Financial statements
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SINTANA ENERGY INC. CONSOLIDATED FINANCIAL STATEMENTS THREE MONTHS AND SIX MONTHS ENDED June 30, 2026 (EXPRESSED IN UNITED STATES DOLLARS, UNLESS OTHERWISE STATED) UNAUDITED
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1 Financial Statements As at As at June 30, December 31, 2026 2025 (Unaudited) (Audited) ASSETS Current assets Cash and cash equivalents 15,524,004 10,315,705 Accounts receivable and other assets (note 3) 1,961,068 1,647,503 Restricted cash (note 4) 707,528 707,656 Total current assets 18,192,600 12,670,864 Non-current assets Investment in joint venture (note 5) 9,702,203 9,692,658 Tangible assets 43,987 41,374 Intangible assets (note 6) 39,288,794 39,288,794 Accounts receivable and other assets (note 3) 453,167 431,155 Total assets 67,680,751 62,124,845 SHAREHOLDERS’ EQUITY AND LIABILITIES Current liabilities Accounts payable and accrued liabilities (notes 7 and 15) 1,939,653 4,259,512 Current income tax payable 56,120 58,298 Deferred compensation (note 15) 604,939 604,939 Asset retirement obligation 2,625,268 2,703,739 Total current liabilities 5,225,980 7,626,488 Non-current liabilities Deferred income tax liability 350,513 364,124 Total liabilities 5,576,493 7,990,612 Shareholders’ equity 62,104,258 54,134,233 Total shareholders’ equity and liabilities 67,680,751 62,124,845 The accompanying notes are an integral part of these unaudited condensed interim consolidated financial statements. Nature of operations and going concern (note 1) Subsequent events (note 18) Condensed Interim Consolidated Statements of Financial Position (Expressed in United States Dollars, Unless Otherwise Stated)
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2 Sintana Energy Inc. Consolidated Financial Statements Three Months and Six Months Ended June 30, 2026 Three Months Ended Six Months Ended June 30, June 30 2026 2025 2026 2025 Operating expenses Exploration and evaluation expenditures (note 12) 384,653 5,097 617,926 14,097 Foreign exchange loss (gain) (note 14) (950,970) 149,546 (541,705) 260,021 General and administrative (notes 13 and 15) 3,728,809 2,088,447 6,660,697 4,357,093 Net loss before interest income and joint venture loss (3,162,492) (2,243,090) (6,736,918) (4,631,211) Interest Income 56,067 90,078 117,005 192,543 Net consideration on assignment of exploration licence interest (note 17) – – 2,399,388 – Joint venture income (loss) (note 5) 17,320 (8,865) 3,800 (16,588) Net loss for the period (3,089,105) (2,161,877) (4,216,725) (4,455,256) Net loss attributable to: Common Shareholders (3,080,241) (2,159,759) (4,207,587) (4,443,392) Non-controlling interest (8,864) (2,118) (9,138) (11,864) Net loss for the period (3,089,105) (2,161,877) (4,216,725) (4,455,256) Other comprehensive loss Items that will be reclassified subsequently to loss Exchange difference on translating foreign operations (1,100,892) 1,026,609 (826,506) 1,080,594 Other comprehensive loss for the period (1,100,892) 1,026,609 (826,506) 1,080,594 Net comprehensive loss for the period (4,189,997) (1,135,268) (5 ,043 ,231 ) (3,374,662) Net comprehensive loss attributable to: Common Shareholders (4,181,134) (1,133,150) ( 5,034,093) (3,362,798) Non-controlling interest (8,864) (2,118) (9,138) (11,864) Net comprehensive loss for the period (4,189,997) (1,135,268) (5,043,231) (3,374,662) Loss per share – basic and diluted (note 11) (0.01) (0.01) (0.01) (0.01) Weighted average number of common Shares outstanding – basic and diluted (note 11) 521,995,234 378,867,326 521,471,946 377,022,480 The accompanying notes are an integral part of these unaudited condensed interim consolidated financial statements. * Restated. See note 2b for details. Condensed Interim Consolidated Statements of Loss and Comprehensive Loss (Expressed in United States Dollars, Unless Otherwise Stated) (Unaudited)
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3 Financial Statements Six Months Ended June 30, 2026 2025* Operating activities Net loss for the period (4,216,725) (4,455,256) Adjustment for: Joint venture (income) loss (3,800) 16,588 Share-based compensation (notes 9 and 10) 2,519,944 2,893,993 Depreciation 326 – Foreign exchange (541,705) 260,021 Non-cash working capital items: Accounts receivable and other assets (335,577) (432,166) Accounts payable and accrued liabilities** (2,319,859) 61,674 Deferred compensation (note 15) – (350,000) Net cash used in operating activities (4,897,396) (2,005,146) Investing activities Additional funding in joint venture (note 5) (382,954) (61,426) Tangible asset additions (4,043) – Net cash used in investing activities (386,997) (61,426) Financing activities Options exercised (note 9) 602,622 259,255 Net proceeds from capital raise 9,890,690 – Net cash provided by financing activities 10,493,312 259,255 Net change in cash and cash equivalents 5,208,919 (1,807,317) Effects of exchange rate changes on cash and cash equivalents (620) 394,668 Cash and cash equivalents, beginning of period 10,315,705 12,591,728 Cash and cash equivalents, end of period 15,524,004 11,179,079 Cash 5,081,715 10,411,690 Cash equivalents 10,442,289 767,389 Total cash and cash equivalents 15,524,004 11,179,079 The accompanying notes are an integral part of these unaudited condensed interim consolidated financial statements. * Restated. See note 2b for details. ** The significant movement in accounts payable and accrued liabilities is primarily driven by the settlement of substantial creditor balances outstanding at December 31, 2025, relating to fees incurred in connection with the acquisition of Challenger Energy Group Plc during the year. Condensed Interim Consolidated Statements of Cash Flows (Expressed in United States Dollars, Unless Otherwise Stated) (Unaudited)
