#US$1 = NOK 11 BCF: billion cubic feet bopd: barrels of oil per day mmbbls: millions of barrels mmboe: miillion barrels of oil equivalent MMstb: millions of stock tank barrels boepd: barrels of oil equivalent per day Reudnitz gas exploration licence, which is estimated to have resources of over 118 BCF of methane and over 1 BCF of helium. Separately, the Group also made an opportunistic acquisition of the assets of a German energy player undergoing receivership. The portfolio of assets comprises seven licences located mainly in the Rhein Graben oil & gas province, with production of about 60 bopd from the Schwarzbach and Lauben fields, 2P reserves, 2C contingent resources and prospective resources, as well as 3D seismic coverage in under-explored mature produced areas with potential for near-field discoveries. A qualified person’s report on the assets will be commissioned in due course. Increasing Production and Reserves & Resources To lay the groundwork for revenue and profits in the long run, the Rex Group has been focusing on growing its reserves organically through development of assets in its portfolio and inorganically via acquisitions, so that production can be increased and maintained for longer. Organic growth in reserves include a discovery achieved in the Brage Field in 2023 that would add 1 mmbbl of oil reserves in the Brage Field net to LPA, as well as the upgrading of 4 mmboe of contingent resources into 2P reserves net to LPA, now that authorities have approved the Bestla Field PDO, submitted in 2024. The acquisition of an additional 15 per cent interest in the Yme Field in Norway will add another 6 mmbbls of 2P reserves, while those in the Sèmè Field in Benin are estimated to be 10.9 MMstb in an independent qualified person’s report published in 2024. Production in Norway and Oman averaged more than 11,000 boepd in 2024, versus about 9,500 boepd in 2023. Streamlining and Restructuring; Financing Secured The Group carried out a series of streamlining and restructuring of its shareholdings in various subsidiaries, including in LPA and MOL, to provide more flexibility for the Group to progress its business strategies for the subsidiaries with existing and potential future partners. Most notably, Lime Petroleum Holding AS, which was established in 2024 to be the holding company for LPA and Akrake Petroleum Benin S.A. (“Akrake”), has raised a total of NOK 1.75 billion (approximately US$159.10 million#) in NOK denominated senior secured bonds and tap issues on the bond, to finance LPA’s acquisition of more interest in the Yme Field and the Bestla development project in Norway, Akrake’s upcoming development in Sèmè Field, Benin, and working capital for both subsidiaries. The Group also conducted a strategic review of its diversified businesses in order to prioritise the Group’s management efforts and resources, and in 2024, divested its total stakes in Crescent Marine Holding Ltd, a marine asset joint venture, and in Moroxite Holding Pte. Ltd., a medical technology company, while increasing its stake in commercial drone company Xer Technologies Pte. Ltd. from 53.33 per cent to 100 per cent. Carbon Capture & Storage; Hydrogen Project While the Company’s strategic focus remains on its core business of oil & gas exploration and production, it has also continued its efforts to contribute towards action against climate change. LPA and its partners were awarded a CO2 storage licence in the North Sea by the Norwegian Ministry of Energy in June 2024. The EXL009 Iroko carbon storage licence, in which LPA has a 30 per cent interest, will be operated by Vår Energi. The Iroko area has the potential to store up to 7.5 million tonnes of CO2 annually for at least 30 years, a total of approximately 215 million tonnes. Annual Report 2024 0 6
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