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Update on recent events concerning Venezuela

on 18 de April de 2024 18 de April de 2024

On April 17, 2024, the Department of the Treasury's Office of Foreign Assets Control (”OFAC”) issued the Venezuela-related General License 44A (“GL 44A”), and the associated frequently asked questions (“Q&A”). GL 44A replaces and supersedes General License 44 (“GL 44”), calling for a wind down for any transactions that were previously authorized and supported by GL 44 within 45 days. Aligned with the OFAC instructions under the aforementioned Q&A, Maha Energy AB (publ) (“Maha” or the “Company”) informs that the Company already has applied for a specific license covering its projects for the Venezuelan oil company PetroUrdaneta. The application was filed with US authorities during the first quarter of 2024.

Although the new GL 44A calls for a wind down any transactions that were previously authorized by GL 44 the Q&A issued by OFAC states that OFAC will consider specific license requests, on a case-by-case basis, for any party seeking to engage in transactions and activities previously authorized by GL 44.

As previously announced, following the signing of the definitive documents to potentially acquire 24 percent of the indirect equity interest in PetroUrdaneta, Maha has continued to closely monitor the development of US sanctions lifting and the impacts of a possible expiration of GN 44. This has led the Company to apply for a specific license with OFAC to cover Maha’s potential project in PetroUrdaneta. This measure is aligned with OFAC’s recent recommendation, as aforementioned.

About Maha
Maha Energy AB (publ) is a listed, international upstream oil and gas company whose business activities include exploration, development and production of crude oil and natural gas. The strategy is to target and develop underperforming hydrocarbon assets on a global basis. Maha holds direct and indirect interests in producing assets in Brazil and the United States, and in an exploration asset in the Sultanate of Oman. The shares are listed on Nasdaq Stockholm (MAHA-A).

For more information, please visit Maha’s corporate website www.maha-energy.com.

Update on recent events concerning Venezuela

Notice to attend the Annual General Meeting in Maha Energy AB (publ)

on 18 de April de 2024 18 de April de 2024

The shareholders in Maha Energy AB (publ), reg. no. 559018-9543, are hereby given notice to attend the annual general meeting at 14:00hs CEST on Wednesday 29 May 2024 at Setterwalls Advokatbyrå’s offices at Sturegatan 10 in Stockholm, Sweden. Registration for the meeting commences at 13:30hs CEST.

Notice
Shareholders wishing to participate at the meeting must:

be entered in the shareholders’ register, kept by Euroclear Sweden AB (the Swedish Central Securities Depository & Clearing Organisation), on the record day which is Tuesday 21 May 2024; and
notify the company of their attendance and any assistant no later than Thursday 23 May 2024. Notification can be made via letter to Setterwalls Advokatbyrå AB, Attn: Magnus Melin, P.O. Box 1050, SE-101 39 Stockholm, Sweden or by e-mail to magnus.melin@setterwalls.se.

Notification shall include full name, personal identification number or corporate registration number, address and daytime telephone number and, where appropriate, information about representative, proxy and assistants. The number of assistants may not be more than two. In order to facilitate entry to the meeting, notification should, where appropriate, be accompanied by powers of attorney, registration certificates and other documents of authority.

Personal data obtained from the share register kept by Euroclear Sweden AB, notices and attendance at the meeting and information on representatives, proxies and assistants will be used for registration, preparation of the voting list for the meeting and, where appropriate, the minutes of the meeting.

Nominee registered shares
Shareholders who have their shares registered in the name of a nominee must request temporary entry in the transcription of the share register kept by Euroclear Sweden AB in order to be entitled to participate and vote for their shares at the meeting. The shareholder must inform the nominee well in advance of Tuesday 21 May 2024 at which time the register entry must have been made. Voting rights registration that has been requested by the shareholder at such time that the registration has been completed by the nominee no later than Thursday 23 May 2024, will, however, be taken into account in the preparation of the share register.

Proxy
A shareholder represented by proxy shall issue a power of attorney which shall be dated and signed by the shareholder. If issued by a legal entity the power of attorney shall be accompanied by registration certificate or, if not applicable, equivalent documents of authority. Power of attorney forms for those shareholders wishing to participate by proxy are available on the company’s website https://maha-energy.com/. The original version of the power of attorney shall also be presented at the meeting.

