全年净利润为 1.935 亿美元，包括 23 年第 4 季度的 9200 万美元
全年平均日产量为 40,919 桶油当量/天
全年运营 EBITDA 为 4.672 亿美元
全年调整后基础设施 EBITDA 为 1.198 亿美元，分部收入为 6930 万美元
宣布季度股息为每股 0.0625 加元，或总计 390 万美元，将于 2024 年 4 月 16 日左右支付 记录 1.641 亿英国
石油当量 2P 总储备和 1.087 亿 1P 总储备
35 亿美元 2P 税前净现值按 10% 折扣2023 年 12 月 31 日
7.3 年 1P 和 11.0 年 2P 总储备寿命指数
514-628 Mmboe Pmean 在 Corentyne 区块北部马斯特里赫特地平线中估算的无风险总预期资源 已
投产的第一个太阳能发电厂，通过碳信用额抵消 50% 的排放量，保护和恢复哥伦比亚卡萨纳雷和梅塔的 1,681 公顷新土地

Frontera Energy Corporation（“Frontera”或“公司”）报告了截至 2023 年 12 月 31 日的第四季度和年度的财务和运营业绩，并公布了其年度业绩由 DeGolyer 和 MacNaughton Corp（“D&M”）进行的独立储量评估。除非另有说明，本新闻稿和公司财务披露中的所有财务金额均以美元为单位。截至2023年12月31日止年度，公司的所有预订储备均位于哥伦比亚和厄瓜多尔。

董事会主席 Gabriel de Alba 评论道：
“2023 年，Frontera 继续采取具体措施，为股东创造巨大价值。公司实现 EBITDA 为 467MM 美元，处于 2023 年指引的较高端，该年结束时拥有强大的资产负债表，包括 1.9 亿美元的现金头寸，并制定了 2024 年资金充足的计划。

我们重要的基础设施业务产生了约 1.2 亿美元的调整后基础设施 EBITDA，并在宣布 Refineria de Cartagena SAS（“Reficar”）与巴伊亚港液体码头之间的连接协议后继续保持增长势头。在圭亚那勘探业务方面，Frontera 及其合资伙伴 CGX Energy Inc.（“CGX”）在 Houlihan Lokey 的支持下，正在对战略选择进行审查，其中包括在宣布Corentyne 区块的第二个发现。最后，公司在 2023 年第四季度更新了正常发行人投标（“NCIB”）计划，并回购了约 741,700 股普通股以供注销，在 2023 年向股东返还 590 万美元。Frontera 最近宣布启动新的季度股息

和仍致力于提高股东回报。公司将根据我们业务的整体业绩和战略目标，继续考虑 2024 年及以后的股东价值提升举措，包括潜在的额外股息、分配或债券回购。” 首席执行官 (CEO

) Orlando Cabrales弗龙特拉评论道：
“Frontera 成功实现了 2023 年公司三大核心业务的战略、资本和生产目标：

通过我们的哥伦比亚和厄瓜多尔上游陆上业务，我们的日均产量达到 40,919 桶油当量/天，重质原油产量增加同比增长 9%，同时将我们的生产成本、运输成本和资本支出保持在指导范围内。

我们对持续生产和价值超过产量的承诺继续得到我们上游哥伦比亚和厄瓜多尔储量的支持，该储量年底分别为 1.087 亿和 1.641 亿1P 和 2P 总储备分别达到 30%，三年平均总储备替代率为 2P 储备 79%，1P 储备 104%，同时保持 1P 储备 7.3 年和 2P 11.0 年的储备寿命指数储备金，以及按 10% 折扣计算的税前 35 亿美元的重要 2P 净现值。

在我​​们独立且不断增长的基础设施业务中，我们全年调整后基础设施 EBITDA 约为 1.2 亿美元。ODL 每天运输超过 243,000 桶，全年 EBITDA 产生 2.85 亿美元，并向股东分配超过 1.35 亿美元。按照其 35% 的权益，该公司获得了 4700 万美元的资本分配，Frontera 的调整后基础设施 EBITDA 受益于与 ODL 的 EBITDA 相关的 1 亿美元。Puerto Bahia 产生了约 2000 万美元的经营 EBITDA，达成了一项连接协议，与 Reficar 开始了施工前活动，并成功为其现有的遗留项目融资债务进行了再融资，并具有增长空间。

正如 2023 年 12 月 11 日新闻稿中所宣布的那样，在我们具有潜在转型潜力的圭亚那勘探业务中，我们成功完成了双井计划的第二口井，我们认为该井中存在约 514-628 mmboe Pmean 无风险总预期资源量。位于 Corentyne 地块北部的马斯特里赫特地平线。

Frontera 致力于可持续发展，并实现了 2023 年 ESG 目标的 108%。我们于 12 月开始运营第一个名为“Ikotia”的太阳能发电场，我们预计这将减少电网的 CPE-6 电力消耗，并抵消该区块范围 1 排放的 50%。

现在转向 2024 年，我们仍然专注于执行最近宣布的 2024 年计划，并继续提供以价值为中心的可持续生产、强劲的运营和财务业绩，并推动股东回报。”第四季度和

全年运营和财务业绩
：公司 2023 年第四季度的净利润为 9200 万美元，即每股 1.04 美元，而上一季度的净利润为 3260 万美元，即每股 0.37 美元，2022 年第四季度的净利润为 1.978 亿美元，即每股 2.25 美元。截至2023年12月31日止年度，公司报告净利润为1.935亿美元，而截至2022年12月31日止年度净利润为2.866亿美元。2023年第四季度