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4 Sintana Energy Inc. Consolidated Financial Statements Three Months and Six Months Ended June 30, 2026 Number Non- Other of common Share Contributed controlling comprehensive shares capital surplus interest Deficit loss Total Balance, December 31, 2024* 374,584,121 113,477,293 10,628,956 19,170 (100,449,232) (3,500,432) 20,175,755 Restricted shares vested and converted to common shares 2,400,000 2,290,796 (2,290,796) – – – – Options exercised (note 9(ii)) 2,841,424 535,889 (276,634) – – – 259,255 Share-based compensation – stock options (note 9) – – 1,159,578 – – – 1,159,578 Share-based compensation - restricted shares (note 10) – – 1,729,420 – – – 1,729,420 Net loss and comprehensive loss for the period – – – (11,864) (4,443,392) 1,080,594 (3,374,662) Balance, June 30, 2025 379,825,545 116,303,978 10,950,524 7,306 (104,892,624) (2,419,838) 19,949,346 Balance, December 31, 2025 510,356,240 153,368,585 13,810,690 5,252 (110,565,211) (2,485,083) 54,134,233 Net proceeds from capital raise (note 8) 38,001,253 9,890,690 – – – – 9,890,690 Restricted shares vested and converted to common shares (note 10) 6,800,000 4,449,300 (4,449,300) – – – – Options exercised (note 9(ii)) 5,275,000 1,080,619 (477,997) – – – 602,622 Share-based compensation - stock options (note 9(i)) – – 363,112 – – – 363,112 Share-based compensation - restricted shares (note 10) – – 2,156,832 – – – 2,156,832 Net loss and comprehensive loss for the period – – – (9,138) (4,207,587) (826,506) (5,043,231) Balance, June 30, 2026 560,432,493 168,789,194 11,403,337 (3,886) (114,772,798) (3,311,589) 62,104,258 The accompanying notes are an integral part of these unaudited condensed interim consolidated financial statements. * Restated. See note 2b for details. Condensed Interim Consolidated Statements of Changes in Shareholders’ Equity (Expressed in United States Dollars, Unless Otherwise Stated) (Unaudited)
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Financial Statements 5 1. Nature of operations and going concern Sintana Energy Inc. (“Sintana” or the “Company”) is a Canadian crude oil and natural gas (“hydrocarbons”) exploration and development company listed on the TSX Venture Exchange (“TSXV”) under the symbol “SEI”, and on the OTC-QX market in the United States under the symbol “SEUSF”. Following the acquisition of Challenger Energy Group Plc, which completed on December 16, 2025, the Company was also admitted to trading on the London Stock Exchange’s AIM market, with its common shares admitted to trading on December 23, 2025. The primary Canadian office of the Company is located at The Canadian Venture Building, 82 Richmond Street East, Toronto, Ontario, Canada, M5C 1P1 and the corporate headquarters and principal place of business of the Company is 88 Kingsway, London, WC2B 6AA, United Kingdom. Sintana is primarily engaged in hydrocarbons exploration and development activities in Namibia, Uruguay and Angola and also holds legacy interests in Colombia and The Bahamas that are non-core and which the Company is seeking to monetize and /or exit. The Company primarily focuses on the acquisition, exploration, and potential development of crude oil and natural gas resources. The Company’s primary assets in Namibia are held through its 49% interest in all of the issued and outstanding shares of Inter Oil (Pty) Ltd. (“Inter Oil”) and through its 49% interest in all of the issued and outstanding shares of Giraffe Energy Investments (Pty) Ltd. (“Giraffe”). The Company’s assets i n Uruguay are held through its 100% interest in Challenger Energy Group Limited (“Challenger”). Inter Oil is a private Namibian company which indirectly holds a strategic portfolio of offshore petroleum exploration licenses (“PEL”) including (i) a 15% (Sintana: 7.35%) limited carried interest in PEL 87; and (ii) a 10% (Sintana: 4.9%) limited carried interests in each of PELs 82, 83 and 90. Inter Oil also holds a 30% (Sintana: 14.7%) interest in a subsidiary which, in turn, holds a 90% interest in onshore PEL 103. Giraffe holds a 33% (Sintana 16.7%) limited carried interest in PEL 79 which governs Namibia offshore blocks 2815 and 2915. Principal investments in Uruguay are a 40% interest in the AREA OFF-1 licence and a 100% interest in the AREA OFF-3 licence. Sintana’s portfolio of assets are at an early stage of exploration and development and thus do not generate revenues, and therefore as is common with similar exploration companies, Sintana raises financing for its business activities. Sintana did not earn any operating income in the three months ended June 30, 2026 and six months ended June 30, 2026 . For the six months ended June 30, 2026, the Company incurred a loss of $4,216,725 (six months ended June 30, 2025 – $4,455,256) and had an accumulated deficit of $114,772,798 (December 31, 2025 – $110,565,211). Sintana had working capital of $12,966,621 at June 30, 2026 (December 31, 2025 – $5,044,376). These unaudited condensed interim consolidated financial statements have been prepared on a basis which contemplates that the Company will continue in operation for the foreseeable future and will be able to realize its assets and discharge its liabilities in the normal course of business. Accordingly, they do not give effect to adjustments that would be necessary should the Company be unable to continue as a going concern. The certainty of funding future exploration