Panoro Energy ASA

Earnings Release • Nov 18, 2022

Panoro Energy - Corporate Update Including Gabon & South Africa Operations

Panoro Energy - Corporate Update Including Gabon & South Africa Operations

Oslo, 18 November 2022 - Panoro Energy ASA ("Panoro" or the "Company") today

provides a corporate and operations update in advance of its third quarter 2022

results which are scheduled for release on 30 November 2022. Information

contained within this release is unaudited and may be subject to further review

and amendment.

John Hamilton, CEO of Panoro, commented:

"As previously communicated our lifting schedule significantly stepped up from

July onwards with large liftings in Equatorial Guinea and Gabon in particular,

combined with robust oil prices, giving Panoro good momentum into year end and

beyond. The Hibiscus Ruche Phase 1 development offshore Gabon is progressing

very well with production growth in sight, keeping our outlook of achieving net

12,500 bopd during 2023 firmly on track.  While the Gazania-1 exploration well

result offshore South Africa is disappointing, it was a modest financial

exposure in line with our strategy to selectively explore for a large inventory

of prospective upside. Consistent with our strict financial discipline we have

continued to repay debt and maintain balance sheet strength. We look forward to

continue creating further shareholder value and implementing a capital return

policy."

Crude lifting update

· Total crude oil volumes lifted and sold in Q3 were 880,896 barrels at an

average realised price of USD 105.5 per barrel after customary price adjustments

and associated fees, resulting in proceeds to the Company of approximately USD

93 million for the quarter

· Total crude oil volumes lifted and sold in the first nine months were

1,039,797 barrels at an average realised oil price of USD 105.7 per barrel after

customary price adjustments and associated fees, resulting in proceeds to the

Company of approximately USD 110 million for the nine months

· In October, post period end, Panoro completed its scheduled lifting of

647,111 barrels in Gabon resulting in proceeds to the Company of approximately

USD 59 million. This lifting brings the aggregate volume of crude oil lifted and

sold by Panoro year-to-date to 1,686,908 barrels at an average realised price of

USD 100.3 per barrel

Financial position

· Cash at bank at 30 September was approximately USD 34 million

· Deleveraging continues with gross debt at 30 September of approximately USD

82 million (excluding oil revenue advances that may be taken against liftings)

after principal repayments of approximately USD 16 million were made in the

first nine months. Further repayments totalling USD 4 million are anticipated to

be made prior to year end

· Company largely unhedged, with legacy hedges of 600 bopd rolling off at the

end of December 2022

· As previously indicated, at its Q3 results, Panoro will update on a capital

return policy for shareholders

Gabon update

· As reported by the Operator, Hibiscus/Ruche Phase I development offshore

Gabon is progressing to plan. The BW MaBoMo production facility has been

installed on site and 20 kilometres of the subsea flowline installed.

Preparations are underway to commence development drilling in January with first

oil expected around the end of Q1 2023

· New gas lift compressor arrived in Gabon late October and is being prepared

for mobilisation to the FPSO with planned installation around year end and start

up during Q1 2023

· In aggregate, good visibility on production growth starting Q1, accelerating

through the year

Gazania-1 exploration well result

· The Gazania-1 exploration well located at Block 2B offshore the Northern

Cape in Orange Basin, South Africa, was safely drilled without incident to a

depth of 2,360 metres. The well did not encounter commercial hydrocarbons and

will now be plugged and abandoned

· Panoro holds a 12.5% non-operated interest in Block 2B with its total net

share of costs associated with the exploration well expected to marginally

exceed the USD 6 million previously guided

· Further analysis and integration of the well data will allow the JV to

determine the next steps on the Block

Production update

· Working interest production for the first nine months averaged approximately

7,700 bopd

· Production expected to return to in excess of 8,000 bopd level around the

year end with activities across all three production assets underway

· Q3 working interest production of approximately 7,300 bopd temporarily

affected by pump replacements in both Equatorial Guinea and Tunisia (since

restored)

· Target of achieving net 12,500 bopd during 2023 on track, with growth

expected starting in Q1 2023

Enquiries

Qazi Qadeer, Chief Financial Officer

Tel: +44 203 405 1060

Email: investors@panoroenergy.com

About Panoro Energy

Panoro Energy ASA is an independent exploration and production company based in

London and listed on the main board of the Oslo Stock Exchange with the ticker

PEN. Panoro holds production, exploration and development assets in Africa,

namely a producing interest in Block-G, offshore Equatorial Guinea, the Dussafu

License offshore southern Gabon, the TPS operated assets, Sfax Offshore

Exploration Permit and Ras El Besh Concession, offshore Tunisia and

participation interest in an exploration Block 2B, offshore South Africa.

Visit us at www.panoroenergy.com.

Follow us on LinkedIn (https://www.linkedin.com/company/panoro-energy)