平均产量为39,267桶油当量/天（包括23,002桶石油当量）重质原油/天、轻质和中质原油合计 13,795 桶/天、常规天然气 4,760 mcf/天和液化天然气 1,635 桶油当量/天），而上一季度为 40,802 桶油当量/天，上一季度为 41,806 桶油当量/天2022 年第四季度产量下降的原因是第四季度计划钻井和修井活动减少、自然产量下降以及 Quifa 注入井的计划外维护。2023年，Frontera的平均产量为40,919桶油当量/天（包括23,359桶/天的重质原油、14,856桶/天的轻质和中质原油、6,042 mcf/天的常规天然气和1,644桶/天的天然气）液体），在公司 2023 年 40,000-43,000 桶油当量/天的指导范围内。

2023 年第四季度的营业 EBITDA 为 1.21 亿美元，而上一季度为 1.378 亿美元，2022 年第四季度为 1.45 亿美元。营业 EBITDA 环比下降主要是由于大宗商品价格下降和销量下降。第四季度。2023 年，Frontera 布伦特原油加权平均价格为 81.88 美元/桶，产生 4.672 亿美元的 EBITDA。

2023 年第四季度经营活动提供的现金为 7340 万美元，上一季度为 1.540 亿美元，2022 年第四季度为 1.383 亿美元。环比下降主要是由于主要与收入相关的营运资本变化预扣税、商品价格和销售量下降。

截至2023年12月31日，公司现金头寸总额为1.90亿美元，而2023年9月30日为2.212亿美元，2022年12月31日为3.13亿美元。2023年，公司从运营中产生的现金为4.118亿美元，而2023年为6.205亿美元2022年，公司主要投资4.427亿美元用于资本支出，其中包括与Wei-1相关的1.537亿美元、与收购国际金融公司ODL权益相关的1270万美元、净偿债付款5690万美元和590万美元在股票回购中。

截至2023年12月31日，公司原油库存余额总额为1,076,394桶，而2023年9月30日为1,330,418桶。截至2023年12月31日，公司在哥伦比亚的库存余额总额为551,715桶，包括原油322,639桶，稀释剂及其他229,076桶。相比之下，截至2023年9月30日的数量为812,797桶，截至2022年12月31日的数量为683,416桶。库存余额的减少主要是由于出口销售提取的库存所致。第四季度厄瓜多尔和秘鲁的库存余额分别为44,479桶和480,200桶。

2023 年第四季度的资本支出约为 8230 万美元，而上一季度的资本支出为 7410 万美元，2022 年第四季度的资本支出为 1.342 亿美元。第四季度，公司在 Quifa SW、Cajua 和 CPE 钻探了 14 口开发井-6 个区块以及 1 口勘探井，位于厄瓜多尔 Perico 区块的 Perico Norte-A4。2023年全年，公司执行了约4.427亿美元的总资本支出，其中包括与Wei-1井相关的总资本支出1.573亿美元，在2023年420-4.75亿美元的资本指导范围内，而2022年为4.176亿美元。

公司 2023 年第四季度的净销售实现价格为 73.28 美元/桶油当量，而上一季度为 74.13 美元/桶油当量，2022 年第四季度为 75.24 美元/桶油当量。净销售实现价格环比下降主要是由于布伦特基准油价较上一季度下降，部分被特许权使用费下降所抵消。该公司2023年的净销售实现价格为69.15美元/桶油当量，而2022年为82.34美元/桶油当量。2023年第四

季度该公司的营业净收益为47.51美元/桶油当量，而上一季度为48.54美元/桶油当量，2022年第四季度为53.13美元/桶油当量。 2022 年第四季度。运营净回环比下降主要是由于净销售实现价格下降以及油井服务活动成本上升和能源成本上升导致生产成本上升。截至 2023 年 12 月 31 日止年度，公司的运营净收益为 44.69 美元/桶油当量，而 2022 年为 59.76 美元/桶油当量。扣除已

实现的外汇对冲影响后，生产成本（不包括能源成本）在 2023 年第四季度平均为 9.69 美元/桶油当量。 2023 年，上一季度为 8.82 美元/桶油当量，2022 年第四季度为 8.48 美元/桶油当量。环比增长是由于技术援助和维护成本增加，部分被油井服务活动相关成本降低所抵消。Frontera 的总生产成本（包括能源成本，扣除已实现的外汇对冲影响）在 2023 年平均为 13.25 美元/桶油当量，在公司 2023 年指导范围 12.50-13.50 美元/桶油当量内。

2023 年第四季度运输成本平均为 11.02 美元/桶油当量，上一季度为 11.73 美元/桶油当量，高于 2022 年第四季度的 10.55 美元/桶油当量。该季度的下降主要是由于当地销量的增加到热力市场。2023 年，Frontera 的平均运输成本为 11.21 美元/桶油当量，处于公司 2023 年指导范围 10.50-11.50 美元/桶油当量内。

2023 年第四季度 ODL 运输总量为 252,810 桶/天，比 2022 年第四季度增长 13%。2023 年通过 ODL 运输的总量为 243,617 桶，年内获得了 4700 万美元的资本分配。

第四季度巴伊亚港液体产量为 52,754 桶/天，较 2022 年第三季度下降 21%，主要是由于进口原油量减少，2023 年全年液体产量为 60,718 桶/天，而 2022 年为 62,422 桶/天巴伊亚港第四季度液体收入为 760 万美元，较 2022 年第四季度增长 12%，主要是由于关税上涨。2023 年全年，巴伊亚港液体收入为 3210 万美元，而 2022 年为 2960 万美元，这主要是由于关税上涨。

2023 年第四季度调整后基础设施 EBITDA 为 3070 万美元，而 2022 年第四季度为 2660 万美元，2023 年全年为 1.198 亿美元。在公司令人兴奋的

圭亚那勘探业务中，发现了 228 英尺的净收益Kawa-1 和北 Corentyne 的 Wei-1 的 114 英尺净产水量已得到确认。结果进一步证明了 Corentyne 区块独立浅层石油资源开发的潜力。