expenditures and availability of additional financing sources cannot be assured at this time. These material uncertainties may cast significant doubt on the Company’s ability to continue as a going concern and, accordingly, the ultimate use of accounting principles applicable to a going concern. The Company’s ability to continue as a going concern is dependent upon obtaining additional financing and eventually achieving profitable production. These unaudited condensed interim consolidated financial statements do not reflect any adjustments to the carrying values of assets and liabilities and the reported expenses and statement of financial position classifications that would be necessary should the going concern assumption be inappropriate. It is noted that on February 4, 2026, the Company announced that its relevant subsidiaries had entered into an agreement with a subsidiary of ExxonMobil to resolve the previously announced arbitration relating to the VMM-37 block in Colombia’s Middle Magdalena Basin (a legacy asset in which Company holds a private participation interest). Under the agreement, the Company agreed to conditionally assign its interest in the VMM-37 in exchange for total cash consideration of $9 million, of which $3 million has been received to date net of bank charges, with the remaining $6 million payable upon receipt of governmental approvals and satisfaction of certain contractual conditions. The Company is working with ExxonMobil to obtain the required approvals and currently expects the balance to be received prior to the end of 2026, although there can be no assurance that all conditions will be satisfied. This settlement provides a material level of increased liquidity to the Company which, in addition to the Company’s existing cash resources, supports the going concern assumption referred to above. It is further noted that on May 27, 2026, the Company successfully completed a private placement that raised US$11.5 million through the issue of 38.0 million additional shares at C$0.41 per share. The fundraising was undertaken so as to support the Company ’s participation in several near-term exploration and development opportunities, related work programme costs, and general corporate purposes, and providing a material level of increased liquidity to the Company. Refer to note 8 for further details. 2. Material accounting policies and information (a) Statement of compliance The Company applies IFRS® Accounting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”). These unaudited condensed interim consolidated financial statements have been prepared in accordance with International Accounting Standard 34, Interim Financial Reporting. Accordingly, they do not include all of the information required for full annual financial statements prepared in accordance with IFRS as issued by the IASB. (b) Functional and presentational currency Following the acquisition of Challenger and its subsidiaries and the Company’s subsequent admission to AIM in the United Kingdom, the Company elected to change the presentation currency of its consolidated financial statements from Canadian Dollars (“CAD”) to United States Dollars (“USD”), including comparative information for the three and six month periods ended June 30, 2026. The change in presentation currency was made as the expanded Company is primarily invested in offshore assets along the Atlantic Margin, where the majority of expected input costs are denominated in USD, and any future revenues or proceeds from asset sales, farm-downs or Notes to Condensed Interim Consolidated Financial Statements Three and Six Months Ended June 30, (Expressed in United States Dollars, Unless Otherwise Stated) (Unaudited)
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6 Sintana Energy Inc. Consolidated Financial Statements Three Months and Six Months Ended June 30, 2026 Notes to Condensed Interim Consolidated Financial Statements Three and Six Months Ended June 30, 2026 (continued) production are likely to be realized in USD. In addition, given the Company’s listing on the TSXV, OTCQX and AIM, USD was considered to be a more appropriate presentation currency for the enlarged and diverse shareholder base. The change in presentation currency was applied retrospectively and had no impact on the Company’s reported net earnings, cash flows, or shareholders’ equity, other than the translation of financial statement amounts into USD. Transactions in foreign currencies are translated into each subsidiary’s functional currency at exchange rates at the dates of the transactions. Monetary assets and liabilities denominated in foreign currencies are translated into the functional currency at the period-end exchange rate. Non-monetary items measured at historical cost are translated at the exchange rate at the date of the transaction, and non-monetary items measured at fair value are translated at the exchange rate at the date the fair value was determined. Foreign exchange differences arising on translation are recognized in the consolidated statement of loss and comprehensive loss, except for differences arising on the translation of foreign operations, which are recognized in other comprehensive income. (c) Basis of presentation The policies applied in these unaudited condensed interim consolidated financial statements are based on IFRS® issued and outstanding as of August 27, 2026, being the date the Board of Directors approved these unaudited condensed interim consolidated financial statements. The same accounting policies, methods of computation, significant judgements, and key accounting estimates