Panoro Energy ASA

Investor Presentation • Feb 22, 2024

SUSTAINABLE FOUNDATIONS, A RESILIENT FUTURE

Panoro Energy Q4 2023 TRADING AND FINANCIAL UPDATE 22 FEBRUARY 2024

DISCLAIMER

This presentation does not constitute an offer to buy or sell shares or other financial instruments of Panoro Energy ASA ("Company"). This presentation contains certain statements that are, or may be deemed to be, "forward-looking statements", which include all statements other than statements of historical fact. Forwardlooking statements involve making certain assumptions based on the Company's experience and perception of historical trends, current conditions, expected future developments and other factors that we believe are appropriate under the circumstances. Although we believe that the expectations reflected in these forward-looking statements are reasonable, actual events or results may differ materially from those projected or implied in such forward-looking statements due to known or unknown risks, uncertainties and other factors.

These risks and uncertainties include, among others, uncertainties in the exploration for and development and production of oil and gas, uncertainties inherent in estimating oil and gas reserves and projecting future rates of production, uncertainties as to the amount and timing of future capital expenditures, unpredictable changes in general economic conditions, volatility of oil and gas prices, competitive risks, counterparty risks including partner funding, regulatory changes and other risks and uncertainties discussed in the Company's periodic reports.

Forward-looking statements are often identified by the words "believe", "budget", "potential", "expect", "anticipate", "intend", "plan" and other similar terms and phrases. We caution you not to place undue reliance on these forwardlooking statements, which speak only as of the date of this presentation, and we undertake no obligation to update or revise any of this information.

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FINANCIAL HIGHLIGHTS

2023 was a record year for Panoro

FY 2023 HIGHLIGHTS	SHAREHOLDER RETURNS
FY 2023 Reported revenue USD 228.9 million	FY 2023 EBITDA USD 135.1 million	FY 2023 Profit before tax USD 74.3 million	Q4 2023 CASH DISTRIBUTION DECLARED OF
FY 2022: USD 188.6 million	FY 2022: USD 127.2 million	FY 2022: USD 60.4 million	NOK 50 million (to be paid as a return of paid in capital)
Q4 2023 HIGHLIGHTS			EQUATES TO
Q4 2023 Reported revenue USD 55.2 million	Q4 2023 EBITDA USD 31.4 million	Q4 2023 Profit before tax USD 13.2 million	NOK 0.427 / sh
Q3 2023: USD 107.3 million	Q3 2023: USD 64.8 million	Q3 2023: USD 46.7 million	CASH DISTRIBUTION HISTORY NOK/sh
BALANCE SHEET			0.5 0.427 0.342 0.342 0.4 0.2658 0.2639 0.3 0.2
Cash at bank at 31/12/23 USD 27.8 million	Gross debt at 31/12/23 USD 69.5 million	Oil revenue advances at 31/12/2023 USD 23.8 million	0.1 0 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023
31/12/22: USD 32.7 million	30/09/22: USD 79.5 million	To smooth working capital	CUMULATIVE PAYOUT TO DATE (INCLUSIVE OF Q4 2023) NOK 190 MILLION

2024 SHAREHOLDER RETURNS POLICY

Panoro is committed to delivering sustainable shareholder returns

• Between NOK 400 million and NOK 500 million
• Range dependent on timing and de-risking of major production operations in Gabon and Equatorial Guinea
• Weighted towards second half as production milestones are achieved and corresponding FCF builds
• Paid on a quarterly basis, with first 2024 cash distribution to be declared at Q1 results in May 2024
• To be paid as a return of paid in capital

• Paid in form of cash distribution, share buyback or combination thereof

SPECIAL DISTRIBUTION AND SHARE BUYBACKS

• At discretion of the Board

KEY FACTORS

• Based on realised oil price of USD 85 / bbl (representing 2024 analyst consensus) and current FX rates
• The Board will consider upward or downward revisions should oil prices be higher / lower and as production derisking occurs

UPDATE ON GROUP DRILLING ACTIVITIES

Panoro is in its most active phase of continual drilling

		2023				2024
GABON
Hibiscus					W	W	th well now planned on Hibiscus 5
Ruche							Current campaign comprises 1 Ruche well
Hibiscus South (Nov '23 discovery)							Re-used top hole to drill production section & complete as additional 7th producer
Bourdon Prospect							Contingent on prior activities being performed within time expectations
EQUATORIAL GUINEA
Block G					W	Rig contract terminated upon	TBC TBC TBC
Block S (Akeng Deep)						recommendation of Block G operator	TBC

GABON

• Drilling of Hibiscus South development well concluded and completion operations are underway
• Rig will then be utilised to drill a side-track at the suspended Ruche development well, drill an additional Hibiscus development well, perform additional workovers and subject to timing drill the Bourdon prospect test well

EQUATORIAL GUINEA

• Alternative options are being evaluated that will allow for the recommencement of the intended drilling campaign at the earliest opportunity, potentially during late Q2 subject to rig availability and terms

PRODUCTION PERFORMANCE AND GUIDANCE

Panoro benefits from a diversified production base

Working Interest bopd

• Average group working interest production:

FY 2023	Q4 2023
8,471	9,411
bopd	bopd

• Exceeded 12,000 bopd at times in Q4 2023 with full contribution of the four new Hibiscus wells in Gabon
• Target of >13,000 bopd when remaining wells in current Gabon campaign are onstream is unchanged
• FY 2023 group production is expected to average between 11,000 bopd to 13,000
  • Recognises the pause in drilling offshore Equatorial Guinea and assumes recommencement mid-year

