OPERATIONS UPDATE

In Q3 2022, Coelacanth continued to plan for the development of its major projects at Two Rivers East and West that entails materially expanding the infrastructure and preparing for pad development.

At Two Rivers West, two Drilling licenses have been received (B10-08 and 13-17) and Coelacanth will drill and case those wells while it awaits approvals for an additional three licenses to be approved on the B10-08 pad. Once the additional locations are approved on the B10-08 pad, Coelacanth intends to drill the remaining wells and complete all four wells with production to commence through its current facility shortly thereafter.

At Two Rivers East, the engineering and design is largely complete for the construction of a battery and gas handling facility to handle anticipated future pad developments. Gas sales and emulsion gathering lines are currently being surveyed so they can be installed on an expedited basis after drilling the first pad at 5-19. The 5-19 proposed pad, that is located just north of the successful Leucrotta 9-33 pad drilled in 2021, has been submitted for licensing and Coelacanth is awaiting approvals to drill.

Both of these projects are included in Coelacanth's business plan to reach production of 25,000 boe/d within a four-year period as outlined in its latest presentation.(1) Coelacanth currently controls over 150 net sections of Montney rights at Two Rivers in northeast British Columbia that are largely delineated and ready for development. The Montney lands are estimated to contain over 8.9 billion bbls of Original Oil in Place ("OOIP") and 8.6 tcf of Original Gas in Place ("OGIP").(2)

Coelacanth looks forward to updating on its progress in the near future.