are followed in these unaudited condensed interim consolidated financial statements as compared with the most recent annual audited consolidated financial statements as at and for the year ended December 31, 2025 . Any subsequent changes to IFRS that are given effect in the Company’s annual audited consolidated financial statements for the year ending December 31, 2026 could result in restatement of these unaudited condensed interim consolidated financial statements. Future applicable accounting standards In April 2024, the IASB issued IFRS 18 - Presentation and Disclosure in Financial Statements which sets out the overall requirements for presentation and disclosures in the consolidated financial statements. The new standard replaces IAS 1 and although much of the substance of IAS 1 will carry over into the new standard, the new standard will require presentation of separate categories of income and expense for operating, investing, and financing activities with prescribed subtotals for each new category. The new standard will also require disclosure and explanation of ‘management-defined performance measures’ in a separate note within the consolidated financial statements. The new standard is effective for annual reporting periods beginning on or after January 1, 2027, including interim consolidated financial statements, and requires retrospective application. The Company is currently assessing the impact of the new standard. 3. Accounts receivable and other assets As at As at June 30, December 31, 2026 2025 Current trade and other receivables Accounts receivable 65,710 392,047 Prepaids and other advances 395,358 255,456 Deposit - Corcel 500,000 500,000 Deposit - PEL 37 (1) 500,000 - Deferred consideration (2) 500,000 500,000 Total 1,961,068 1,647,503 Non-current trade and other receivables Deferred consideration (2) 453,167 431,155 Total 453,167 431,155 (1) On January 21, 2026, the Company announced it had entered into a Letter of Intent securing exclusivity through April 30, 2026, in relation to a potential investment providing an indirect interest in PEL 37 offshore Namibia, adjacent to and north of PEL 82. Definitive documentation in relation to this transaction was entered into on August 20 2026 – refer Note 18, Subsequent Events. (2) Deferred consideration represents amounts due to Challenger Energy Limited following the disposal of its Trinidad operations, which completed in August 2025. The deferred consideration due from that transaction comprises $500,000 payable in cash on August 30, 2026, $250,000 payable on December 31, 2026, and a further $250,000 payable on December 31, 2027. The deferred consideration amounts due in December 2026 and 2027 have been discounted at a rate of 10% (2025: 10%) and classified as non-current deferred consideration amounting to $453,167.
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Financial Statements 7 4. Restricted cash As at As at June 30, December 31, 2026 2025 Credit card security 7,528 7,656 Licence related restricted bank deposits (1) 700,000 700,000 Total 707,528 707,656 (1) Licence related restricted bank deposits are cash amounts held in separately identified Company bank accounts and pledged in support of fulfilment of work programme commitments on specific licences. Access to these funds is restricted until the relevant work program commitments are met. As at June 30, 2026 this consisted of $700,000 (2025: $700,000) relating to the Company’s Uruguay licences. This comprised $200,000 relating to the Company’s interest in the OFF-1 licence, for which the current licence period is expected to expire in August 2027, and $500,000 relating to the Company’s interest in the OFF-3 licence, for which the current licence period is expected to expire in June 2028. Work has commenced on both licences and is ongoing. 5. Investment in joint venture Balance, December 31, 2025 9,692,658 Additional funding in joint venture 382,954 Sintana’s 49% share of Inter Oil’s net income for the period ended June 30 , 2026 3,800 Foreign exchange adjustments (377,209) Balance, June 30, 2026 9,702,203 Balance, December 31, 2024 9,070,018 Additional funding in joint venture 219,589 Sintana’s 49% share of Inter Oil’s net loss for the year ended December 31, 2025 (31,360) Foreign exchange adjustments 434,411 Balance, December 31, 2025 9,692,658 6. Intangible assets Cost At January 1, 2026 39,288,794 Balance, June 30, 2026 39,288,794 Net book value At June 30, 2026 39,288,794 At December 31, 2025 39,288,794 Intangible assets comprise exploration and evaluation assets recognized by the Company following the acquisition of Challenger Energy Group in December 2025. These assets represent historical expenditure incurred by Challenger in evaluating its interests in the AREA OFF-1 and AREA OFF-3 licences in Uruguay. In addition, as part of the acquisition accounting process, a further amount was capitalized in respect of these assets following the fair value assessment performed on acquisition. The assets are subsequently accounted for in accordance with IFRS 6 Exploration for and Evaluation of Mineral Resources. As at the reporting date, management has identified no indicators of impairment in relation to these assets. Further costs incurred in respect of these assets will be eligible for capitalization following a decision to progress the relevant licences towards commercial development and production, in accordance with the Company’s successful efforts accounting policy. Accordingly, the carrying values of these assets remain fixed and unamortized, and will continue to be assessed periodically for impairment.