在成功实施多项成本节约举措后，Wei-1 井的相关总成本目前估计为 1.89 亿美元。Frontera 在 Corentyne 区块的直接和间接 WI 估计分别高达 72.52% 和 93.42%。

2023年第四季度，公司以约170万美元的成本回购并注销了280,500股普通股。

2023 年末储量评估
Frontera 公布了截至 2023 年 12 月 31 日的年度独立储量评估结果，该评估由 DeGolyer 和 MacNaughton Corp（“D&M”）根据加拿大石油和石油评估工程师协会（卡尔加里分会）维护的天然气评估手册（“COGE 手册”）、National Instrument 51-101 - 石油和天然气活动披露标准（“NI 51-101”）和 CSA 员工通知 51 -324，基于储量报告（定义如下）。截至2023年12月31日止年度，公司的所有预订储备均位于哥伦比亚和厄瓜多尔。

主要亮点：
2P 总储量增加 4.2 MMboe，公司 2P 总储量总计 164.1 MMboe，其中包括 64% 重质原油、24% 轻质和中质原油、8% 常规天然气和 4% 液化天然气。 2022年12月31日为174.8MMboe。2023年末总探明已开发生产储量增加

2%至40.0MMboe，探明已开发生产储量替代率为105%。

三年平均总 PDP、1P 和 2P 储备替代率分别为 129%、104% 和 79%。

交付的 1P 总储备寿命指数为 7.3 年，而 2022 年 12 月 31 日为 7.4 年；2P 储备寿命指数为 11.0 年，而 2022 年 12 月 31 日为 11.6 年。

截至 2023 年 12 月 31 日，公司 2P 储备金的净现值（按税前 10% 贴现）为 35 亿美元（21.60 美元/2P 桶油当量），而截至 2022 年 12 月 31 日为 37 亿美元（21.24 美元/2P 桶油当量）。 NPV10 下降2P 储量的下降主要是由于用于计算 NPV10 的预测油价下降，但在运营效率和未来开发成本降低的推动下，每桶油当量的 NPV10 增加了 2%。

截至2023年12月31日，2P储备的未来开发成本减少了3亿美元，至12亿美元，而2022年12月31日为15亿美元。这一减少主要是由于公司专注于持续生产、价值超过产量和优化开发计划。

Frontera 的可持续发展战略
Frontera 已实现 2023 年可持续发展目标的 108%，于 12 月开始运营其第一个太阳能发电场 (Ikotia)，这将在 2024 年减少 CPE6 发电近 8,000 TCO2e，并抵消其 1 类排放的 50%。该公司还在卡萨纳雷和梅塔（哥伦比亚）的主要连通走廊累计完成了 5,737 公顷的保护和恢复，并回收了 45% 的运营水和 12% 的固体废物。Frontera 向哥伦比亚国家公园协会移交了 1,000 公顷的土地，这为宣布马纳卡科球场为梅塔国家公园做出了贡献，这是该国的一个重要环境里程碑。

该公司在教育方面投资了约 550 万美元，包括经济发展和生活质量举措，通过哥伦比亚、厄瓜多尔和圭亚那的 256 个社会项目使 94,875 人受益。Frontera 从附近运营区域的当地供应商购买了价值 7330 万美元的商品和服务。2023 年，Frontera 被纳入彭博性别平等指数（“GEI”），并连续第四年被道德村协会评为全球最具道德的公司之一。

提高股东回报
自 2018 年以来，Frontera 通过股息和股票回购向股东回报超过 3.06 亿美元，同时保持强劲的资产负债表。

NCIB：根据公司目前于 2023 年 11 月 21 日生效的 NCIB，Frontera 有权回购并注销最多 3,949,454 股公司普通股（“普通股”）。截至 2024 年 3 月 7 日，公司已回购约 624,600 股普通股并注销，金额约为 370 万美元。

股息：根据 Frontera 的股息政策，Frontera 董事会已宣布将于 2024 年 4 月 16 日或前后向 2024 年 4 月 2 日营业结束时在册的股东支付每股普通股 0.0625 加元的股息。根据《所得税法》（加拿大），向股东支付的款项被指定为“合格股息”。该股息符合公司的股息再投资计划，为居住在加拿大的 Frontera 股东提供将其普通股宣派的现金股息自动再投资回额外普通股的选择，而无需支付经纪佣金或服务费。

Frontera 的三大核心业务
Frontera 的三大核心业务包括：(1) 哥伦比亚和厄瓜多尔上游陆上业务，(2) 独立且不断增长的哥伦比亚基础设施业务，以及 (3) 具有潜在转型潜力的圭亚那近海勘探业务。 1. 哥伦比亚和厄瓜多尔哥伦比亚

上游 陆上 2023年第四季度，Frontera在哥伦比亚的业务产量为37,814桶油当量/天（包括23,002桶/天重质原油、12,342桶/天轻质和中质原油、4,760 mcf） /d 常规天然气和 1,635 boe/d 液化天然气）。 2023年第四季度，该公司在其Quifa区块钻探了13口开发井，并在其他11个区块钻探了CPE-6区块井服务。 截至2023年12月31日的年度，Frontera在其Quifa、CPE-6、Cajua和Cubiro区块钻探了65口开发井（包括两口注入井），并在其他73口完成了油井干预。由于钻井作业效率和井类型的提高，公司在 2023 年降低了每口井的成本。 目前，该公司在哥伦比亚的 Quifa 和 CPE-6 区块拥有 4 台活跃钻机。 Quifa 区块：Quifa SW 和 Cajua 在 Quifa，2023 年第四季度重质原油平均产量约为 16,452 桶/天（包括 Quifa 和 Cajua）。2023年第四季度，该公司在该区块钻探了8口井。该公司还在Quifa区块投资了新的生产线，以整合SAARA项目。该公司目前 Quifa 的水处理能力约为 150 万桶/日。













