Financial statements
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Eco (Atlantic) Oil & Gas Ltd. Condensed Interim Consolidated Financial Statements For the Three and Six Month Periods ended September 30, 2025 and 2024 Expressed in US Dollars (Unaudited)
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NOTICE TO SHAREHOLDERS The accompanying Unaudited Condensed Interim Consol idated Financial Statements of Eco (Atlantic) Oil & Gas Ltd. for the three and six month periods ended September 30, 2025 and 2024 have been prepared by management in accordance with International Financial Reporting Standards applicable to Condensed Interim Consolidated Financial Statements. Recognizing that the Company is responsible for both the integrity a nd objectivity of the Unaudited Condensed Interim Consolidated Financial Statements, manageme nt is satisfied that these Unaudited Condensed Interim Consolidated Financial Statements have been fairly presented. Under National Instrument 51-102, part 4, sub-section 4.3(3)(a), if an auditor has not performed a review of the Condensed Interim Consolidated Fina ncial Statements, they must be accompanied by a notice indicating that the financi al statements have not been reviewed by an auditor. The Company’s independent auditor has not performed a review of these Unaudited Condensed Interim Consolidated Financial Statements in accord ance with standards established by the Institute of Chartered Professional Accountants of Canada for a review of interim financial statements by an entity’s auditor.
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Eco (Atlantic) Oil & Gas Ltd. Table of Contents September 30, 2025 and 2024 Contents Page Condensed Interim Consolidated Financial Statements Condensed Interim Consolidated Statements of Financial Position 1 Condensed Interim Consolidated Statements of Operations and Comprehensive Loss 2 Condensed Interim Consolidated Statements of Changes in Equity 3 Condensed Interim Consolidated Statements of Cash Flows 4 Notes to Condensed Interim Consolidated Financial Statements 5 –16
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Eco (Atlantic) Oil & Gas Ltd. Condensed Interim Consolidated Statements of Financial Position (Unaudited) (Expressed in US Dollars) 1 Basis of Preparation (Note 2) Commitments (Note 13) Approved by the Board of Directors of the Company (“Board”) “Gil Holzman” “Gadi Levin” Director Director The accompanying notes are an integral part of these Unaudited Condensed Interim Consolidated Financial Statements.
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Eco (Atlantic) Oil & Gas Ltd. Condensed Interim Consolidated Statements of Operations and Comprehensive Loss (Unaudited) (Expressed in US Dollars) 2 The accompanying notes are an integral part of these Unaudited Condensed Interim Consolidated Financial Statements. 2025 2024 2025 2024 Income Interest income $ 2,116 $ 4,300 $ 18,096 $ 7,511 Operating expenses Compensation costs 453,568 271,845 705,643 471,312 Professional fees 138,434 214,519 250,037 356,488 Operating costs, net (Note 14) 528,221 1,005,555 1,475,456 1,547,241 General and administrative costs (Note 15) 267,109 156,588 394,095 314,613 Share-based compensation (Notes 10) 268,861 - 409,930 - Foreign exchange loss (gain) 737 (11,813) (6,954) 77,310 Total operating expenses 1,656,930 1,636,694 3,228,207 2,766,964 Net loss for the year, before taxes (1,654 ,814) (1,632,394) (3,210,111) (2,759,453) Tax recovery - - Net loss for the year, after taxes (1,654, 814) (1,632,394) (3,210,111) (2,759,453) Foreign currency translation adjustment (984) 75,627 (18,517) 43,888 Comprehensive loss for the period $ (1,655,79 8) $ (1,556,767) $ (3,228,628) $ (2,715,565) Basic and diluted net loss per share: $ (0.005) $ (0.004) $ (0.010) $ (0.007) Weighted average number of ordinary shares used in computing basic and diluted net loss per share 315,231,936 370,173,680 315,231,936 370,173,680 Six months ended Three months ended September 30, September 30,
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Eco (Atlantic) Oil & Gas Ltd. Condensed Interim Consolidated Statements of Changes in Equity (Unaudited) (Expressed in US Dollars) 3 The accompanying notes are an integral part of these Unaudited Condensed Interim Consolidated Financial Statements.