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8 Sintana Energy Inc. Consolidated Financial Statements Three Months and Six Months Ended June 30, 2026 Notes to Condensed Interim Consolidated Financial Statements Three and Six Months Ended June 30, 2026 (continued) 7. Accounts payable and accrued liabilities Accounts payable and accrued liabilities of the Company are principally comprised of amounts outstanding relating to general operating and administrative activities and an arbitration of disputed joint venture cash calls with an estimated legal fee of $525,612 currently recognized in respect of the VMM-37 settlement proceeds: As at As at June 30, December 31, 2026 2025 Accounts payable 1,265,365 2,986,637 Accrued liabilities 674,288 1,272,875 1,939,653 4,259,512 The following is an aged analysis of accounts payable and accrued liabilities: As at As at June 30, December 31, 2026 2025 Less than 1 month 894,791 3,531,061 1 to 3 months 239,893 240,920 Greater than 3 months 804,969 487,531 1,939,653 4,259,512 8. Share Capital (a) Authorized share capital: At June 30, 2026 and December 31, 2025, the authorized share capital consisted of an unlimited number of common shares. The common shares do not have a par value. All issued shares are fully paid. (b) Common shares capital: The change in issued share capital for the periods presented was as follows: Number of Amount common shares $ Balance, December 31, 2024 374,584,121 113,477,293 Restricted shares vested and converted to common shares (note 10) 2,400,000 2,290,796 Exercise of options (note 9(ii)) 2,841,424 535,889 Balance, June 30, 2025 379,825,545 116,303,978 Balance, December 31, 2025 510,356,240 153,368,585 Net proceeds from capital raise(i) 38,001,253 9,890,690 Restricted shares vested and converted to common shares (note 10) 6,800,000 4,449,300 Exercise of options (note 9(ii)) 5,275,000 1,080,619 Balance, June 30, 2026 560,432,493 168,789,194 (i) During the three months ended June 30, 2026, following a fundraising comprising a placing and subscription, the Company issued 38,001,253 common shares at a price of CAD$0.41 (GBP£0.225) per share, raising gross proceeds of $11,355,062. Transaction costs associated with the issuance were $1,464,372 resulting in net proceeds of $9,890,690.
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Financial Statements 9 9. Stock options The following table reflects the continuity of stock options for the periods presented: Weighted Number of average stock options exercise price outstanding $ Balance, December 31, 2024 28,028,093 CAD$0.37 Granted (i) 100,000 CAD$0.73 Exercised (ii) (2,841,424) CAD$0.13 Balance, June 30, 2025 23,28 6,669 CAD$0.40 Balance, December 31, 2025 23,100,003 CAD$0.42 Exercised (ii) (5,275,000) CAD$0.16 Balance, June 30, 2026 17,825,003 CAD$0.50 (i) Share-based compensation includes $163,264 and $363,112 (three and six months ended June 30, 2025 – $564,672 and $1,159,578, respectively) relating to stock options granted in previous years in accordance with their respective vesting terms. On June 27, 2025, the Company granted a total of 100,000 stock options to an officer of the Company. The options have an exercise price of $0.73 and expire on June 27, 2035. Vesting of the stock options is as follows: one-third on day of grant, one-third after one year and one-third after two years. The fair value of each option was estimated on the date of grant using the Black-Scholes option pricing model with the following assumptions: expected dividend yield of 0%; expected volatility of 132%; risk-free interest rate of 3.31%; and an expected average life of 10 years. The options were valued at $70,731. (ii) During the six months ended June 30, 2026, 5,275,000 options were exercised for cash proceeds of $602,622 (six months ended June 30, 2025 – 2,841,424 stock options were exercised for cash proceeds of $259,255) and the related grant date fair value of the stock options of $477,997 (six months ended June 30, 2025 – $276,634) was reclassified from contributed surplus to share capital. The average share price on the exercise of stock options for the six months ended June 30, 2026 was CAD$0.50 (six months ended June 30, 2025 – CAD$0.67). Weighted average Number of remaining Number of options Number of Exercise contractual options vested options Expiry date price life (years) outstanding (exercisable) unvested March 24, 2027 CAD$0.165 0.18 4,500,000 4,500,000 – December 19, 2032 CAD$0.110 1.33 3,650,001 3,650,001 – December 19, 2033 CAD$0.270 1.69 4,025,002 4,025,002 – May 1, 2034 CAD$1.080 0.73 1,650,000 1,650,000 – December 13, 2034 CAD$1.230 1.85 3,900,000 2,600,000 1,300,000 June 27, 2035 CAD$0.730 0.05 100,000 66,667 33,333 5.83 17,825,003 16,491,670 1,333,333 10. RSUs The grant date fair value of RSUs equals the fair market value of the corresponding shares at the grant date. The fair value of these equity-settled awards is recognized as compensation expense with a corresponding increase in contributed surplus. The total amount expensed is recognized over the vesting period, which is the period over which all specified vesting conditions must be satisfied before RSUs are earned and therefore convertible. RSUs are converted into common shares when vested. During the three and six months ended June 30, 2026, 4,200,000 and 6,800,000 RSUs (three and six months ended June 30, 2025 – 2,400,000 RSUs) respectively vested and were converted to common shares with a value of $2,157,924 and $4,449,300 respectively (three and six months ended June 30 2025 – $2,290,796). The compensation portion of RSUs granted in the current and prior years and vested during the three and six months ended June 30, 2026, amounted to $1,090,788 and $2,156,832 respectively (three and six months ended June 30, 2025 – $743,553 and $1,729,420 respectively). As of June 30, 2026, there were 7,250,000 RSUs outstanding (December 31, 2025 – 6,800,000).