Proposed agenda

Opening of the meeting and election of chairman of the meeting;
Preparation and approval of the voting list;
Approval of the agenda;
Election of one (1) or two (2) persons who shall approve the minutes of the meeting;
Determination of whether the meeting has been duly convened;
Submission of the annual report and the auditor’s report and the consolidated financial statements and the auditor’s report on the group;
Resolution in respect of adoption of the profit and loss statement and the balance sheet and the consolidated profit and loss statement and the consolidated balance sheet;
Resolution in respect of allocation of the company’s profit or loss according to the adopted balance sheet;
Resolution in respect of the members of the board of directors’ and the managing director’s discharge from liability;
Determination of the number of members of the board of directors and the number of auditors and, where applicable, deputy auditors;
Determination of the fees payable to the members of the board of directors and the auditors;
Election of members of the board of directors, auditors and, where applicable, deputy auditors;
Approval of the remuneration report;
Resolution on changes to the articles of association;
Resolution on an authorization for the Board to decide on the repurchase and transfer of treasury shares;
Resolution regarding an authorization for the board of directors to increase the share capital;
Closing of the meeting.

Proposed resolutions

Item 1. Election of chairman of the meeting
The nomination committee, consisting of Rodrigo Pires, representing Turmalina Fundo de Investimento em Participações Multiestratégia, Luis Araujo representing DBO Invest S.A., Edwyn Neves, representing Banco BTG Pactual, and Paulo Thiago Mendonça, the chairman of the board of directors, proposes that attorney Marcus Nivinger is appointed chairman of the annual general meeting.

Item 8. Allocation of the company’s profit or loss according to the adopted balance sheet
The board of directors proposes that, given the company's net loss, the company’s available funds shall be carried forward in new account and no dividends shall be paid for the last financial year.

Item 10. Determination of the number of members of the board of directors and the number of auditors and deputy auditors
The nomination committee proposes that seven board members are elected.

Further, the nomination committee proposes that a registered public auditor is appointed as auditor.

Item 11. Determination of the fees payable to the members of the board of directors and auditors
The nomination committee proposes that the fees payable to the board of directors for the period until the end of the next annual general meeting shall remain the same and amount to SEK 415,000 to the chairman and SEK 300,000 to each of the other ordinary members (remuneration for committee work not included).

Board members shall also be entitled to invoice the company in so far as they perform services outside the board assignment.

Furthermore, it is proposed, as remuneration for the committee work, the chairman of the audit committee is to receive SEK 60,000 the chairman of the remuneration committee SEK 60,000 the chairman of the reserves and health, safety and environmental committee SEK 60,000 members of the audit committee (the chairman excluded) SEK 40,000 each, members of the remuneration committee (the chairman excluded) SEK 40,000 each and members of the reserves and health, safety and environmental committee (the chairman excluded) SEK 40,000 each.

It is proposed that the company’s auditor shall be paid in accordance with approved invoices.

Item 12. Election of members of the board of directors and auditors
The nomination committee proposes re-election of Fabio Vassel, Paulo Thiago Mendonça, Enrique Peña, Viktor Modigh, Richard Norris, Halvard Idland and Svein Harald Øygard as ordinary board members. The nomination committee proposes re-election of Paulo Thiago Mendonça as chairman of the board of directors.

Information on the board members proposed for re-election can be found in the annual report and on the company’s website at https://maha-energy.com/.

The nomination committee further proposes re-election of the accounting firm Deloitte AB as auditor. Deloitte AB has informed that Andreas Frountzos will continue to be appointed as the auditor-in-charge.

Item 13. Approval of the remuneration report
The board of directors proposes that the general meeting resolves to approve the board’s remuneration report in accordance with Chapter 8, Section 53a of the Swedish Companies Act.

Item 14. Resolution on changes to the articles of association
Through a change to the Swedish Companies Act which entered into force on 1 January 2024, the articles of association of a company may allow for general meetings to be conducted digitally. For such purpose, the board of directors proposes that the general meeting resolves to change § 8 of the articles of association. § 8 is proposed to be changed from “The shareholders’ meeting shall be held in Göteborg, Malmö or Stockholm” to “The shareholders’ meeting shall be held in Göteborg, Malmö, Stockholm or digitally, as determined by the board of directors” and the heading is proposed to be changed from “Place of shareholders’ meeting” to “Format of shareholders’ meeting”.

Item 15. Resolution on authorization for the board of directors to decide on the repurchase and transfer of shares
The board of directors proposes that the general meeting resolves to authorize the board of directors to, until the next annual general meeting, on one or more occasions, resolve on repurchasing so many shares in the company that the company’s holding at no time exceeds 10 percent of all shares in the company (“Repurchasing Program”). The shares shall be acquired (i) on Nasdaq Stockholm and only at a price within the price range registered at any given time, i.e. the range between the highest bid price and the lowest offer price, or (ii) through a public offer to all shareholders, whereby the purchase shall be made at a price equivalent to the lowest quoted share price at the time and a maximum of 150 per cent of the current quoted share price. Payment for shares repurchased shall be in cash. The board of directors may resolve to implement a Repurchasing Program in accordance with Article 5 of the EU Market Abuse Regulation.

