Serinus Energy : 2024 Q1 Financial Results Presentation, May 2024

www.serinusenergy.com

Serinus Energy plc

Financial results for the

3 months ended 31 March 2024

13 May 2024

Serinus Energy

Overview - Large and Diversified Onshore Asset Base

Untapped	 Romania (100%) Satu Mare concession in northwest Romania - 2,950km
potential &		 Strong asset base including 100% owned gas plant, replacement cost $15mm
growth		Tunisia Production from two concessions: Sabria and Chouech Es Saida fields
		 Sabria (45% WI) is a large light oil field with 445 MMboe OIIP (P50) with only 1.6% produced to date
		 Chouech Es Saida (100% WI) contains an aerially extensive (~125 km2) and thick (~50 m) basin-floor fan -
		excellent longer-term gas exploration potential within close proximity to the underutilized Nawara Gas Pipeline
	 Multiple investment opportunities for organic growth funded by existing production
	 Post period end, after oil lifting of 62,930 bbl, received $3.2 million (net of monthly $500k
		prepayments pre-lifting), two more liftings in 2024 with the next lifting confirmed to occur in
		August 2024
	 Company remains debt free with capital investments in 2024 to be funded from free
		cashflow, Q4 2024 target expected to increase hydrocarbon production
	 Company currently valued at US$0.66/boe3 (Sector Average US$8.36/boe) of 2P
		Reserves with a Reserve Life Index of 25.6 years4
	 Strong corporate cost control, low operating costs, attractive fiscal terms, and onshore
		location with strong commodity prices
	1.	2023 Annual Report
	2. As per independent Reserves Report prepared by Gaffney, Cline & Associates as at 31 December 2023; gas resources converted to boe using a conversion factor of
		6mcf/1bbl
	3.	Based on Serinus Energy plc Market Cap of £3.17 million as of 7 May 2024 and converted at a USD/GBP exchange rate of 1.2533
	4.	Calculated by taking 2023 2P reserve estimate of 6.0mmboe divided by Q1 2023 annualized total production of 234,330 Boe

Page 1 | 13 May 2024

Serinus Energy plc | Q1 2024 Financial Results

Key Assets

Romania
		Oil & Gas Field	Ukraine
				Gas Field
				Pipelines
				Oil Field
 Satu Mare concession in NW			3D Seismic
	Hungary
	Romania - 2,950km2
 Pannonian Basin on trend with					Satu Mare
	discovered and producing oil & gas			Seismic
				Moftinu 1001
	fields and close to infrastructure -		Moftinu 3D
			Moftinu 1002Bis
	multiple play opportunities			Santau 3D
			Seismic
 Moftinu Gas Project first gas
	achieved in April 2019				Romania
Reserves/Resources/Production1
Proved + Probable Reserves:	0.36 MMboe
2C Contingent Resources:	0.72 MMboe
Production:	49 boe/d2

Growth Opportunities

• The Moftinu gas field has produced over 9.4 Bcf of gas (as end of 2023), earning over US$96 million in revenue and over US$40 million in funds from operations
• The Concession has 7 identified play-types/areas with multiple oil and gas discoveries over the concession area
• Serinus is established in Romania, has a full management team that has extensive experience in operating within the country and enjoys strong working relationships with all regulatory bodies

Tunisia

• Production from 2 concessions: Sabria and Chouech Es Saida fields
• Sabria (45%) is a large Ordovician light oil field with 445 MMbbl OIIP (P50)
• Chouech contains aerially extensive (~125 km2) and thick (~50 m) basin- floor fan - excellent longer-term gas exploration potential

Reserves/Resources/Production1

Proved + Probable Reserves:	5.63 MMboe
2C Contingent Resources:	2.32 MMboe
Production:	586 boe/d2

Growth Opportunities

• Major oil development potential at Sabria with production enhancement through the introduction of artificial lift to existing well inventory is underway
• Chouech Es Saida has exploration opportunities for both oil & gas development

1. As per independent Reserves Report prepared by Gaffney, Cline & Associates as at 31 December 2023
2. Q1 2024 Average production - Q1 2024 Interim Financial Statements