2023 年第四季度，Frontera 继续为其反渗透水处理设施 SAARA 进行重新调试工作。截至 2023 年底，作为重新调试计划的一部分，该工厂已处理了 2060 万桶水，为公司附近的 ProAgrollanos 棕榈油种植园提供灌溉水源。2024年，Frontera与Ecopetrol成功完成了SAARA项目的试点阶段。该公司打算投资该项目第一阶段（即稳定阶段）的调试，以达到 Quifa 区块每天至少提供 250,000 桶水，具体取决于合资公司的最终批准。

CPE-6
在 CPE-6 中，2023 年第四季度重质原油平均产量约为 6,162 桶/天，比 2022 年底的 5,214 桶/天增加 18%。公司钻探了 5 口开发井。此外，公司还在 CPE-6 区块投资了新的流水管线以及扩建和改进的开发设施，使水处理能力翻了一番，从 120,000 桶/天增至 240,000 桶/天。

哥伦比亚其他动态
在 Guatiquia，2023 年第四季度轻质和中质原油平均产量为 6,206 桶/天，而 2023 年第三季度为 6,763 桶/天。Cubiro 区块轻质和中质原油平均产量为 1,535 桶/

天2023 年第四季度石油产量为 1,729 桶/天，2023 年第三季度为

1,729 桶/天。在 VIM-1（Frontera 50% WI，非运营商），第四季度轻质和中质原油平均产量为 1,775 桶油当量/天相比之下，2023 年第三季度轻质和中质原油产量约为 1,798 桶油当量/天。

哥伦比亚勘探资产
该公司的勘探重点仍然是哥伦比亚的马格达莱纳河谷下游和亚诺斯盆地。2023 年第四季度，公司处理了 Llanos 99 区块 163 平方公里的 3D 地震数据，证实了先前通过 2D 勘测（L​​LA99 West）确定的勘探机会之一，并在该区块的东北部发现了多个较小的圈闭。 3D 调查。

此外，2023年，公司获得Agencia Nacional de Hidrocarburos（“ANH”）的批准，经双方同意终止CR-1和COR-24合同，这减少了1110万美元的探索承诺。

厄瓜多尔
厄瓜多尔 2023 年第四季度轻质和中质原油平均总产量约为 1,453 桶/天。截至2023年12月31日的三个月，Frontera在厄瓜多尔的中质原油产量份额为1,453桶/天，而上一季度为652桶/天。

在 Perico 区块（Frontera 50% WI 和作业者），公司于 2023 年 10 月 8 日开钻了 Perico Norte-4 井，并于 2023 年 10 月 23 日达到 MD 总深度 11,433 英尺。岩石物理解释确定了 49 英尺的井深。下U沙的净工资。该井每天生产 1,000 桶 API 29.4 的中质原油，含 0.3% BSW。

Perico Centro-1 井（原 Jandiayacu-1）于 2023 年 8 月 22 日开钻，于 2023 年 9 月 11 日达到 MD 总深度 11,198 英尺，并在三个层段发现石油 该井已完成，初步测试产生了平均值生产 800 桶/天含 1% BSW 的 28 API 中质原油。

Perico Norte A-3（以前称为 Yin-2）评价井于 7 月钻探，在 Lower U 砂层中发现了 48 英尺的净产层，在 Hollin 主地层中发现了 24 英尺的净产层。

Frontera 目前正在进行长期测试并准备环境影响评估，以便获得 Perico Norte-1（以前称为 Jandaya-1）、Perico Sur B-1（以前称为 Tui-1）和 Perico Norte A 的生产环境许可证-2（原Yin-1）探井。该公司已经完成了 Perico 区块勘探承诺所需的四口井。

在 Espejo 区块（Frontera 50% WI 和非作业者），该公司预计将钻探两口勘探井，目标是 Lower U Ss 和 M1 Ss。

Frontera预计到2024年投资35至4500万美元，用于其核心上游哥伦比亚和厄瓜多尔业务的各种勘探活动，包括钻探VIM-1区块的高影响Hydra-1井和Espejo区块的两口井。公司主要勘探活动的亮点包括：

VIM-1 区块（Frontera 50% 非作业者）：公司预计于 2024 年中期开钻高影响力的 Hydra-1 勘探井。Hydra-1 井将使用新的地震处理技术进行钻探，目标是天然气和凝析油。
Espejo区块（Frontera 50%未运营）：公司将钻探两口探井，这些探井已在附近地区成功测试。
LLA119区块（Frontera 100%）：公司计划完成80平方公里的3D地震数据，完成预钻活动并开始土建工程。
LLA99和VIM46区块（Frontera 100%）：公司打算在3D地震采集之前完成震前和预钻活动。

2. 哥伦比亚基础设施（原“哥伦比亚中游”）
Frontera 对某些重要基础设施和中游资产进行了投资，寻求获得稳定和长期的收入流，包括哥伦比亚的仓储、港口和其他设施，以及该公司对某些管道的投资，这些管道构成了其独立且不断增长的哥伦比亚基础设施业务。Frontera 的哥伦比亚基础设施部门包括该公司通过 Frontera 的全资子公司 PIL 在 ODL 管道中持有的 35% 股权以及该公司在 Puerto Bahia 的 99.97% 股权。