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Eco (Atlantic) Oil & Gas Ltd. Condensed Interim Consolidated Statements of Cash Flows For the Six Months Ended September 30, 2025 and 2024 (Unaudited) (Expressed in US Dollars) 4 The accompanying notes are an integral part of these Unaudited Condensed Interim Consolidated Financial Statements.
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Eco (Atlantic) Oil & Gas Ltd. Notes to the Unaudited Condensed Interim Consolidated Financial Statements For the Three and Six Months Ended September 30, 2025 and 2024 (Expressed in US Dollars) 5 1. Nature of Operations a) Eco (Atlantic) Oil & Gas Ltd. (“Eco Atlantic” or the “Company”) operates a business focused on high growth, high impact energy projects - primarily through identifying, acquiring, and exploring oil and gas assets. The Company's key oil and gas assets include Block 1 (see note 7(b)(i)) and Block 3B/4B offshore the Republic of South Africa (“South Africa”), four licenses offshore the Republic of Namibia (“Namibia), and an interest in the Orinduik License offshore the Co-Operative Republic of Guyana (“Guyana”). The head office of the Company is located at 7 Coulson Avenue, Toronto, ON, Canada, M4V 143. The Company is listed on the TSX Venture Exchange ( “TSXV”) and trades under the symbol “EOG.V” and on the AIM Market (“AIM”) of the London Stock Exchange and trades under the symbol “ECO.L”. These condensed interim consolidated financial statements were approved by the Board of Directors of the Company on November 18, 2025. b) Going Concern These condensed interim consolidated financial stat ements have been prepared in accordance with International Financial Reporting Standards (“IFRS”) on a going concern basis, which assumes the realization of assets and liquidation of liabilities in the normal course of business. In the opinion of management, a ll adjustments (consisting of normal recurring accruals) considered necessary for a fair statement of results in accordance with IFRS have been included. The Company has accumulated a deficit of $103,277,236 since its inception and expects to incur further losses in the development of its business. The ability of the Company to continue as a going c oncern depends upon a combination of the discovery of economically recoverable petrol eum and natural gas licenses, completion of existing farm-out agreements, including the receipt of $11.5m due from its JV partners in accordance with a farm out agreement signed in March 2024 (see note 5(b)(ii)), the ability of the Company to obtain financing to complete development, and upon future profitable operations from the licenses or profitable proceeds from their disposition. These matters raise some doubt about the Company's ability to continue as a going concern. In the event the Company is unable to cont inue as a going concern, the net realizable value of its assets may be materially le ss than the amounts recorded on its condensed interim consolidated statements of financial position. These condensed interim consolidated financial statements do not reflect any adjustments to the carrying value of assets and liabilities that would be necessary if the Company were unable to achieve profitable operations or obtain adequate financing. 2. Basis of Preparation The Condensed Interim Consolidated Financial Statements of the Company have been prepared on a historical cost basis with the exception of certain financial instruments that are measured at fair value. Historical cost is generally based on t he fair value of the consideration given in exchange for assets.