Furthermore, the board of directors proposes that the general meeting resolves to authorize the board of directors until the next annual general meeting, on one or more occasions, to resolve on the transfer of the Company’s own shares, re-purchased in the context of a Repurchasing Program. The number of shares transferred may not exceed the total number of shares held by the company at any time. Transfers may be conducted on or outside Nasdaq Stockholm, including a right to resolve upon deviations from the shareholders’ preferential rights. The transfer of shares on Nasdaq Stockholm shall be conducted at a price within the registered price range at the time of the transfer. The transfer of shares outside Nasdaq Stockholm shall be made at a price in cash or value received that in all material respect corresponds to the share price at the time of the transfer of the shares in the company.

The purpose of the above authorizations is to give the board of directors greater scope to act when working with the company’s capital structure and thereby contribute to increased shareholder value and that the company in a time efficient manner shall be able to make payment with own shares in connection with possible acquisitions of businesses that the company may undertake. The purpose of the authorization is also to be able to use the proceeds from the divestment of own shares in connection with, for example, investments in the company's own ongoing or future projects and any acquisitions of companies that the company may undertake.

The chairman of the board of directors, the managing director, or anyone authorized by the board of directors, shall have the right to make any minor adjustments required in order to register this resolution.

Majority requirements
For a valid decision on the proposal on an authorization for the board of directors, as outlined above, requires that the proposal is supported by shareholders representing at least two-thirds (2/3) of the votes cast and the shares represented at the meeting.

Item 16. Resolution regarding authorization for the board of directors to increase the share capital
The board of directors proposes that the general meeting resolves on an authorization for the board of directors to – for the period up to the next annual general meeting and at one or more occasions – resolve upon issuance of new shares, warrants and/or convertible debentures. Payment may be made in cash, in kind, through set-off of claims or otherwise be conditional. The company’s share capital may by support of the authorization be increased by an amount corresponding to 20 percent of the share capital and number of shares in the company as of on the date the board of directors make use of the authorization. Deviation from the shareholders’ preferential rights shall be allowed in situations where a directed issue is deemed more appropriate for the company due to timing, commercial or similar reasons, and in order to enable acquisitions. The chairman of the board of directors, the managing director, or anyone authorized by the board of directors, shall have the right to make any minor adjustments required in order to register this resolution.

Number of shares and votes in the company
The total number of shares in the company at the time of issuance of this notice is 178,444,753 and the total number of votes for all issued shares in the company is 178,444,753 votes. The company does not hold any of its own shares.

Shareholders’ right to request information
Pursuant to Chapter 7 section 32 of the Swedish Companies Act (Sw. aktiebolagslagen (2005:551)) the board of directors and the managing director are under a duty to, if any shareholder so requests and the board of directors deems that it can be made without material damage to the company, provide information, regarding circumstances which may affect the assessment of a matter on the agenda or of the company’s economic situation. Such duty to provide information also comprises the company’s relation to the other group companies, the consolidated financial statements and such circumstances regarding subsidiaries which are set out in the foregoing sentence.

Documentation
The financial accounts, auditor’s report, complete proposals for resolution and other documents to be dealt with at the general meeting will be kept available at the company’s office not later than three weeks before the meeting. The documents will be sent free of charge to shareholders who so request and state their postal address. The documents will also be made available not later than the aforementioned date on the company’s website https://www.maha-energy.com. All the above mentioned documents will also be presented at the general meeting.
_____
Stockholm, April 2024
The board of directors

For more information, please visit Maha’s corporate website www.maha-energy.com.

Notice to attend the Annual General Meeting in Maha Energy AB (publ)

Production and operation update March 2024

on 11 de April de 2024 11 de April de 2024

Maha Energy AB (publ) (“Maha” or the “Company”), announces the preliminary unaudited net production data for March 2024.

	Daily average production (boe/day)*
Assets	Mar-24	Feb-24	Jan-24	Q1-24	FY-23
Papa Terra cluster*	1,212	787	1,588	1,204	1,227
Peroá cluster*	508	509	510	509	518
Illinois Basin	330	356	317	334	197
Total	2,050	1,652	2,415	2,047	1,942

Papa Terra cluster
Production at the Papa Terra cluster increased 54% from February to March 2024, mainly as a result of greater operational efficiency in the active wells, following the connection of the PPT-12 well in February 2024. The workover campaign to change the ESP pumps (Electrical Submersible Pump) continues, in line with the work schedule established for the asset, with intervention in the PPT-17, PPT-37 and PPT-50 wells.

Peroá cluster
Production at the Peroá cluster remained stable February to March 2024 as a result of the sale of the natural gas volume outlined in the take-or-pay contract, which is lower than the asset’s current production capacity.

Illinois Basin
Production at Illinois Basin decreased 7% from February to March 2024. The decreased production was caused by an issue in one of the new production wells drilled in Q4-23. The repair of the well has been completed and the well is back in production as of 5th April. The production decrease was mitigated by the oil production launch of the third new well during the month.