哥伦比亚基础设施部门业绩
与 2022 年同期相比，截至 2023 年 12 月 31 日止三个月和一年，公司基础设施哥伦比亚部门收入分别增加 200 万美元和 1,500 万美元，主要是由于来自联营公司的收入份额增加由于 Cano Sur 和 Rubiales 区块的原油产量增加，ODL 分别增加了 270 万美元和 1,440 万美元。截至 2023 年 12 月 31 日的三个月，巴伊亚港收入与 2022 年同期相比减少了 130 万美元，主要是由于普通货物销售量减少。截至 2023 年 12 月 31 日的年度，巴伊亚港收入与 2022 年同期相比增加了 140 万美元。这一增长主要是由于液体码头收入增加了 250 万美元，以及普通货运码头收入减少了 120 万美元。减少处理的货物量。

截至 2023 年 12 月 31 日止三个月，哥伦比亚基础设施部门经营活动提供的现金为 760 万美元，而 2022 年同期为 1,280 万美元。减少的主要原因是第四季度没有派发股息。 2023年，同时在2022年第四季度支付股息。截至2023年12月31日止年度，基础设施哥伦比亚部门经营活动提供的现金为5,450万美元，而2022年同期为4,690万美元，主要是营运资金波动所致。

Puerto Bahia 和 Reficar 连接更新
Frontera 预计连接施工将于 2024 年第一季度破土动工，并于 2024 年底启动连接。根据某些先决条件，Frontera 已获得额外 3000 万美元的承诺资金该项目由麦格理集团领导的现有贷款机构提供。

3. 圭亚那探索
正如 2023 年 12 月 11 日新闻稿中披露的，该公司宣布其与 CGX 的合资企业在圭亚那近海 Corentyne 区块发现了约 514 至 628 mmboe Pmean 无风险总预期资源。合资公司认为，Wei-1 井马斯特里赫特层位发现的岩石质量与 Stabroek 区块 Liza Discovery 报告的岩石质量类似。该合资公司相信，他们已经发现了足够的资源来支持马斯特里赫特地平线潜在的独立商业石油开发，并在更深的坎帕尼亚和桑托尼亚地平线中提供额外的潜在上行空间。

2023 年 11 月 9 日，Frontera 宣布，在 Houlihan Lokey 的支持下，它正在积极寻求其在圭亚那 Corentyne 区块权益的可能农场，该区块的数据室已经开放，管理演示正在进行中。无法保证战略审查流程一定会促成交易。

对冲更新
作为其风险管理策略的一部分，Frontera 使用衍生商品工具通过对冲部分石油产量来管理价格波动风险。该公司的战略旨在使用上限和无上限工具组合来保护特许权使用费产生后估计净额的 40-60%，以保护公司的收入产生和现金状况，同时最大化上行空间，从而允许公司采取更加动态的方法来管理其对冲投资组合。根据这一策略，公司进入了总计 2,574,826 桶的新看跌对冲，以保护公司到 2024 年 6 月的部分产量。下表总结了 Frontera 截至 2024 年 3 月 7 日的 2024 年对冲头寸。

公司主要面临外汇波动风险因 COP 产生的支出及其兑美元的波动而产生。截至2024年3月7日，公司新增外币衍生品合约持仓如下：

Recorded Full Year Net Income of $193.5 Million, Including $92.0 Million in Q4'23
Delivered Full Year Average Daily Production of 40,919 Boe/d
Generated Full Year Operating EBITDA of $467.2 Million
Generated Full Year Adjusted Infrastructure EBITDA of $119.8 Million and Segment Income of $69.3 Million
Declared Quarterly Dividend of C$0.0625 Per Share, Or $3.9 Million in Aggregate, Payable on or around April 16, 2024
Recorded 164.1 Million Boe 2P Gross Reserves and 108.7 Million 1P Gross Reserves
$3.5 Billion 2P Net Present Value Before Tax Discounted At 10% As At December 31, 2023
7.3 Year 1P and 11.0 Year 2P Gross Reserves Life Index
514-628 Mmboe PMean Unrisked Gross Prospective Resources Estimated in Maastrichtian Horizons in the Northern Portion of the Corentyne Block
Commissioned First Solar Farm, Offset 50% of Emissions Through Carbon Credits, and Preserved and Restored 1,681 New Hectares in Casanare and Meta, Colombia

Frontera Energy Corporation ("Frontera" or the "Company") reported financial and operational results for the fourth quarter and year ended December 31, 2023, and announced the results of its annual independent reserves assessment conducted by DeGolyer and MacNaughton Corp ("D&M"). All financial amounts in this news release and the Company's financial disclosures are in United States dollars, unless otherwise stated. All of the Company's booked reserves for the year ended December 31, 2023, are located in Colombia and Ecuador.

Gabriel de Alba, Chairman of the Board of Directors, commented:
"During 2023, Frontera continued to take concrete steps to deliver significant value to shareholders. The Company delivered EBITDA of $467MM, at the higher end of guidance for 2023, closing the year with a strong balance sheet including $190 million cash position, and having a fully funded plan for 2024.

Our significant Infrastructure business generated Adjusted Infrastructure EBITDA of approximately $120 million and keeps building momentum following the announcement of the connection agreement between Refineria de Cartagena S.A.S ("Reficar") and Puerto Bahia's liquids terminal. On its Guyana exploration business, Frontera, and its JV partner CGX Energy Inc. ("CGX") with support from Houlihan Lokey, is pursuing a review of strategic options, including a farm down of its interest in Offshore Guyana, following the announcement of a second discovery in the Corentyne block. Lastly, the Company during the 4th quarter of 2023 renewed its normal course issuer bid ("NCIB") program and repurchased approximately 741,700 Common Shares for cancellation, returning $5.9 million to shareholders in 2023.

Frontera recently announced the initiation of a new quarterly dividend and remains committed to enhancing shareholder returns. The Company will continue to consider future shareholder value enhancement initiatives in 2024 and beyond, including potential additional dividends, distributions, or bond buybacks, based on the overall results of our businesses and strategic goals."

