Energy SpA — Earnings Release 2022

Apr 25, 2022

BW Energy: Q1 2022 trading and financial update

BW Energy: Q1 2022 trading and financial update

Q1 2022 trading and financial update

BW Energy today provides an update on the operations and development of the

Dussafu Marin license in Gabon. The Company will publish financial figures for

the first quarter of 2022 on Friday, 27 May.

Gross production from the Tortue field averaged approximately 11,600 barrels of

oil per day in the first quarter of 2022, amounting to a total gross production

of approximately 1 million barrels of oil for the period. The reduction in

production compared to the fourth quarter of 2021 was due to the 12-day planned

annual maintenance shutdown of the BW Adolo in February, which more than offset

the positive impact of a full quarter of production from the two new Tortue

phase-2 wells and the use of interim nitrogen gas lift.

BW Energy completed one lifting in the quarter at a price of USD 120 per barrel.

Production cost (excluding royalties) was approximately USD 33 per barrel. The

overall production cost includes approximately USD 1 million related handling of

the COVID-19 pandemic in the period.

BW Energy's share of gross production was approximately 765,000 barrels of oil.

The net sold volume, which is the basis for revenue recognition in the financial

statement, was 1,015,000 barrels including 65,000 barrels of quarterly Domestic

Market Obligation (DMO) deliveries with an over- lift position of 384,000

barrels at the end of the period.

BW Energy had a cash balance of USD 111 million at 31 March 2022, compared to

USD 150 million at 31 December 2021. The decrease was mainly due to high

investment activities related to the Hibiscus/Ruche project. Payment for the

March 2022 lifting is expected to be received by end of April.

At the beginning of period, the Company had entered into commodity price hedges

for a total volume of 1.6 million barrels for 2022 and 2023, of which 59% is for

2022. These were a combination of swaps and zero-cost collars that will allow

for future cash flow stability for ongoing development projects.

BW Energy has recognized crude oil hedge losses in the amount of USD 22.2

million for the first quarter, of which approximately 50% were realised in the

period.

BW Energy has scheduled a webcast for 27 May 2022 where the company will provide

a review of operations and ongoing development projects.

For further information, please contact:

Knut R. Sæthre, CFO BW Energy, +47 91 11 78 76

ir@bwenergy.no

About BW Energy:

BW Energy is a growth E&P company with a differentiated strategy targeting

proven offshore oil and gas reservoirs through low risk phased developments. The

Company has access to existing production facilities to reduce time to first oil

and cashflow with lower investments than traditional offshore developments. The

main assets are 73.5% of the producing Dussafu Marine Permit offshore Gabon and

a 95% interest in the Maromba field in Brazil, both operated by the Company.

Total net 2P+2C reserves were 240 million barrels at the start of 2022.

This information is subject to the disclosure requirements pursuant to Section

5-12 of the Norwegian Securities Trading Act.