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Eco (Atlantic) Oil & Gas Ltd. Notes to the Unaudited Condensed Interim Consolidated Financial Statements For the Three and Six Months Ended September 30, 2025 and 2024 (Expressed in US Dollars) 6 3. Summary of Material Accounting Policies Statement of compliance The Company applies International Financial Reporti ng Standards (“IFRS”) as issued by the International Accounting Standards Board and interpretations issued by the IFRS Interpretations Committee. These Unaudited Condensed Interim Consolidated Financial Statements have been prepared in accordance with International Accounting Standards (“IAS”) 34 Interim Financial Reporting. The Unaudited Condensed Interim Consolidated Financial Statements do not include all of the information required for annual consolidated financ ial statements and should be read in conjunction with the Company’s Audited Consolidated Financial Statements for the year ended March 31, 2025. Any subsequent changes to IFRS that are given effec t in the Company's annual consolidated financial statements for the year ending March 31, 2026, could result in restatement of these condensed interim consolidated financial statements. Significant accounting judgements and estimates The preparation of the condensed interim consolidat ed financial statements using accounting policies consistent with IFRS requires management t o make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities, the reported amounts of revenues and expenses and t o exercise judgment in the process of applying the accounting policies. Critical accounting estimates Estimates and underlying assumptions are reviewed o n an ongoing basis. Revisions to accounting estimates are recognised prospectively f rom the period in which the estimates are revised. The following are the key estimate and ass umption uncertainties, considered by management. Judgements i) Impairment of petroleum and natural gas licenses When there is objective evidence that an asset may be impaired, the Company is required to estimate the asset’s recoverable amount. The recoverable amount is the greater of value in use and fair value less costs to sell. ii) Investment in associates The Company has determined it holds significant inf luence over JHI Associates Inc. (“JHI”) due to its ability to appoint a director to the JHI Boa rd. Accordingly, the Company accounts for its investment using the equity method of accounting in accordance with IAS 28 Investments in Associates and Joint Ventures. Management applies its judgements as to whether the Company has significant influence over JHI and if the Company did not have significant influence, it would account for the investment as a financial instrumen t carried at fair value through profit and loss. During the year ended March 31, 2024, the Company identified objective evidence of impairment relating to the Company’s investment in JHI and consequently revalued this investment. Estimates i) Stock Based Compensation The Company uses the fair value method, utilizing t he Black-Scholes option pricing model, for valuing stock options granted to directors, officer s, consultants and employees. The Black- Scholes model is based on significant assumptions s uch as volatility, dividend yield, risk free interest rate, estimated forfeitures and expected term.
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Eco (Atlantic) Oil & Gas Ltd. Notes to the Unaudited Condensed Interim Consolidated Financial Statements For the Three and Six Months Ended September 30, 2025 and 2024 (Expressed in US Dollars) 7 5. Petroleum and Natural Gas Licenses Licenses Balance – March 31, 202 4 $ 28,168,439 Acquisition of Block 1 150,000 Block 3B/4B farm-out (11,871,165 ) Balance - March 31, 202 5 $ 16,447,274 Acquisition of Block 1 (Note 5b(i)) 225,000 Balance - September 30, 2025 16,672,274 The petroleum and natural gas licenses of the Compa ny are located offshore in Guyana, South Africa, and Namibia. a) Guyana The Orinduik block is situated in shallow to deep water (70m – 1,400m), 170 kilometers offshore Guyana in the Suriname Guyana basin (“Orinduik Block”). The Company was awarded the Orinduik Petroleum Lice nse in 2016, alongside JV Partner and Operator, Tullow Oil Plc (“Tullow”). During 2019, the Company completed two exploration wells, including two discoveries, and on February 3, 2020, the Company announced the filing of a National Instrument 51-101 compliant resource report on the Orinduik Block. On August 10, 2023, the Company acquired an additio nal 60% operating interest in Orinduik Block, offshore Guyana, through the acquisition of Tullow Guyana B.V. ("TGBV"), a wholly owned subsidiary of Tullow. The transaction closed on Nov ember 15, 2023, TGBV was renamed Eco Orinduik B.V. (“Eco Orinduik”) and as such the Company holds an aggregate 100% Participating Interest via Eco Orinduik (60% and operator of the block) and Eco (Atlantic) Guyana Inc. (40%). b) South Africa Offshore South Africa in the Orange Basin, the Company holds a 5.25% Working Interest (“WI”) in the 17,581 km 2 Block 3B/4B (“Block 3B/4B”) and on June 5, 2024, t he Company announced the acquisition of Block 1 (“Block 1”) pending government title award, which was granted on June 3, 2025 (see note (i) below). i) Block 1 On June 4, 2024, the Company completed the farm-in into Block 1 Offshore South Africa Orange Basin. Through Azinam South Africa, the Company wil l farm-in and acquire a 75% WI from Tosaco Energy (Proprietary) Limited ("Tosaco") and will become operator of a new exploration right (the "Block 1 Farm-In"). The terms of the 75% WI Block 1 Farm-In are as foll ows: $150,000 payable upon signing (Paid on June 6, 2024), $225,000 payable upon issuance of Section 11 (Government title transfer) (Paid on June 4, 2025) and $375,000 payable upon a TSX-V/ AIM compliant Resource Report to be commissioned by the Company. The Company will carry the remaining 25% WI through the budget and work program for the first three years u p to an agreed sum of $2.3 million of a total work program.