Maha’s Assets
Maha has an indirect working interest of 15% in the Peroá cluster and 9.375% in the Papa Terra cluster, with 3R Petroleum Offshore S.A. being the operator. Maha is also the operator holding 97% working interest in the Illinois Basin.

3R Petroleum
Maha announced in January that the Company acquired 5% of 3R Petroleum Óleo e Gás S.A. (“3R Petroleum”) capital stock. 3R Petroleums’ total production amounted in March 2024 to 43,269 boe/day, an increase of 1% from February to March 2024.

* Note: The information included hereunder relates only to Maha’s entitlement on Peroá and Papa Terra clusters’ production, considering its indirect participation interest on said assets. It was calculated based on the information made public by 3R Petroleum. The production from Peroá and Papa Terra clusters are not consolidated in Maha’s financial reporting. Maha’s share of results from the clusters are instead reported as Income from investment in associate. Maha’s acquisition of the assets was completed on May 23, 2023.

For more information, please visit Maha’s corporate website www.maha-energy.com.

Production and operation update March 2024

Maha has signed a MoU with 3R Petroleum and Enauta for a possible transaction regarding its 15% holdings in 3R Offshore

on 9 de April de 2024 9 de April de 2024

Maha Energy AB’s (publ) (“Maha” or the “Company”) subsidiary, Maha Energy Offshore Brasil Ltda. (“Maha Offshore”), has signed a Memorandum of Understanding (“MoU”) with Enauta Participações S.A. (“Enauta”) and 3R Petroleum Óleo e Gás S.A. (“3R Petroleum”) to evaluate the proposal for a transaction, whereby Maha Offshore, in the context of the potential merger of shares being discussed between 3R Petroleum and Enauta, would roll up its 15% holdings in 3R Petroleum Offshore S.A. (“3R Offshore”) (“Roll-Up”) in exchange for shares corresponding to 2.17% of the combined entity resulting from the merger of Enauta’s shares by 3R Petroleum.

3R Petroleum announced on 1 April 2024 that it has received a proposal from Enauta for a transaction between said companies. Maha is a shareholder of 3R Petroleum, holding 5% of 3R Petroleum’s capital stock. In addition, Maha Offshore is a 15% shareholder of 3R Petroleum’s subsidiary, 3R Offshore, which holds operated interests in producing oil and gas clusters Papa Terra and Peroá offshore Brazil. Maha Offshore was subsequently invited to take part of the MoU that defines the understandings of the transaction between 3R Petroleum and Enauta in order to define the understandings regarding the Roll-Up. The Roll-Up is being proposed only to enable the exchange of Maha Offshore 15% interest in 3R Offshore to direct holding in 3R Petroleum, simplifying 3R Petroleum´s corporate structure. As result, the Roll-Up would entail Maha Offshore to receive, in exchange of its 15% interest in 3R Offshore, shares equivalent to 2.17% of the combined entity. A Fairness Opinion will be obtained to evaluate the exchange ratio of Maha’s Roll-Up.

The proposed transaction is subject to customary precedent conditions and any other conditions agreed by the companies, including (i) satisfactory negotiation of definitive transaction documents, which should include customary terms and conditions, (ii) transaction approval by shareholders of 3R Petroleum and Enauta at respective extraordinary general meetings, and (iii) legal and regulatory approvals, including approval from Brazil’s Administrative Council for Economic Defense – CADE. Enauta and 3R will have a 30 days period for exclusivity in the discussion of the potential transaction, that could be extended for another 30 days.

About Enauta
Enauta (ENAT3.SA) is a publicly traded Brazilian oil and gas company, listed on B3 (Brazilian Stock Exchange). Enauta’s net average production in Q4 2023 amounted to approximately 15,300 barrels of oil equivalents per day and reported 2P reserves of 146 MMboe as per year end 2023. The market value of the company amounts to about USD 1,400 million.

About 3R Petroleum
3R Petroleum (RRRP3:SAO) is a publicly traded Brazilian oil and gas company, listed on B3 (Brazilian Stock Exchange). 3R Petroleum’s net average production in Q4 2023 amounted to approximately 45,900 barrels of oil equivalents per day and reported 2P reserves of 530 MMboe as per year end 2023. The market value of the company amounts to about USD 1,650 million.

For more information, please visit Maha’s corporate website www.maha-energy.com.

Maha has signed a MoU with 3R Petroleum and Enauta for a possible transaction regarding its 15% holdings in 3R Offshore

Updated Reserve and Resource Report for Papa Terra and Peroá

on 8 de April de 2024 8 de April de 2024

Maha Energy AB (publ) (“Maha” or the “Company”) provides a reserve update on the Peroá and Papa Terra clusters. Maha Energy has an indirect working interest of 15% and 9.375%, respectively, in these assets. Maha’s Company Gross 2P Reserves in the clusters have increased from 18.8 Million barrels of oil equivalent (“MMboe”) by year end 2022 to 23.0 MMboe by year end 2023.