CRUDE LIFTING SCHEDULE

Panoro expects to lift a materially higher volume in 2024

• Joint lifting arrangements in 2024 are expected to result in a more consistent quarterly lifting pattern
• Positive crude oil inventory of ~428,000 barrels at end Q4
• Panoro's entitlement volume from production for Q4 2023 was 753,400 barrels
• ~250,000 barrels lifted in Q1 2024 to date with ~500,000 barrels due to be lifted in March

* Current 2024 lifting schedule anticipated by management remains subject to possible changes due to commercial and operational factors

Slide 8 Panoro Energy ASA | Q4 2023 Trading and Financial Update

DEBT PROFILE AND CAPEX

USD 26.1 million debt principal repayments in 2023, full-year 2024 capex guidance USD 75 million

Facility	Maturity	Amount drawn at 31/12/23	Rate
RBL facility	March 2026	USD 70.5 MM	SOFR + 7.5%
Advance payment facility	n/a	USD 23.8 MM	SOFR + 4.0%

CURRENT RBL MATURITY PROFILE

Note: Cumulative external debt in the Balance Sheet as of 31 December 2023 was USD 69.5 million which includes effects of accrued interest to period end, offset by un-amortised borrowing cost which is to be expensed over the life of the loan instrument.

• FY 2023 capex of USD 67 million* primarily relates to current development drilling campaign in Gabon
• Planned capital projects in 2024 include:
  • − Fast-track development of the Hibiscus South discovery, drilling of Ruche sidetrack and additional Hibiscus producer in Gabon
  • − ESP remedial works in Gabon
  • − Drilling of Bourdon (Prospect B) in Gabon (subject to prior work being completed in time expectations)
  • − Equatorial Guinea infill drilling campaign and Akeng Deep ILX well (subject to availability of alternative rig to recommence drilling)

RECONCILIATION OF CASH FLOW IN 2023

Robust financial position maintained

GABON UPDATE

Gross production is expected to increase from March onwards towards the 40,000 bopd level

Ownership DUSSAFU MARIN (PANORO 17.5%)

HIBISCUS SOUTH

• Drilling of development well concluded and completion operations underway – expected onstream in March
• Results from logging indicate scope for materially higher reserves than initial estimates at discovery

HIBISCUS RUCHE PHASE I

• Three out of four wells in production
  • Two wells on ESP and one well under natural flow
  • ESP performance to date encouraging under adjusted operating parameters
  • Fourth well will be worked over in April
• Electrical failure root cause analysis ongoing
• Three conventional ESPs scheduled for imminent delivery as a contingency plan

TORTUE FIELD

• Tortue continues to produce steadily from all six existing production wells following new gas lift compressor installation in July 2023

EQUATORIAL GUINEA UPDATE

Three new Block G infill wells to add additional new volume

Ownership BLOCK G (PANORO 14.25%) Oveng

OPERATIONS UPDATE

• The partners remain committed to recommencing the planned drilling campaign at the earliest opportunity (subject to availability and terms of alternative options)
• Multiple other projects being progressed including
  • − flowline replacements
  • − gas compression at Okume
  • − planning for future gas injection to reduce flaring

PROFITS TAX UPDATE

• Effective 2024 onwards profit tax rate will reduce to 25% from current 35%
• Cash flow effect will be 2025 onwards (tax paid in year after taxable period ends)
• 2022 profits taxes were paid Q4 2023 amounting to approximately USD 21 million (lump sum in line with annual routine tax schedules under the PSC)

TUNISIA UPDATE

TPS assets contain one of Tunisia's largest oil producing concessions

Ownership TPS ASSETS (PANORO 49%)

• Acquired 40% minority share in Panoro's Tunisia business it did not previously own in April 2023
• Simplifies Panoro's Tunisian asset ownership structure (now 100% owned)
• Focus is on maturing new production opportunities
• The TPS assets have historically produced over 6,000 bopd gross
• Panoro sees opportunities to restore production to historic levels
• New production opportunities include a workover campaign comprising ESP replacement and stimulation of three wells at the Cercina field scheduled to commence in Q2 2024

KEY MESSAGES

VISIBLE PRODUCTION GROWTH

11 – 13 kbopd 2024E W.I production

65.1 MMbbls 2P + 2C volume**

Continued development in 2024 and beyond

INFRASTRUCTURE LED E&A STRATEGY

Hibiscus South Expected lead time from discovery to first oil of just five months

High impact wells to come in Equatorial Guinea (Akeng Deep) and Gabon (Bourdon)

NOK 400 – 500 MM 2024 target distribution*

RETURNS

SUSTAINABLE SHAREHOLDER

Quarterly

core cash distribution plus combination of special cash distribution and/or buybacks

Opportunistic

and price disciplined approach to new ventures (ie. EG payback achieved in 18 months)

* Subject to criteria set out in Panoro's 2024 Shareholder Returns policy detailed on slide 5 of this presentation

** At 31/12/2022 per Annual Statement of Reserves and adjusted for Tunisia acquisition

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Contact details

78 Brook Street London W1K 5EF United Kingdom Tel: +44 (0) 203 405 1060 Fax: +44 (0) 203 004 1130

Visit us at: panoroenergy.com