Prospect Oil & Gas Management Ltd.

As at 25 Mar 2025 · per AER deemed liability value (Licensee Liability Rating; estimated abandonment and reclamation obligations) for Prospect's Oil & Gas Properties, as stated in the Sayer Energy Advisors marketing brochure (Appendix B). This is a Trustee's First Report seeking sale approval and re-transfer/vesting of assets; it contains no statement of affairs, no creditor listing, and no audited balance sheet. The figure is a regulatory quasi-liability estimate, not an audited creditor balance. · Prospect Oil & Gas Management Ltd. Alberta oil & gas properties: aggregate deemed liability $4.4 million = Brooks/Bantry $2.9 million + Namaka $1.5 million (both as of March 25, 2025). Separately, the Unrealized Assets received no offers, were deemed unsaleable, and are being re-vested to Prospect for transition to the Orphan Well Association (OWA): approximately 78 wells licensed by the bankrupt, 2 licensed facilities plus 14 facility infrastructures (non-operating working interest), and 43 pipeline segments (of approximately 136 wells, 18 facilities, and 94 pipeline segments held at the Bankruptcy Date). — The saleable Oil & Gas Properties (Brooks/Namaka producing assets) were sold to Decimus Oil Corp. (formerly Tenth Avenue Petroleum Corp.) for $100,000.00 plus GST -- the only offer received in the Sayer sale process (effective date November 1, 2025). Operating income net to Prospect for the nine months ended September 30, 2024 was approximately ($81,000) per month, or ($972,000) annualized (properties shut-in since September 2024). Estimated ongoing monthly holding costs $10,675. Bankruptcy Date January 23, 2025; report dated November 10, 2025. Component deemed liabilities ($2.9M Brooks/Bantry