well slots to drill two wells, so as to add some 500 bopd to the current production level of about 40 bopd in the short- to medium-term. The unexpected delay in income from oil production and additional costs of drilling operations as a result of operational and logistical challenges in the Sèmè Field in Benin had led to an unfortunate negative impact on LPH’s cash flow and liquidity position. Thankfully, LPH sought and obtained bondholders’ approval for its requests to defer LPH’s obligation to pay the interest payments falling due in January 2026 for its bonds, and to temporarily waive and suspend the Minimum Liquidity covenants for the bonds until 31 March 2026, providing LPH with enhanced near-term financial flexibility. First oil from Benin was achieved in March 2026. However, as LPH’s financial position had been adversely affected by significant technical complications, increased drilling costs and production delay in Benin, LPH has engaged a financial advisor and legal counsel to undertake a comprehensive strategic and financial review, to evaluate all available alternatives to strengthen LPH’s balance sheet and secure a sustainable capital structure. On 16 March 2026, the trustee of LPH’s 2027 Bonds and 2028 Bonds issued a summons for a Written Resolution to LPH’s bondholders to approve the facilitation of a potential interim liquidity funding on an expedited basis in anticipation of a comprehensive recapitalisation of the LPH Group (comprising LPH and its subsidiaries), including any interim liquidity measures and in combination with any other remedial measures as deemed appropriate, which includes, inter alia, the engagement of restructuring advisors and providers of a Chief Restructuring Officer, and further potential engagement of additional advisers, including an additional financial adviser.* While LPH is formalising plans to resolve its short-term liquidity issues, there are cash call requirements due from LPA in relation to its producing asset Yme Field (25 per cent) and the discovery asset Bestla Field (17 per cent) in Norway. It is understood that these cash calls have a grace period to around early April 2026 and end April 2026 respectively. In the event LPA is unable to make the cash contributions, LPA may lose the aforementioned interests. For the key producing asset Brage Field (33.8434 per cent) in Norway, cash calls were up to date as of 16 March 2026. Xer, the Group’s non-core commercial drone business, has been successfully spun off in January 2026. While the Group has retained a 50.4 per cent interest in the listed entity, it has no plans for further business diversification and going forward, will focus its resources mainly on its core oil & gas assets in Oman, Norway, Germany and Benin. To shore up the Group’s cash position, the Company announced the placement of treasury and new shares and the issuance of free, detachable unlisted warrants in January 2026. The placement of the treasury shares was completed on 5 February 2026 and the allotment and issuance of new shares was completed on 13 March 2026, raising a total of S$7.62 million. Acknowledgements Ms Beverley Smith resigned as Independent Non-Executive Director in February 2026 and Mr Måns Lidgren stepped down as Chief Executive Officer in March 2026. On behalf of the Board, we would like to thank them for their service and contributions. We would like to thank our Board for their time, guidance and counsel during this difficult time, and our colleagues for pressing on when the going is tough. We would also like to express our appreciation to all stakeholders for their continual support, patience and understanding. John d'Abo Executive Chairman Per Lind Chief Executive Officer 24 March 2026 * The Company will update the market accordingly in accordance with applicable rules of the SGX-ST in the event of any material updates. Shareholders and potential investors should exercise caution when trading in the Shares of the Company. Persons who are in doubt as to the action they should take should consult their legal, financial, tax or other professional advisers. 8 Annual Report 2025
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