3R Petroleum S.A. (“3R Petroleum”) has announced the reserve report as of 31 December 2023 for 3R Offshore’s assets Peroá and Papa Terra Clusters. DeGolyer and MacNaughton has completed their annual reserve and resource determination for 3R Offshore.

Maha’s Company Gross Reserves* as of 31 December 2023 (MMboe)
Category	Papa Terra (9.375%)	Peroá (15%)	Total
1P	11.9	1.0	12.9
2P	21.2	1.8	23.0
3P	27.0	2.6	29.6

* Volumes are Gross Working Interest volumes and are expressed before royalties, Government allocations and taxes.

Maha’s Net Present Value (10) after tax (Million USD) as of 31 December 2023
Category	Papa Terra (9.375%)	Peroá (15%)	Total
1P	107	16	123
2P	195	35	230
3P	265	49	314

Peroá Cluster has an additional 2.3 MMBOE in 2C resources related to Malombe, to be reclassified as reserve after the declaration of commerciality of the field.

Resource Category Malombe	(MMboe) Gross	(MMboe) Net (15% WI)	Net Present Value (10) after tax (Million USD)
1C	9.5	1.4	10
2C	15.0	2.3	22
3C	17.1	2.6	25

The reserves review and issuance of this reserve report for 3R Petroleum was made by the independent petroleum engineering consultants DeGolyer and MacNaughton. Estimates of reserves presented in this report have been prepared in accordance with the Petroleum Resources Management System (PRMS) approved in March 2007 and revised in June 2018 by the Society of Petroleum Engineers, the World Petroleum Council, the American Association of Petroleum Geologists, the Society of Petroleum Evaluation Engineers, the Society of Exploration Geophysicists, the Society of Petrophysicists and Well Log Analysts, and the European Association of Geoscientists & Engineers.

For more information, please visit Maha’s corporate website www.maha-energy.com.

Updated Reserve and Resource Report for Papa Terra and Peroá

Two of Maha’s directors elected board members of 3R Petroleum

on 21 de March de 2024 21 de March de 2024

Maha Energy AB (publ) (“Maha” or the “Company”) provides an update on 3R Petroleum, in which Maha holds 5% of its capital stock.

On March 20, 2024, the shareholders of 3R Petroleum Óleo e Gás S.A. (“3R Petroleum”) gathered in Rio de Janeiro, Brazil, for an extraordinary general meeting (“EGM”), following Maha’s request sent to 3R Petroleum’s board on February 8, 2024. All of Maha’s proposals for the EGM were approved, including the election of the new board with Paulo Thiago Mendonça (chairman of Maha) and Fabio Vassel (board member of Maha) among the elected members. In addition, Paulo Thiago Mendonça has also taken office as member of 3R Petroleum’s Finance Committee.

Maha is a shareholder of 3R Petroleum holding 12,019,184 shares, corresponding to five percent of 3R Petroleum’s capital stock. Maha published on January 17, 2024, a public letter to 3R Petroleum’s board of directors, detailing Maha’s objectives with the investment in 3R Petroleum. Maha outlined the initiation of a consolidation plan within the Brazilian onshore segment through a business combination with PetroRecôncavo S.A. (“PetroRecôncavo”), followed by the separation of 3R Petroleum's offshore assets.

3R Petroleum has subsequently announced that they have hired the Brazilian bank Itaú BBA as financial advisor to support its management in evaluating Maha’s suggested transaction. 3R Petroleum and PetroRecôncavo has further signed a Non-Disclosure Agreement ("NDA"), and a due diligence and technical evaluation of the portfolios are ongoing with a target to conclude these steps in a quick and diligent manner.

“We are very pleased with how the process has progressed so far, and we look forward to accelerating it further and swiftly bringing our proposed transaction to completion,” says Kjetil Solbraekke, CEO of Maha Energy.

For more information, please visit Maha’s corporate website www.maha-energy.com.

Two of Maha’s directors elected board members of 3R Petroleum

Production and operation update February 2024

on 13 de March de 2024 13 de March de 2024

Maha Energy AB (publ) (“Maha” or the “Company”), announces the preliminary unaudited net production data for February 2024.