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10 Sintana Energy Inc. Consolidated Financial Statements Three Months and Six Months Ended June 30, 2026 Notes to Condensed Interim Consolidated Financial Statements Three Months Ended June 30 , 2026 (continued) 11. Net loss per share The calculation of basic and diluted loss per share for the three and six months ended June 30, 2026 was based on the loss attributable to common shareholders of $3,080,241 and $4,207,587 , respectively (three and six months ended June 30, 2025 – loss of $2,159,759 and $4,443,392, respectively) and the weighted average number of common shares outstanding of 521,995,234 and 521,471,946, respectively (three and six months ended 2025 – 378,867,326 and 377,022,480). Diluted loss per share did not include the effect of options, warrants and RSUs for the three and six months ended June 30, 2026 and 2025 as they were anti-dilutive. 12. Exploration and evaluation expenditures Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025* Namibia Technical services 88,716 – 98,874 – 88,716 – 98,874 – Uruguay Technical service 73,950 – 233,950 – Professional and consulting fees (9,230) – 41,919 – 64,720 – 275,869 – Angola Technical services 3,517 – 5,517 – 3,517 – 5,517 – Magdalena Basin, Colombia Administrative and general 143,777 3,434 149,347 10,587 Professional fees 83,923 1,663 88,319 3,510 227,700 5,097 237,666 14,097 384,653 5,097 617,926 14,097 * Restated. See note 2b for details. Notes: In recent periods, the Company has principally acquired relatively small ownership interests in oil and gas assets, in many cases benefiting from carry arrangements which result in limited direct exploration and evaluation expenditure. As most of these interests are held through associated entities and accounted for under the equity method, any additional contributions to the underlying joint ventures are capitalized at the associate level, thereby limiting exploration and evaluation related costs recognized directly by the Company. Following completion of the Challenger Energy Group acquisition in December 2025, the Group now holds a 100% interest in the AREA OFF-3 licence and a 40% limited carried interest in the AREA OFF-1 licence. As a result, exploration and evaluation activity is expected to increase going forward, particularly in relation to the AREA OFF-3 asset. 13. General and administrative Three Months Ended June 30, Six Months Ended June 30, 2026 2025* 2026 2025* Salaries and benefits (note 15) 1,468,443 288,642 2,049,227 601,860 Professional fees (note 15) 410,304 168,763 706,849 363,989 Share-based payments (notes 9, 10 and 15) 1,254,053 1,314,298 2,519,944 2,893,993 Investor relations 50,989 152,973 253,131 243,669 Travel 87,905 107,145 207,215 107,145 Reporting issuer costs 61,332 (2,069) 320,309 65,065 General and administrative costs 395,588 58,695 603,696 81,372 Depreciation 195 – 326 – 3,728,809 2,088,447 6,660,697 4,357,093 * Restated. See note 2b for details.
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Financial Statements 11 14. Financial risk management Foreign currency risk The Company is exposed to foreign currency risk through transactions denominated in currencies other than the functional currency of the relevant Company’s entities. Foreign currency risk arises primarily from the Company’s monetary assets and liabilities denominated in USD, CAD, British pounds sterling (“GBP”), Euros (“EUR”), Namibian dollars and Uruguayan pesos. 15. Director and Key Management Compensation, Share Based Payments and Related party transactions and balances (a) Director and Key Management Compensation Remuneration of directors and key management personnel (officers) of the Company was as follows: Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Salaries and benefits(1) 1,338,374 253,231 1,817,168 506,578 (1) Salaries and benefits include director fees. This amount excludes balances for deferred compensation due to directors and key management personnel of $604,939 which are included in deferred compensation as at June 30, 2026 (December 31, 2025 – $604,939). (b) Share based payments During the period ended June 30, 2026 the Company made a number of share based payments, including to directors and key management personnel of the Company, in the form of either options or RSUs, as detailed i n notes 9 and 10. Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Share-based compensation(1) 918,488 1,261,397 1,842,415 2,790,113 (1) Share-based compensation is recorded under general and administrative. (c) Related party transactions and balances Related parties include the Board of Directors, officers, close family members and enterprises that are controlled by these individuals as well as certain persons performing similar functions. The below noted transactions occurred in the normal course of business and are measured initially at fair value and approved by the Board of Directors in strict adherence to conflict of interest laws and regulations. • During the three and six months ended June 30, 2025, the Company paid professional fees and disbursements totalling $15,608 and $30,619 respectively to Marrelli Support Services Inc., and certain of its affiliates, together known as the “Marrelli Group”, for: (i) regulatory filing services, and (ii) press release services. At June 30, 2025, the Marrelli Group was owed $10,172 and these amounts were included in accounts payable and accrued liabilities. Subsequent to December 16, 2025, when Carmelo Marrelli ceased office and employment with the Company upon completion of the Challenger acquisition, Marrelli Support Services Inc. and its affiliates ceased to be related parties to the Company. Accordingly, in the three and six months ended June 30, 2026, there were no additional transactions with related parties. • In connection with the acquisition of Challenger, the Company entered into a loan agreement with Charlestown Energy Partners, LLC (“Charlestown”), a shareholder of the Company and a related party, pursuant to which Charlestown has agreed to provide the Company with a working capital facility of up to US$4 million (the “Facility”) from the closing date of the acquisition. The Facility may be terminated by the Company at any time upon providing not less than 20 business days’ prior written notice to Charlestown. During the three months period ended June 30, 2026, the Facility remained available to the Company and was not cancelled by the Company, but the Company did not draw down on the Facility. • During the period, in connection with the capital raise during Q2 2026, Robert Bose and Eytan Uliel participated in the amount of $250,000 each in the Company’s private placement and subscribed for common shares on the same terms and conditions as other investors.