Orlando Cabrales, Chief Executive Officer (CEO), Frontera, commented:
"Frontera successfully achieved its strategic, capital and production targets across the Company's three core businesses in 2023:

Through our Colombia and Ecuador Upstream onshore business, we delivered average daily production of 40,919 boe/d, with an increase to our heavy crude oil production of 9% year over year, while maintaining our production costs, transportation costs and capital expenditures within guidance.

Our commitment to sustained production and value over volumes continues to be supported by our upstream Colombia and Ecuador reserves which closed the year with 108.7 million and 164.1 million boe in 1P and 2P gross reserves, respectively. Achieved a three-year average gross Reserves Replacement Ratio of 79% for 2P Reserves and 104% for 1P reserves, while maintaining a Reserve Life index of 7.3 Years for 1P reserves and 11.0 Years for 2P reserves, and a significant 2P net present value of $3.5 billion before tax discounted at 10%.

In our standalone and growing infrastructure business, we generated full year Adjusted Infrastructure EBITDA of approximately $120 million. ODL transported over 243,000 bbl/day, generated $285 million in full year EBITDA and distributed over $135 million to its shareholders. Proportional to its 35% interest, the Company received $47 million in capital distributions and Frontera's Adjusted Infrastructure EBITDA benefited from $100 million associated with ODL's EBITDA. Puerto Bahia generated approximately $20 million in operating EBITDA, reached a connection agreement, started pre-construction activities with Reficar, and successfully refinanced its existing legacy project finance debt with room to grow.

In our potentially transformational Guyana exploration business, as announced in the December 11th, 2023 news release, we successfully completed the second well of our two-well program, where we believe that approximately 514-628 mmboe PMean unrisked gross prospective resources are present in multiple Maastrichtian horizons in the northern portion of the Corentyne block.

Frontera is committed to sustainability and achieved 108% of its 2023 ESG goals. We started the operation of our first solar farm named "Ikotia" in December which we expect will reduce CPE-6 power consumption from the grid and offset 50% of the block's scope 1 emissions.

As we turn now to 2024, we remain focused on executing our recently announced 2024 plan and continuing to deliver sustainable value-focused production, strong operational and financial results, and driving shareholder returns."

Fourth Quarter and Full Year Operational and Financial Results:
The Company recorded net income of $92.0 million or $1.04/share in the fourth quarter of 2023, compared with net income of $32.6 million or $0.37/share in the prior quarter and net income of $197.8 million or $2.25/share in the fourth quarter of 2022. For the year ended December 31, 2023, the Company reported net income of $193.5 million, compared to net income of $286.6 million for the year ended December 31, 2022.

Production averaged 39,267 boe/d in the fourth quarter 2023 (consisting of 23,002 bbl/d of heavy crude oil, 13,795 bbl/d of light and medium crude oil combined, 4,760 mcf/d of conventional natural gas and 1,635 boe/d of natural gas liquids) compared to 40,802 boe/d in the prior quarter and 41,806 boe/d in the fourth quarter of 2022, lower production during the quarter was a result of lower planned drilling and workover activity in the fourth quarter, natural decline, and unplanned maintenance on an injector well in Quifa. In 2023, Frontera's production averaged 40,919 boe/d (consisting of 23,359 bbl/d of heavy crude oil, 14,856 bbl/d of light and medium crude oil combined, 6,042 mcf/d of conventional natural gas and 1,644 boe/d of natural gas liquids), within the Company's 2023 guidance of 40,000-43,000 boe/d.

Operating EBITDA was $121.0 million in the fourth quarter of 2023 compared with $137.8 million in the prior quarter and $145.0 million in the fourth quarter of 2022. The decrease in operating EBITDA quarter over quarter was primarily a result of lower commodity prices and lower volumes sold in the fourth quarter. Frontera's weighted average Brent price was $81.88/bbl in 2023, generating $467.2 million of EBITDA.

Cash provided by operating activities in the fourth quarter of 2023 was $73.4 million, compared with $154.0 million in the prior quarter and $138.3 million in the fourth quarter of 2022. The decrease quarter over quarter was primarily due to changes in working capital mainly related to income taxes withheld, lower commodity prices and volumes sold.

The Company reported a total cash position of $190.0 million at December 31, 2023, compared to $221.2 million at September 30, 2023 and $313.0 million at December 31, 2022. The Company generated $411.8 million of cash from operations in 2023, compared to $620.5 million in 2022. During the year, the Company primarily invested $442.7 million in capital expenditures, including $153.7 million related to the Wei-1, $12.7 million related to the acquisition of the IFC interest on ODL, $56.9 million in net debt service payments and $5.9 million in share buyback.

As at December 31, 2023, the Company had a total crude oil inventory balance of 1,076,394 bbls compared to 1,330,418 bbls at September 30, 2023. As of December 31, 2023, the Company had a total inventory balance in Colombia of 551,715 barrels, including 322,639 crude oil barrels and 229,076 barrels of diluent and others. This compared to 812,797 as of September 30, 2023, and 683,416 barrels as at December 31, 2022. The decrease in inventory balance was primarily due to inventory drawn for export sales. Inventory balances in the fourth quarter related to Ecuador and Peru were 44,479 barrels and 480,200 barrels, respectively.

Capital expenditures were approximately $82.3 million in the fourth quarter of 2023, compared with $74.1 million in the prior quarter and $134.2 million in the fourth quarter of 2022. During the fourth quarter, the Company drilled 14 development wells at its Quifa SW, Cajua and CPE-6 blocks as well as one exploration well, Perico Norte-A4 on the Perico block in Ecuador. For the full year 2023, the Company executed approximately $442.7 million in total capital spending, including $157.3 million in total capital spending related to the Wei-1 well, within its 2023 capital guidance of $420-475 million and compared to $417.6 million in 2022.