Daily average production (boe/day)*
Assets	Feb-24	Jan-24	Q4-23	FY-23
Papa Terra cluster*	787	1,588	1,535	1,227
Peroá cluster*	509	510	516	518
Illinois Basin	356	317	166	197
Total	1,652	2,415	2,217	1,942

Papa Terra cluster
Production at the Papa Terra cluster decreased 50% from January to February 2024, mainly as a result of the scheduled shutdown in February for the connection of well PPT-12 to the production system and the continued workovers to replace ESP-pumps (Electrical Submersible Pump) in wells PPT-17, PPT-37, and PPT-50. The PPT-12 well was brought into production in the second part of February. The production decline was partially offset by the increased efficiency after optimizations in the surface facilities recorded in wells PPT-16, PPT-22, and PPT-51. Well interventions in Papa Terra, as well as ongoing maintenance work in the facilities, aim for greater stability and operational efficiency and support increased production going forward.

Peroá cluster
Production at the Peroá cluster remained stable January to February 2024 as a result of the sale of the natural gas volume outlined in the take-or-pay contract, which is lower than the asset’s current production capacity.

Illinois Basin
Production at Illinois Basin increased 12% from January to February 2024. The increased production follows the launch of two new production wells. The third new production well was completed in the beginning of March.

3R Petroleum
Maha announced in January that the Company acquired 5% of 3R Petroleum Óleo e Gás S.A. (“3R Petroleum”) capital stock. 3R Petroleums’ total production amounted in February 2024 to 42,709 boe/day, a decrease of 10% from January to February 2024 following the production decrease in Papa Terra cluster.

For more information, please visit Maha’s corporate website www.maha-energy.com.

Production and operation update February 2024

Maha pays EUR 4.6 million and signs the agreements for the Venezuelan PetroUrdaneta acquisition

on 12 de March de 2024 12 de March de 2024

Maha Energy AB (publ) (“Maha” or the “Company”) has signed the definitive agreements and paid EUR 4.6 million, concluding another important step for acquisition of indirect equity interest in the Venezuelan oil company PetroUrdaneta from Novonor Latinvest Energy.

The definitive documents formalize Maha’s acquisition, being the transaction subject to the fulfillment of certain condition precedent, mainly related to:

that all consents, authorizations, orders and approvals from relevant governmental authorities required for completion have been received;

successful negotiation of the relevant operational and collaboration agreements/framework with PDVSA and/ or local authorities for the redevelopment of PetroUrdaneta’s fields. Such agreements aim to allow Maha to define a new development program of PetroUrdaneta and enhance control over the operations, particularly in the areas of purchasing, cash management and crude sales/offtake.

"We remain very optimistic about our possibilities to start producing the vast resources of oil at the PetroUrdaneta fields, as we envisage a very attractive risk-reward profile for this transaction. In any case, at this stage, we are looking at a very limited investment, but could be richly rewarded if things turn out the way we believe”, says Kjetil Solbraekke, CEO of Maha Energy.

Maha continues to closely monitor the political development in Venezuela, including which general or specific U.S. sanctions licensing that may be required for the implementation of activities authorized by General License 44 beyond 18 April 2024.

For more information, please visit Maha’s corporate website www.maha-energy.com.

Maha pays EUR 4.6 million and signs the agreements for the Venezuelan PetroUrdaneta acquisition

Fourth Quarter and year-end 2023 report

on 27 de February de 2024 27 de February de 2024

(all amounts are in US dollars unless otherwise noted)

Fourth Quarter 2023

Maha Energy signed in October 2023 an exclusivity agreement to invest and acquire 24% of indirect equity interest in PetroUrdaneta, a Venezuelan oil company;
The Company announced the sale of the Oman subsidiary for a total consideration of up to 14 million, with a cash payment of 2 million plus 12 million earnout, to be paid upon achievement of agreed the earnout milestone;
As a result of Oman Asset Held for Sale, Maha records a non-cash impairment of 25.2 million (Note 5). Oman is presented as discountinued operations in this report;
Daily oil production for Q4 2023 from continuing operations averaged 165 BOEPD (Q4 2022: 281 BOEPD). Including non-consolidated production from investment in associate 3R Offshore of 2,051 BOEPD, total production amounted to 2,217 BEOPD;
Revenue from continuing operations of 1.2 million (Q4 2022: 2.0 million) following lower sales volumes and lower realized oil price;
Operating Netback from continuing operations of 0.6 million (Q4 2022: 1.0 million) following lower sales volumes;
EBITDA from continuing operations of -1.5 million (Q4 2022: -0.9 million);
Continuing operations Net Result of -0.5 million (Q4 2022: -3.1 million);
Discontinued operations Net Result of -26.1 million (Q4 2022: 3.7 million);
Earnings per share basic and diluted of 0.00 (Q4 2022: -0.03);