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Eco (Atlantic) Oil & Gas Ltd. Notes to the Unaudited Condensed Interim Consolidated Financial Statements For the Three and Six Months Ended September 30, 2025 and 2024 (Expressed in US Dollars) 8 5. Petroleum and Natural Gas Licenses (continued) b) South Africa ii) Block 3B/4B Block 3B/4B, located between 120-250kms offshore we stern South Africa, covers an area of 17,581km² and lies in water depths ranging from 300 -2500m. the Company’s interest in Block 3B/4B is 5.25%. During the years ended March 31, 2025 and 2024, the Company signed several farmout agreements pursuant to which the Company will recei ve future milestone based payments, as following: a full carry of its 5.25% retained share of all JV costs, up to a limit of $13.5 million, repayable to TotalEnergies and QatarEnergy from production, which is expected to be adequate to fund the Company's share of drilling for up to two wells on the license. This represents a total block carry of $212 million. Further payments, amounting to $11.5 million will be payable to the Company from TotalEnergies, QatarEnergy and Africa Oil (Meren) on achieving agreed milestones; award of an environmental permit and spudding of the first exploration well. c) Namibia The Company holds four offshore petroleum licenses in the Republic of Namibia (“Namibia”) being petroleum exploration license number 097 (the “Cooper License”), petroleum exploration license number 098 (the “Sharon License”), petroleum explor ation license number 099 (the “Guy License”) and petroleum exploration license number 100 (the “Tamar License”), (together the ““Namibia Licenses”). On February 3, 2021, a new ten year life cycle for the Namibia Licenses received final governmental approval and on March 15, 2025, all th e Namibia Licenses received a formal 12- month extension. On August 27, 2025, the Ministry of Industries, Min es and Energy of the Republic of Namibia approved a 12-month extension to the First Renewal Exploration Period for all four licenses under Section 30 (2A) of the Petroleum (Exploration and P roduction). The revised expiry date is 26 August 2026. The approved license framework includes: a one-year extension to the Initial Exploration Period; an optional two-year First Renewal Period; an optional additional one-year extension to the First Renewal Period; and an optional two-year Second Ren ewal Period thereafter. This extended schedule provides additional time to conduct explor ation activities and secure new farm-in partners.