The Company's net sales realized price was $73.28/boe in the fourth quarter of 2023, compared to $74.13/boe in the prior quarter and $75.24/boe in the fourth quarter of 2022. The decrease in net sales realized price quarter-over-quarter was primarily driven by the decrease in Brent benchmark oil price compared with the previous quarter, partially offset by lower royalties. The Company's net sales realized price in 2023 was $69.15/boe, compared to $82.34/boe in 2022.

The Company's operating netback was $47.51/boe in the fourth quarter of 2023, compared with $48.54/boe in the prior quarter and $53.13/boe in the fourth quarter of 2022. The decrease in operating netback quarter-over-quarter was primarily due to a lower net sales realized price and, higher production costs, resulting from higher well services activity costs and higher energy costs. The Company's operating netback for the year ended December 31, 2023, was $44.69/boe, compared to $59.76/boe in 2022.

Production costs (excluding energy cost), net of realized FX hedge impact, averaged $9.69/boe in the fourth quarter of 2023, compared with $8.82/boe in the prior quarter and $8.48/boe in the fourth quarter of 2022. The increase quarter over quarter was due to higher technical assistance and maintenance costs, partially offset by lower cost associated to well services activities. Frontera's total production costs, including energy cost, net of realized FX hedge impact, averaged $13.25/boe in 2023, within the Company's 2023 guidance range of $12.50-$13.50/boe.

Transportation costs averaged $11.02/boe in the fourth quarter of 2023, compared with $11.73/boe in the prior quarter and up from $10.55/boe in the fourth quarter of 2022. The decrease during the quarter was mainly due to an increase in local sales volumes to the thermal market. Frontera's transportation costs averaged $11.21/boe in 2023, within the Company's 2023 guidance range of $10.50-$11.50/boe.

Total ODL volumes transported were 252,810 bbl/d during the fourth quarter of 2023, up 13% versus the fourth quarter of 2022. Total volumes transported through ODL for 2023 were 243,617 and received capital distributions of $47 million during the year.

Puerto Bahia liquids volumes were 52,754 bbl/d during the fourth quarter down 21% compared to the third quarter of 2022, driven mainly by lower imported crude volumes, and 60,718 bbl/d for the full year 2023 compared to 62,422 bbl/d in 2022. Puerto Bahia liquids revenues were $7.6 million during the fourth quarter, up 12% compared to the fourth quarter of 2022, mainly due to higher tariffs. For the full year 2023, Puerto Bahia liquids revenues were $32.1 million compared to $29.6 million in 2022, mainly due to higher tariffs.

Adjusted Infrastructure EBITDA in the fourth quarter of 2023 was $30.7 million, compared with $26.6 million in the fourth quarter of 2022, and $119.8 million for the full year 2023.

In the Company's exciting Guyana Exploration business, the discovery of 228 feet of net pay in Kawa-1 and 114 feet of net pay in Wei-1, on North Corentyne was confirmed. Results further demonstrate the potential for a standalone shallow oil resource development across the Corentyne block.

Total costs associated for the Wei-1 well are now estimated to be $189 million following the successful implementation of several cost saving initiatives. Frontera's direct and indirect WI in the Corentyne block is estimated at up to 72.52% and 93.42%, respectively.

During the fourth quarter of 2023, the Company repurchased for cancellation 280,500 Common Shares at a cost of approximately $1.7 million.

2023 Year End Reserves Evaluation
Frontera announced the results of its annual independent reserves assessment for the year ended December 31, 2023, conducted by DeGolyer and MacNaughton Corp ("D&M") in accordance with the definitions, standards and procedures contained in the Canadian Oil and Gas Evaluation Handbook maintained by the Society of Petroleum Evaluation Engineers (Calgary Chapter) (the "COGE Handbook"), National Instrument 51-101 - Standards of Disclosure for Oil and Gas Activities ("NI 51-101") and CSA Staff Notice 51-324, and are based on the Reserves Report (as defined below). All of the Company's booked reserves for the year ended December 31, 2023, are located in Colombia and Ecuador.

Key Highlights:
Added 4.2 MMboe of 2P gross reserves, for total Company 2P gross reserves of 164.1 MMboe consisting of 64% heavy crude oil, 24% light and medium crude oil, 8% conventional natural gas and 4% natural gas liquids, compared to 174.8 MMboe at December 31, 2022.

2023 year-end gross proved developed producing reserves increased by 2% to 40.0 MMboe and the proved developed producing reserves replacement ratio was 105%.

Delivered three-year average gross PDP, 1P and 2P Reserves Replacement Ratio of 129%, 104% and 79%, respectively.

Delivered a 1P gross reserves life index of 7.3 years compared to 7.4 years at December 31, 2022, and a 2P reserves life index of 11.0 years compared to 11.6 years at December 31, 2022.

The NPV of the Company's 2P reserves, discounted at 10% before tax, is $3.5 billion ($21.60/2P boe) at December 31, 2023, compared to $3.7 billion ($21.24/2P boe) at December 31, 2022. The decrease in NPV10 for the 2P reserves is primarily due to a decrease in the forecast oil price used to calculate the NPV10, however the NPV10 per boe increased by 2% driven by operational efficiencies and reduced future development costs.

Reduced the future development cost for 2P reserves by $300 million to $1.2 billion at December 31, 2023, compared to $1.5 billion at December 31, 2022. The reduction is primarily due to the Company's focus on sustained production, value over volumes and an optimized development plan.

Frontera's Sustainability Strategy
Frontera achieved 108% of its 2023 Sustainability Goals, started the operation of its first solar farm (Ikotia) in December that will reduce almost 8,000 TCO2e from the power generation in CPE6 in 2024 and offset 50% of its scope 1 emissions. The Company also completed 5,737 cumulative hectares preserved and restored in key connectivity corridors in Casanare and Meta (Colombia) and recycled 45% of its operating water and 12% of its solid waste. Frontera handed over 1,000 hectares to the National Parks Association in Colombia, which contributed to the declaration of the Serranía de Manacacías as a National Park in Meta, a major environmental milestone for the country.