Full Year 2023

Daily oil production from continuing operations averaged 197 BOEPD (Full Year 2022: 399 BOEPD). Including non-consolidated production from investment in associate 3R Offshore of 1,745 BOEPD, total production amounted to 1,942 BOEPD;
Revenue from continuing operations of 5.2 million (Full Year 2022: 12.3 million) following lower sales volumes and lower realized oil price;
Operating netback from continuing operations of 2.2 million (Full Year 2022: 6.5 million) following lower sales volumes and lower realized oil price;
EBITDA from continuing operations of -2.9 million (Full Year 2022: 0.8 million);
Continuing operations Net Result of -5.3 million (Full Year 2022: -11.3 million);
Discontinued operations Net Result of -28.6 million (Full Year 2022: 30.6 million);
Earnings per share basic and diluted of -0.03 (Full Year 2022: -0,09);
Total cash balance on 31 December 2023 of 131.1 million, including restricted cash of 42.8 million (31 December 2022: 15.2 million, excluding cash from assets held for sale).

Reserves

Maha’s Gross Reserves before income tax in Illinois Basin, USA, as per 31 December 2023 amount to 2.8 million barrels of oil of proven and probable Reserves (2P).

Subsequent Events

Maha Energy acquires 5% of equity interest of the Brazilian junior oil and gas company 3R Petroleum Óleo e Gás S.A. (“3R Petroleum”);
Final agreement for the sale the Oman asset to Mafraq executed in January 2024. The transaction is still subject to government approval.
Earnout from Brazil sale of 1.5 million to be received during Q1 of 2024.

Financial Summary

The table below presents the highlights of the continuing operations:

Financial Summary (TUSD)	Q4 2023	Q4 2022	Full Year 2023	Full Year 2022
Average (BOEPD)	165	281	197	399
Revenue	1,165	1,991	5,226	12,327
Operating Netback	552	1,002	2,197	6,523
EBITDA	-1,459	-896	-2,905	799
Net Result	-515	-3,135	-5,307	-11,298
Earnings per share (basic & diluted)	0.00	-0.03	-0.03	-0.09
Cash and cash equivalents incl. restricted cash	131,119	15,218	131,119	15,218

Regarding the discontinued operations of Maha Brazil in Q4 2022 and Oman in Q4 2023:

Financial Summary (TUSD)	Q4 2023	Q4 2022	Full Year 2023	Full Year 2022
Average (BOEPD)	0	2,341	1,562	2,812
Revenue	0	15,280	9,049	77,450
Operating Netback	0	8,794	6,755	54,206
EBITDA	-992	9,661	4,272	54,302
Net Result	-26,097	3,228	-28.646	34,231
Earnings per share (basic & diluted)	0.00	0.03	-0.01	0.28
Cash and cash equivalents incl. restricted cash	356	8,010	5,998	8,010

Continuing and discontinuing operation combined:

Financial Summary (TUSD)	Q4 2023	Q3 2023	Q2 2023	Q1 2023	Q4 2022	Full Year 2023	Full Year 2022
Average (BOEPD)	165	179	211	233	2,622	197	3,211
Revenue	1,165	1,250	1,325	10,535	17,271	14,275	89,777
Operating Netback	552	527	470	7,403	9,796	8,952	60,729
EBITDA	-2,451	-323	-1,788	5,929	8,765	1,367	55,101
Net Result	-26,612	-3,406	90	-4,025	93	-33,953	22,933
Earnings per share (basic & diluted)	-0.01	-0.02	0.00	-0.02	0.00	-0.20	0.19
Cash and cash equivalents incl. restricted cash	131,475	142,785	102,406	110,395	23,228	137,117	23,228

Letter to shareholders

Dear Friends and Fellow Shareholders,

In January Maha took the lead of an exciting new chapter in the Brazilian energy industry. We acquired five percent of one of the most prominent independent oil and gas companies in Brazil – 3R Petroleum Óleo e Gás S.A. (“3R Petroleum”) – and outlined our thoughts on an initiation of a consolidation plan within the Brazilian onshore segment. We propose a carve out of 3R Petroleum's onshore assets and a business combination with another onshore player, which we foresee PetroRecôncavo as the best candidate. The extensive existing synergies between the two companies will unlock significant value for all shareholders involved. 3R Petroleum will be able to focus on enhancing its offshore assets, which Maha already holds 15 % interest in. I, together with members of our board of directors, have been intimately involved in the founding and early growth of 3R Petroleum, and possess a profound understanding of the value residing within 3R Petroleum's assets. In our public letter to 3R Petroleum, published 17 January 2023, we set up a 2024 timetable for the implementation of our strategy. As an initiation of this plan, we made in February a request for an EGM in 3R Petroleum to resolve upon a new board of directors.