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Eco (Atlantic) Oil & Gas Ltd. Notes to the Unaudited Condensed Interim Consolidated Financial Statements For the Three and Six Months Ended September 30, 2025 and 2024 (Expressed in US Dollars) 9 5. Petroleum and Natural Gas Licenses (continued) c) Namibia (continued) (i) The Cooper License The Cooper License covers approximately 5,788kms an d is located in license area 2012A offshore in the economical waters of Namibia (the “Cooper Block”). The Company holds, through its subsidiaries, a 85% working interest (“WI”) in the Cooper License, the National Petroleum Corporation of Namibia (“NAMCOR”) holds a 10% WI an d Tangi Trading Enterprise cc holds a 5% WI. The Company is responsible for all exploration costs during the exploration period. (ii) The Sharon License The Sharon License covers approximately 5,700kms and is located in license area 2213 offshore in the economical waters of Namibia (the “Sharon Bl ock”). The Company holds, through its subsidiaries, a 85% WI in the Sharon License, NAMCOR holds a 10% WI, and Titan Oil and Gas (Pty) Ltd holds a 5% WI The Company is responsible for all exploration costs during the exploration period. On September 15, 2025 the Company executed a farmout agreement to sell its entire 85% WI in to Lamda Energy (“Sharon Farm-out Agreement”). Lamda Energy is a privately owned and operated offs hore oil and gas company with an experienced Operating Team. Lamda Energy will becom e a wholly Namibian-owned qualified offshore Operator upon Ministerial approval. Under the terms of the Sharon Farm-out Agreement, L amda Energy will make an up-front payment to the Company for administrative costs, and, on completion, will assume all obligations and liabilities associated to Sharon Block. In addition, in the event of a future farm-out by Lamda Energy to a third party, Lamda Energy will be required to make certain payments to the Company at a fixed quantum per percentage interest farmed out, up to a maximum of $2 million. The Company will retain a board seat at Lamda Energ y to support a comprehensive transition and knowledge transfer ensuring a smooth and respon sible handover. This marks a significant milestone in building local capacity and advancing inclusive energy development. (iii) The Guy License The Guy License covers 11,457kms and is located in license area 2111B and 2211A offshore in the economical waters of Namibia (the “Guy Block”). The Company holds, through its subsidiaries, a 85% WI in the Guy License, NAMCOR holds a 10% WI, and Lotus Explorations (Pty) Ltd holds a 5% WI. The Company is responsible for all exploration costs during the exploration period. (iv) The Tamar License The Tamar License covers approximately 5,649kms and is located in license areas 2211B and 2311A offshore in the economical waters of Namibia (the “Tamar Block”). The Company holds, through its subsidiaries, an 85% WI in the Tamar Bl ock, NAMCOR holds a 10% WI and Moonshade Investment (Pty) Ltd holds a 5% WI. The Company is responsible for all exploration costs during the exploration period. In August 2024, the Company purchased the license t o 1,324 km of existing 2D seismic survey in the Tamar Block.
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Eco (Atlantic) Oil & Gas Ltd. Notes to the Unaudited Condensed Interim Consolidated Financial Statements For the Three and Six Months Ended September 30, 2025 and 2024 (Expressed in US Dollars) 10 6. Related Party Transactions and Balances and Dire ctor and Officer Remuneration The following are the expenses incurred with relate d parties for the six-month periods ended September 30, 2025 and 2024 and the balances owing as of September 30, 2025 and 2024: September 30, 2025 September 30, 2024:
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Eco (Atlantic) Oil & Gas Ltd. Notes to the Unaudited Condensed Interim Consolidated Financial Statements For the Three and Six Months Ended September 30, 2025 and 2024 (Expressed in US Dollars) 11 7. Share Capital Authorized Share Capital The authorized share capital consists of an unlimit ed number of Common Shares with no par value. Issued Share Capital Share transactions during the six months ended September 30, 2025: a) There were no issuances of Common Shares during the six months ended September 30, 2025. 8. Restricted Share Units a) Since December 29, 2017, the Company maintains a n Omnibus Incentive Plan (the “Plan”) for the directors, officers, consultants and employ ees of the Company and its subsidiary companies. The maximum number of RSU’s and options issuable under the Plan shall be equal to ten percent (10%) of the outstanding Commo n Shares of the Company less the aggregate number of Common Shares reserved for issu ance or issuable under any other security-based compensation arrangement of the Company. b) As at September 30, 2025, there are 5,468,000 RS U issued of which 13.700.000 have not yet vested. 9. Warrants A summary of changes in warrants for the year ended March 31, 2025 and the six months ended September 30, 2025 is detailed below: Number of Warrants Weighted Average Exercise Price ($) Balance, March 31, 2024 73,406,531 0.69 Expired (20,000,000) 0.73 Cancelled (4,864,865) 0.41 Balance, March 31, 2025 48,541,666 0.67 Expired May 11, 2025 (48,541,666) 0.67 Balance, September 30, 2025 - -