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12 Sintana Energy Inc. Consolidated Financial Statements Three Months and Six Months Ended June 30, 2026 Notes to Condensed Interim Consolidated Financial Statements Three Months Ended June 30 , 2026 (continued) 16. Segmented information The Company operates as a single reporting segment focused on oil and natural gas exploration and development in Namibia, Uruguay and Angola, with additional group entities located in Canada, the United Kingdom, the United States, Colombia, The Bahamas, Spain and Panama. The Company’s principal place of business is London, United Kingdom, with administrative offices in Castletown, Isle of Man, and Toronto, Canada. For reporting purposes, segmented information is presented across four geographical segments: Namibia (operating), Uruguay (operating), Corporate (including Canada, the United States, the United Kingdom and the Isle of Man) and Non-operating (including Colombia, Panama, The Bahamas and Spain). June 30, 2026 Corporate Namibia Uruguay Non-operating Total Cash and cash equivalents 12,659,439 46,275 10,115 2,808,175 15,524,004 Accounts receivable and other assets 2,301,314 96,726 8,449 7,746 2,414,235 Restricted cash 707,528 – – – 707,528 Tangible assets 3,803 – – 40,184 43,987 Intangible assets – – 39,288,794 – 39,288,794 Investment in joint venture 9,702,203 – – – 9,702,203 Total assets 25,374,287 143,001 39,307,358 2,856,105 67,680,751 Accounts payable and accrued liabilities 1,426,130 13,038 – 500,485 1,939,653 Current income tax payable 56,119 – – – 56,119 Deferred compensation 604,939 – – – 604,939 Asset retirement obligation 71,901 – – 2,553,367 2,625,268 Deferred income tax liability 350,513 – – – 350,513 Total liabilities 2,509,602 13,038 – 3,053,852 5,576,492 Three Months Ended June 30, 2026 Corporate Namibia Uruguay Non-operating Total Exploration and evaluation expenditures 92,233 – 64,720 227,700 384,653 General and administrative 3,368,108 14,645 304,469 41,587 3,728,809 Net consideration on assignment of exploration licence interest – – – – – Interest income (56,067) – – – (56,067) Foreign exchange (gain) loss (912,132) (39,136) – 298 (950,970) Joint venture (gain) loss (17,320) – – – (17,320) Net loss 2,474,822 (24,491) 369,189 269,585 3,089,105 Six Months Ended June 30, 2026 Corporate Namibia Uruguay Non-operating Total Exploration and evaluation expenditures 104,391 – 275,869 237,666 617,926 General and administrative 6,128,049 14,920 430,400 87,328 6,660,697 Net consideration on assignment of exploration licence interest – – – (2,399,388) (2,399,388) Interest income (117,005) – – – (117,005) Foreign exchange (gain) loss (439,543) (102,428) – 266 (541,705) Joint venture (gain) loss (3,800) – – – (3,800) Net loss 5,672,092 (87,508) 706,269 (2,074,128 ) 4,216,725
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Financial Statements 13 16. Segmented information (continued) December 31, 2025 Corporate Namibia Uruguay Non-operating Total Cash and cash equivalents 10,270,550 1,690 10,115 33,350 10,315,705 Accounts receivable and other assets 2,036,495 13,531 5,155 23,477 2,078,658 Restricted cash 707,656 – – – 707,656 Tangible assets – – – 41,374 41,374 Intangible assets – – 39,288,794 – 39,288,794 Investment in joint venture 9,692,658 – – – 9,692,658 Total assets 22,707,359 15,221 39,304,064 98,201 62,124,845 Accounts payable and accrued liabilities 3,749,549 12,834 – 497,129 4,259,512 Current income tax payable 58,298 – – – 58,298 Deferred compensation 604,939 – – – 604,939 Asset retirement obligation 74,694 – – 2,629,045 2,703,739 Deferred income tax liability 364,124 – – – 364,124 Total liabilities 4,851,604 12,834 – 3,126,174 7,990,612 Three Months Ended June 30, 2025 Corporate Namibia Uruguay Non-operating Total Exploration and evaluation expenditures – – – 5,097 5,097 General and administrative 2,074,667 13,780 – – 2,088,447 Foreign exchange (gain) loss 145,411 (592) – 4,727 149,546 Interest income (90,078) – – – (90,078) Joint venture (loss) income 8,865 – – – 8,865 Net loss 2,138,865 13,188 – 9,824 2,161,877 Six Months Ended June 30, 2025 Corporate Namibia Uruguay Non-operating Total Exploration and evaluation expenditures – – – 14,097 14,097 General and administrative 4,324,203 32,890 – – 4,357,093 Foreign exchange (gain) loss 157,769 99,825 – 2,427 260,021 Interest income (192,543) – – – (192,543) Joint venture (loss) income 16,588 – – – 16,588 Net loss 4,306,017 132,715 – 16,524 4,455,256