Our project in Venezuela is also progressing. We have set up a very qualified team in Venezuela. The team is headed by our COO, and our CFO will also be based in Venezuela in the near future. We continue to closely monitor the political development in Venezuela and remain very optimistic about the possibility to conduct sustainable operations in the country. The sanction relief on Venezuela runs to 18 April 2024, but we expect to continue to receive any general or specific U.S. sanctions licensing that may be required for the continuation of activities beyond that. Going forward, we will continue to work on closing agreements and conduct all necessary due diligence to confirm the financial, legal, regulatory, and operational feasibility. We are eager to get all paperwork done and to start operations in order to create value for both our shareholder and the people of Venezuela.

Production from our existing projects increased 14% from the third to the fourth quarter 2023 driven by the production growth on Papa Terra. During the year, an extensive maintenance program has gradually improved the operational efficiency of Papa Terra. And in the fourth quarter, we also saw a new well in the intervention campaign being completed. More wells will undergo interventions and one new sidetrack well is also planned during the spring. We therefore expect the production to continue to increase, albeit with monthly fluctuations. In addition, we have concluded a three well drilling program in our US assets in Illinois Basin. In January we started see the production ramp-up and recorded an increase of over 100% by end of January compared to average in the fourth quarter.

In December, we announced the divestment of our Omani asset Block 70 for a consideration of up to USD 14 million, including earnouts. Block 70 turned out to have an oil with higher viscosity than expected, and the project would probably require significant investments going forward. For the new Maha, it is better to focus on projects in our home turf in Latin America and preserve a share of Block 70 project’s upside through our earnouts. We close our engagement in Oman with a non-cash write-down of USD 25 million. With this divestment, I am also happy and proud of concluding the complete turn-around we have implemented in a little over a year. We have maintained the same production level, sold several assets, gained a substantial cash position, acquired new assets, re-allocated the Company main office to Rio in Brazil and substantially closed the Canadian office.

We report revenue from our consolidated production of TUSD 1,165 and share of income from investment in associate, Maha’s net non-cash income portion from the Papa Terra and Peroá assets, of TUSD 1,825 for the fourth quarter. Our EBITDA decreased to TUSD -1,459, compared to TUSD -896 for the fourth quarter last year. Our net result from continuing operations increased from -3,135 in the fourth quarter 2022 to TUSD -515 in fourth quarter 2023. Our total cash balance (including restricted cash) decreased from USD 143 million last of September 2023 to USD 131 million following mainly investments in Illinois Basin and repayment of bank debt. The average oil price in 2023 stayed above USD 80 per barrel, securing us an earnout of TUSD 1,470, to be received later in the first quarter 2024. General and administration expenses were higher compared to previous year, mainly due to extraordinary costs and one-offs related to divestments and acquisitions and the closing of the Canadian office. The move to Rio has however reduced our running costs and we expect General and administration costs in 2024 to stabilize at a lower level.

I am also happy to welcome our country manager in Venezuela, Javier Gremes Cordero, to his new position as Chief Operating Officer ("COO") of Maha. He will strengthen the existing management team with his substantial experience, and we are confident that he will help us achieve our strategic objectives.

With the structural changes we have made this year, Maha Energy AB is strategically transformed and fully equipped to pursue growth and profitability in Latin America. We have an experienced management and board in place, and clear plans and resources to pursue the paths towards value creation for our shareholders. As we advance our projects, we are equally committed to boosting the visibility of our assets' fair market value, benefiting all stakeholders, including myself and fellow board members with substantial shareholdings, both personally and through our companies. Thank you for taking this journey with us!

Kjetil Braaten Solbraekke (CEO)

Q4 Webcast today at 14:00 CET
The Company invites all interested parties to a live webcasted presentation today at 14.00 CET. Kjetil Solbraekke, CEO, and Guilherme Guidolin de Campos, CFO, will present the report and recent developments.

The webcast will be held in English and will be broadcasted live. An on-demand version will also be available on Maha’s website and YouTube channel. Questions to the presenters can be emailed in advance to the Company at info@maha-energy.com or be made directly on the day of the presentation in the YouTube Comments/Questions field.

Link to webcast: https://youtube.com/live/QsmLF8VvxEo?feature=share

For more information, please visit Maha’s corporate website www.maha-energy.com.

2024 Q4 Maha Energy Report ENG

Invitation to the presentation of Maha Energy’s Q4 2023

on 21 de February de 2024 21 de February de 2024

Maha Energy AB (publ) (“Maha” or the “Company”) will publish the interim report for the fourth quarter 2023 on Tuesday, 27 February 2024 at approximately 07:30 CET. The publication date has been updated from previously announced February 26. The Company hereby invites all interested parties to a live webcasted presentation on the same day at 14.00 CET. Kjetil Solbraekke, CEO, and Guilherme Guidolin de Campos, CFO, will present the report and recent developments.

Link to webcast: https://youtube.com/live/QsmLF8VvxEo?feature=share

For more information, please visit Maha’s corporate website www.maha-energy.com.

Invitation to the presentation of Maha Energy’s Q4 2023