to receive an increased stake in the

Ringhorne East unit. This transaction reduces our operating cost and emissions

outlook and enhances future value creation."

The Norne area is located in the Norwegian Sea and include the Norne (6.9%), Urd

(11.5%), Skuld (11.5%) and Marulk (20%) fields and the Verdande (10.49%)

development project.

Vår Energi's net production from the Norne area fields was approximately three

thousand barrels of oil equivalent per day in 2023 and first quarter 2024. Net

remaining proved plus probable (2P) reserves for the fields is 7 million barrels

of oil equivalent at year end 2023.

The agreement will be effective from 1 January 2024. DNO Norge AS will assume

decommissioning liabilities for the acquired fields. As part of the transaction

Vår Energi will receive DNO Norge AS's 22.62% stake in the Ringhorne East unit.

The transaction is subject to customary regulatory approvals and is expected to

close in the third quarter 2024. The transaction does not impact Vår Energi's

previously announced production guidance for 2024, year-end 2025 and beyond.

Houlihan Lokey acted as exclusive financial advisor to Vår Energi on the

transaction and Advokatfirmaet Schjødt as legal advisor.

Contact

Investor relations

Ida Marie Fjellheim, Head of Investor Relations

+47 905 09 291

ida.fjellheim@varenergi.no

Stian Seipæjærvi, Investor Relations Analyst

+47 909 54 060

stian.salmi.seipaejaervi@varenergi.no

Media

Andreas Wulff, VP Communications

+47 926 16 759

andreas.wulff@varenergi.no

About Vår Energi

Vår Energi is a leading independent upstream oil and gas company on the

Norwegian continental shelf (NCS). We are committed to deliver a better future

through responsible value driven growth based on over 50 years of NCS

operations, a robust and diversified asset portfolio with ongoing development

projects, and a strong exploration track record. Our ambition is to be the

safest operator on the NCS, the partner of choice, an ESG leader with a tangible

plan to reduce emissions from our operations by more than 50% within 2030. Vår

Energi has around 1 300 employees and equity stakes in 47 fields. We have our

headquarters outside Stavanger, Norway, with offices in Oslo, Hammerfest and

Florø. To learn more, please visit varenergi.no