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Eco (Atlantic) Oil & Gas Ltd. Notes to the Unaudited Condensed Interim Consolidated Financial Statements For the Three and Six Months Ended September 30, 2025 and 2024 (Expressed in US Dollars) 12 10. Stock Options The Company maintains a stock option plan (the “Pla n”) for the directors, officers, consultants and employees of the Company and its subsidiary companies. The maximum number of options issuable under the Plan shall be equal to ten percent (10%) of the outstanding Common Shares of the Company less the aggregate number of Common Shares reserved for issuance or issuable under any other security-based compensation arrangement of the Company. A summary of the status of the Plan as at September 30, 2025 and changes during the period is as follows: Number of Stock options Weighted average exercise price (US$) Remaining contractual life - years Balance, March 31, 202 4 6,050,000 $ 0.387 3. 05 Expired (200,000) 0.834 - Granted 5,610,000 0.208 4.79 Balance, March 31, 2025 and September 30, 2025 11,460,000 $ 0.279 2.99 Stock-based compensation expense is recognized over the vesting period of options. During the three and six month periods ended September 30, 2025, stock-based compensation in respect of stock option grants amounted to $409,930 (three and six month periods ended September 30, 2024 – $nil). As at September 30, 2025, outstanding options were as follows: 11. Asset Retirement Obligations (“ARO”) The Company is legally required to restore its prop erties to their original condition. Estimated future site restoration costs will be based upon en gineering estimates of the anticipated method and the extent of site restoration required in acco rdance with current legislation and industry practices in the various locations in which the Company has properties. During the year ended March 31, 2023, one well was drilled, plugged, and abandoned as the operator in accordance with international and the requirements of the Government of the Republic of South Africa, so there is no further liability after the drilling program was completed. During the years ended March 31, 2024 and 2025, and the six-month period ended September 30, 2025, no additional wells were drilled. Number of Options Outstanding Numnber of Options Exercisable Exercise Price Exercise Price (US$) Expiry Date 5,850,000 5,850,000 C$0.50 $0.35 May 16 , 2027 5,610,000 2,805,000 C$0.30 $0.21 Januar y 10, 2030 11,460,000 8,655,000
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Eco (Atlantic) Oil & Gas Ltd. Notes to the Unaudited Condensed Interim Consolidated Financial Statements For the Three and Six Months Ended September 30, 2025 and 2024 (Expressed in US Dollars) 13 12. Capital and Risk Management Capital Management The Company considers its capital structure to consist of share capital, deficit and reserves. The Company manages its capital structure and makes adj ustments to it, in order to have the funds available to support the acquisition, exploration and development of its licenses. The Board does not establish quantitative return on capital criter ia for management, but rather relies on the expertise of the Company’s management to sustain future development of the business. The Company is an exploration stage entity; as such the Company is dependent on external equity financing to fund its activities. In order t o carry out the planned exploration and pay for administrative costs, the Company will spend its ex isting working capital and raise additional amounts as needed. Management reviews its capital management approach on an ongoing basis and believes that this approach, given the relative size of the Company, is reasonable. There were no changes in the Company’s approach to capital management during the six-month period ended September 30, 2025. Neither the Compan y nor its subsidiaries are subject to externally imposed capital requirements. Risk Management a) Credit risk The Company’s credit risk is primarily attributable to short-term investments, government receivable, amounts receivable and amounts owing by license partners. The Company has no significant concentration of credit risk arising from operations. Short-term investments consist of deposits with Schedule 1 banks, from which management believes the risk of loss to be remote. Amounts receivable consist of advances to suppliers and harmonised sales tax due from the Federal Government of Canada, and VAT due from the South African Government. Government receivable and amounts owing by license partners have been collected subsequent to year end. Management believes that the credit risk concentrat ion with respect to amounts receivable and amounts owing by license partners is remote and has a history of collecting all such receivables. b) Interest rate risk The Company has cash balances, cash on deposit, and no interest-bearing debt. It does not have a material exposure to this risk.