Page 2 | 13 May 2024

Serinus Energy plc | Q1 2024 Financial Results

Q1 2024 Results - 3 Months Ended 31 March 2024

Operational Highlights

Q1 2024

Operational

Highlights

• Production for the period averaged 635 boe/d, totaling 57,785 boe comprising:
• • Romania - 49 boe/d
  • Tunisia - 586 boe/d
• Tunisia production increased in Q1 2024 by ~11% versus Q1 2023 following active management of the artificial lift systems, optimising production rates at the Chouech Es Saida field - artificial lift in the field has been successful and average pump life has increased from 8 months to over 24 months
• Sabria W-1 well sidetrack and artificial lift targeted for Q4 2024.
• • The sidetrack design has been completed and the procurement process commenced
  • Targeted to materially increase net Tunisia hydrocarbon production

• The Sabria N-2 well is dewatering at a slow rate and the Company is in discussions with its partner regarding stimulation techniques to enhance the dewatering of this well

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Serinus Energy plc | Q1 2024 Financial Results

Q1 2024 Results - 3 Months Ended 31 March 2024

Operational Highlights

Q1 2024

Operational

Highlights -

continued

• In Romania - granted an exploration phase extension to the Satu Mare in October 2023 Concession in Romania. The Moftinu gas field has been declared a Commercial Area, all other areas of the Concession remain Exploration Area. The exploration period extension is in two phases
• • The first phase of the extension is mandatory and is two years in duration starting on 28 October 2023 with a work commitment of reprocessing of 100 kilometres of legacy 2D seismic as well as a 2D seismic acquisition program of 100 kilometres including processing the acquired seismic data
  • The second phase of the extension is optional and is two years in duration starting on 28 October 2025 with a work commitment of drilling one well within the concession area with no total drilling depth requirement stipulated.
• In the Moftinu field in Romania, a reservoir review has identified a number of additional gas zones in the current wells to be brought into production via short interventions using a light workover rig
• The Canar-1 water injection well is currently injecting all produced water volumes from the Moftinu field, delivering approximately $600,000 of annual water disposal cost savings in 2023

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Serinus Energy plc | Q1 2024 Financial Results

Q1 2024 Results - 3 Months Ended 31 March 2024

Financial Highlights

Q1 2024		Revenue for the three months ended 31 March 2024 was $4.6 million (Q1 2023: $4.9
Financial		million) from production of 234,330 boe
Highlights		Gross profit for the three months ended 31 March 2024 was $1.0 million (Q1 2023: $0.9
		million)
		EBITDA for the three months ended 31 March 2024 was $0.9 million (Q1 2023: $0.8
		million)
		Funds generated from Operations for the three months ended 31 March 2024 was $1.2
		million (Q1 2023: Funds used in Operations $0.8 million)
		G&A for the three months ended 31 March 2024 decreased to $0.9 million or $15.75/boe
		(Q1 2023: $1.4 million or $22.01/boe)
		Net loss for the three months ended 31 March 2024 was $0.5 million (Q1 2023: net
		loss $1.3 million)
		Capital expenditures of $0.3 million for the three months ended 31 March 2024 (Q1
		2023: $2.4 million), comprising:
		- Tunisia - $0.3 million
		- Romania - nil

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Serinus Energy plc | Q1 2024 Financial Results

Q1 2024 Results - 3 Months Ended 31 March 2024

Financial Highlights

Q1 2024

Financial

Highlights-

continued

• The Company realised a net price of $80.24/boe for the three months ended 31 March
  2024 (Q1 2023: $78.87/boe) comprising:
• • Realised oil price - $84.27/bbl (Q1 2023: $80.07/bbl)
  • Realised natural gas price - $10.99/Mcf (Q1 2023: $12.72/Mcf)
• The Group's operating netback for the three months ended 31 March 2024 was $33.04/boe (Q1 2023: $39.52/boe), comprising:
• • Romania operating netback - negative $55.66/boe (Q1 2023: $26.59/boe)
  • Tunisia operating netback - $40.16/boe (Q1 2023: $43.92/boe)
• Cash balance as at 31 March 2024 was $0.6 million