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14 Sintana Energy Inc. Consolidated Financial Statements Three Months and Six Months Ended June 30, 2026 Notes to Condensed Interim Consolidated Financial Statements Three Months Ended June 30 , 2026 (continued) 17. Proposed transactions and VMM-37 settlement/contingent consideration Investment in KON-16: On May 14, 2025, the Company announced the formation of a strategic partnership with Corcel, plc (“Corcel”), a UK-listed entity focused on oil and gas opportunities in Angola. This included Sintana and Corcel entering into a head of terms providing for the Company to acquire an indirect 5% net interest in KON-16 located in the onshore Kwanza Basin in Angola. The acquisition terms provide that Sintana will also receive a future 2.5% Net Profits Interest (“NPI”) on Corcel’s interest in KON-16 of up to $50,000,000, after which the NPI reduces to 1.5%. The consideration for the transaction is a total of US$2.5MM payable by way of an initial $500,000 deposit and a balance of payment at completion. A definitive agreement in relation to this acquisition is expected to be entered into during Q3 2026, and completion of the transaction will follow pending satisfaction of conditions precedent, including regulatory approval, with completion expected in H2 2026. Investment in PEL 37: On January 21, 2026, the Company announced it had entered into a Letter of Intent securing exclusivity through April 30, 2026, in relation to a potential investment providing an indirect interest in PEL 37 offshore Namibia, adjacent to and north of PEL 82. Definitive documentation in relation to this transaction was entered into on August 20, 2026 - refer Note 18, Subsequent Events. VMM-37 settlement: On February 4, 2026, the Company advised it had reached agreement to resolve an arbitration with ExxonMobil in relation to the VMM-37 block in Colombia, whereby the parties had agreed to dismiss the arbitration; the Company had agreed to conditionally assign all its interests in VMM-37 to ExxonMobil; and ExxonMobil had agreed to make a total of $9 million in cash payments to the Company: an initial payment of $3 million within 60 days, and a second $6 million payment conditional on approval of the assignment by the appropriate Colombian governmental agencies. Subsequently, the arbitration has been dismissed as agreed, and the Company has received the first payment of $3 million (gross) from ExxonMobil. At June 30, 2026 directly attributable costs of $600,612 have been offset against the gross proceeds resulting in a net consideration received of $2,399,388. The parties are working collaboratively in relation to securing the requisite governmental approvals, and presently expect payment of the second installment prior to year end 2026 - the $6 million to be received as the second installment has not been recorded in the accounts as a receivable, and is instead treated as a contingent asset. 18. Subsequent events On August 20, 2026, the Company announced that it had entered into definitive documentation to acquire a 44% interest in Maravilla Oil and Gas (Pty) Ltd. (“Maravilla”), a privately held Namibian company. Maravilla owns an 80% controlling interest in Paragon Oil and Gas (Pty) Ltd., which holds a 100% operated interest in Petroleum Exploration Licence 37 (“PEL 37”) in the Walvis Basin, offshore Namibia. The acquisition will provide the Company with an indirect 35% interest in PEL 37. Total consideration for the acquisition is $6,500,000, comprising a $500,000 deposit paid in January 2026, $3,000,000 in cash payable at signing and closing, $500,000 of pre-funded expenses associated with ongoing technical and commercial work on PEL 37, and $2,500,000 in newly issued common shares at a price of US$0.30 per share. Completion of the acquisition remains subject to regulatory approvals and other customary closing conditions. The Company expects this transaction will complete within 2026.
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Financial Statements 15 Corporate Directory DIRECTORS AUDITORS Keith Spickelmier, Non- Executive Chairman MNP LLP Iain McKendrick, Non-Executive Director 2000, 112 - 4th Avenue SW Douglas Manner, Non-Executive Director Calgary, Alberta, Canada, T2P 0H3 Knowledge Katti, Non-Executive Director Robert Bose, CEO & Executive Director REGISTRAR AND TRANSFER AGENT Eytan Uliel, President & Executive Director Computershare Trust Company of Canada 320 Bay Street, 14th Floor CO-COMPANY SECRETARIES Toronto, Ontario, Canada, M5H 4A6 Jonathan Gilmore, Chief Financial Officer Sean Austin, Financial Controller & Treasurer UK DEPOSITORY Computershare Investor Services PLC REGISTERED OFFICE The Pavilions, Bridgwater Road 3300, 421 Bristol, United Kingdom, BS13 8AE 7th Avenue S. W. Calgary, Alberta NOMINATED ADVISOR Canada T2P 4K9 Zeus Capital Limited 125 Old Broad St reet PRINCIPAL OFFICE London , United Kingdom, EC2N 1AR 4WQ Office 4.01 88 Kingsway CANADIAN LEGAL COUNSEL London, United Kingdom, WC2B 6AA Fogler, Rubinoff LLP Scotia Plaza COMPANY WEBSITE 40 King Street West, Suite 2400 www.sintanaenergy.com Toronto, Ontario, Canada, M5H 3Y2 LISTINGS UK LEGAL COUNSEL Exchange: TSX Venture Pinsent Masons LLP Trading Symbol: SEI 30 Crown Place, Earl Street Cusip Number: 82938H London, United Kingdom, EC2A 4ES Exchange: AIM Trading Symbol: SEI ISIN Number: CA82938H1073 Exchange: OTCQX Trading Symbol: SEUSF Cusip Number: 82938H
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