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Eco (Atlantic) Oil & Gas Ltd. Notes to the Unaudited Condensed Interim Consolidated Financial Statements For the Three and Six Months Ended September 30, 2025 and 2024 (Expressed in US Dollars) 14 12. Capital and Risk Management (continued) Risk Management (continued) c) Liquidity risk The Company is dependent on obtaining financing to complete its exploration programs and development thereon where applicable, and ultimately, achieving future profitable operations from the licenses or profitable proceeds from their disposition. The Company ensures, as far as possible, that it will have sufficient liquidity to meet its liabilities when due, without incurring unacceptable losses or harm to the Company’s reputation. The Company's approach to managing liquidity risk is to ensure that it will have sufficient liquidity to meet liabilities as they come due. As of Septemb er 30, 2025, the Company has a working capital balance of $893,646 (March 31, 2025 – worki ng capital of $3,937,344). The table below presents the maturity profile of the Company’s fina ncial liabilities based on contractual undiscounted payments: The Company utilizes authorisation for expenditures to further manage capital expenditures and attempts to match its payment cycle with available cash resources. Accounts payable and accrued liabilities at September 30, 2025 all have contractual maturities of less than 90 days and are subject to normal trade terms. The Company is dependent on obtaining financing to complete development, and upon future profitable operations from the licenses or profitable proceeds from their disposition. d) Foreign currency risk Most of the Company’s operations are in US dollars and most of the cash and cash equivalent are also held in US dollars. Therefore foreign exch ange risk is low. Management periodically considers reducing the effect of exchange risk through the use of forward currency contracts but has not entered into any such contracts to date. Sensitivity to a plus or minus 10% change in currency exchange rates would not have a significant effect on the net income (loss) of the Company.
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Eco (Atlantic) Oil & Gas Ltd. Notes to the Unaudited Condensed Interim Consolidated Financial Statements For the Three and Six Months Ended September 30, 2025 and 2024 (Expressed in US Dollars) 15 13. Commitments The Company is committed to meeting all of the conditions of its licenses including annual lease renewals, regulatory payments and social responsibi lity initiatives or extension fees as needed, which the Company estimates to be approximately $650,000 per year. The Company, together with its partners on each lic ense, submit annual work plans for the development of each license, which are approved by the relevant regulator. 14. Operating Costs, net Operating costs consist of the following: 15. General and Administrative Costs General and administrative costs consist of the following:
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Eco (Atlantic) Oil & Gas Ltd. Notes to the Unaudited Condensed Interim Consolidated Financial Statements For the Three and Six Months Ended September 30, 2025 and 2024 (Expressed in US Dollars) 16 16. Segmental Information An operating segment is a component of the Company that meets the following three criteria: i) Is engaged in business activities from which it may earn revenues and incur expenses; ii) Whose operating results are regularly reviewed by the Company's chief operating decision maker to make decisions about allocated resources to the segment and assess its performance; and iii) For which separate financial information is av ailable. Segment revenue and segment costs include items that are attributable to the relevant segments and items that can be allocated to segments. As at September 30, 2025, the Company has one opera ting segment, oil and gas exploration. The corporate office does not represent an operatin g segment and is included for informational purposes only. Corporate office expenses consist of public company costs, office, and administrative costs, as well as salaries, share-ba sed compensation and other expenses pertaining to corporate activities. The Company’s non-current assets by geographical locations are as follows: September 30, 2025 Guyana Namibia South Africa Total Petroleum and natural gas licenses $ 781,649 15,515,625 3 75,000 16,672,274 $ 781,649 15,515,625 3 75,000 16,672,274 March 31, 2025 Guyana Namibia South Africa Total $ 781,649 15,515,625 1 50,000 16,447,274 $ 781,649 15,515,625 1 50,000 16,447,274