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Serinus Energy plc | Q1 2024 Financial Results

Revenue and Costs of Sales

Strong Financial Performance

Revenue ($'000)

6,000			Q1 2023			Q1 2024
						4,875
5,000							4,612
4,363
4,000	3,665
3,000
2,000
			1,210
1,000
			249
-
Tunisia	Romania	Total

Cost of Sales ($'000)

Gross Profit ($'000)
Q1 2023	Q1 2024
1,200	1,030
1,000
868
800
600
400
200
-
Net income ($'000)

Revenue:

• Revenue $4.6mm (Q1 2023: $4.9mm) impacted by lower production

Cost of sales:

• Decreased to $3.6mm (Q1 2023: $4.0mm), primarily due to lower windfall tax and DDA offset by higher operating costs

Gross profit:

• Gross profit of $1.0mm (Q1 2023: $0.9mm)

Royalties	Opex	DDA	Windfall tax		Q1 2023	Q1 2024
5,000				-
4,000	4,007
286		3,582
			70	(500)
3,000	1,289		800		(491)
2,000			2,165	(1,000)
	1,912
1,000
-	520		547	(1,500)	(1,269)

Q1 2023

Q1 2024

1. Windfall tax for Romania gas production only

Net income for the period:

• Net loss of $0.5 million (Q1 2023: net loss of $1.3mm)

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Serinus Energy plc | Q1 2024 Financial Results

Production and Realised Prices

Stable Production in Tunisia and Stable Commodity Prices

Average Production Volume (boe/d)

3M 2023 6M 2023 9M 2023 12M 2023 3M 2024

528	533		539	586					691	677	641	642	635
524		144	117	103	49
					163
	Tunisia			Romania			Group

Average Realised Price

3M 2023 6M 2023 9M 2023 12M 2023 3M 2024

80.07	78.68	84.27		74.93	77.58
	74.75	79.85			78.87	80.24
					76.84

13.97 12.9213.05

13.34 9.74

Average production volume:

• Group production of 635 boe/d, total Q1 2024 production 234,330 boe
• • Romania: 49 boe/d
  • Tunisia: 586 boe/d
• Romania: production decrease due to natural declines with only one well producing. Two wells are awaiting recompletion to access "behind pipe" volumes
• Tunisia: increased production ~11% due to workover programme and reservoir management

Average realised price:

• Group average realised price of $80.24/boe, reflecting higher realized oil price more than offsetting lower gas prices in Romania
• • Romania: average gas price of $9.74/Mcf
  • Tunisia: average crude oil price $84.27/bbl

Tunisia oil	Romania gas	Group average price
($/bbl)	($/Mcf)	($/boe)

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Serinus Energy plc | Q1 2024 Financial Results

Production Expense and Netbacks

Stable Production in Tunisia and Stable Commodity Prices

Production Expense ($/boe)

3M 2023 6M 2023 9M 2023 12M 2023 3M 2024

			111.57
			76.84
			63.6269.64
			52.88				35.43	34.78
			27.27
		26.43									34.14	37.68
23.79	31.75						30.93
27.56

Tunisia ($/boe) Romania ($/boe) Group ($/boe)

Operating Netback ($/boe)

3M 2023 6M 2023 9M 2023 12M 2023 3M 2024

43.92	40.6840.3540.16		31.1834.15	33.04
36.47	39.52
				26.59	33.89
				12.53 4.22

Tunisia ($/boe)

Romania ($/boe)

Group ($/boe)

-2.19

-55.76

Production expense:

• Total production expense $2.2mm (Q1 2023: $1.9mm)
• • Tunisia $1.7mm
  • Romania $0.5mm
• Unit production expense $37.68/boe
• • Tunisia: $31.75/boe
  • Romania: $111.57/boe

Operating netback:

• Group operating netback of $33.04/boe - reflects impact of lower gas prices and production volumes in Romania versus the comparative period offset by higher oil prices and production volumes in Tunisia, with an average realised price of $80.24/boe
• • Tunisia: $40.16/boe
  • Romania: negative $55.76/boe

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Serinus Energy plc | Q1 2024 Financial Results