The Company invested approximately?$5.5 million?in education, including economic development, and quality of life initiatives, benefiting 94,875 people through 256 social projects in?Colombia, Ecuador and Guyana. Frontera purchased $73.3 million worth of goods and services from local suppliers in nearby operation areas. In 2023 Frontera was included in the Bloomberg Gender-Equality Index ("GEI") and was recognized for the fourth consecutive year as one the most ethical companies in the world by the Ethisphere Institute.

Enhancing Shareholder Returns
Since 2018, Frontera has returned more than $306 million to shareholders through dividends and share buybacks while maintaining a strong balance sheet.

NCIB: Under the Company's current NCIB which commenced on November 21, 2023, Frontera is authorized to repurchase for cancellation up to 3,949,454 of the Company's common shares ("Common Shares"). As of March 7, 2024, the Company has repurchased approximately 624,600 Common Shares for cancellation for approximately $3.7 million.

Dividend: Pursuant to Frontera's dividend policy, Frontera's Board of Directors has declared a dividend of C$0.0625 per Common Share to be paid on or around April 16, 2024, to shareholders of record at the close of business on April 2, 2024. This dividend payment to shareholders is designated as an "eligible dividend" for purposes of the Income Tax Act (Canada). This dividend is eligible for the Company's Dividend Reinvestment Plan to provide shareholders of Frontera who are resident in Canada with the option to have the cash dividends declared on their Common Shares reinvested automatically back into additional Common Shares, without the payment of brokerage commissions or services charges.

Frontera's Three Core Businesses
Frontera's three core businesses include: (1) its Colombia and Ecuador Upstream Onshore business, (2) its standalone and growing Colombian Infrastructure business, and (3) its potentially transformational Guyana Exploration business offshore Guyana.

1. Colombia and Ecuador Upstream Onshore

Colombia
During the fourth quarter of 2023, Frontera produced 37,814 boe/d from its Colombian operations (consisting of 23,002 bbl/d of heavy crude oil, 12,342 bbl/d of light and medium crude oil, 4,760 mcf/d of conventional natural gas and 1,635 boe/d of natural gas liquids).

In the fourth quarter of 2023, the Company drilled 13 development wells at its Quifa and CPE-6 blocks well services at 11 others.

For the year ended December 31, 2023, Frontera drilled 65 development wells (including two injector wells) at its Quifa, CPE-6, Cajua and Cubiro blocks and completed well interventions at 73 others. The Company reduced its cost per well in 2023, due to drilling campaign efficiencies and well types.

Currently, the Company has 4 drilling rigs active at its Quifa and CPE-6 blocks in Colombia.

Quifa Block: Quifa SW and Cajua
At Quifa, fourth quarter 2023 production averaged approximately 16,452 bbl/d of heavy crude oil (including both Quifa and Cajua). The Company drilled 8 wells on the block in the fourth quarter of 2023. The Company also invested in new flow lines in the Quifa block to integrate the SAARA project. The Company's current water handling capacity in Quifa is approximately 1.5 million bwpd.

During the fourth quarter 2023, Frontera continued with its recommissioning efforts supporting SAARA, its reverse osmosis water treatment facility. As of year-end 2023, the plant had processed 20.6 million barrels of water as part of its recommissioning program, providing irrigation source water to the Company's nearby ProAgrollanos palm oil plantation. In 2024, Frontera successfully completed the pilot phase of the SAARA project with Ecopetrol. The Company intends to invest in the commissioning of the first phase of the project, the stabilization phase, to reach a minimum of 250,000 barrels of water per day available for the Quifa block, subject to final JV approval.

CPE-6
At CPE-6, fourth quarter 2023 production averaged approximately 6,162 bbl/d of heavy crude oil, increasing 18% from 5,214 bbl/d at year end 2022. The Company drilled 5 development wells. Additionally, the Company invested in new flow lines and in the expansion and improvement of the development facilities in CPE-6 block, which doubled the water-handling capacity from 120,000 to 240,000 bwpd.

Other Colombia Developments
At Guatiquia, production during the fourth quarter 2023 averaged 6,206 bbl/d of light and medium crude compared with 6,763 bbl/d in the third quarter of 2023.

In the Cubiro Block production averaged 1,535 bbl/d of light and medium crude oil in the fourth quarter of 2023 compared with 1,729 bbl/d in the third quarter 2023.

At VIM-1 (Frontera 50% W.I., non-operator), production averaged 1,775 boe/d of light and medium crude oil in the fourth quarter of 2023 compared to approximately 1,798 boe/d of light and medium crude oil in the third quarter of 2023.

Colombia Exploration Assets
The Company's exploration focus remains on the Lower Magdalena Valley and Llanos Basins in Colombia. During the fourth quarter of 2023, the Company processed 163 square kilometers of 3D seismic, from the Llanos 99 block, confirming one of the exploratory opportunities previously identified by a 2D survey (LLA99 West), and identified multiple smaller traps to the NE of the 3D survey.

Additionally, during the year 2023, the Company received approval from the Agencia Nacional de Hidrocarburos ("ANH") to terminate by mutual agreement the CR-1 and COR-24 contracts, which reduced exploratory commitments by $11.1 million.

Ecuador
In Ecuador, fourth quarter 2023 gross production averaged approximately 1,453 bbl/d of light & medium crude oil. Frontera's share of production in Ecuador for the three months ended December 31, 2023, was 1,453 bbl/d of medium crude oil compared to 652 bbl/d in the prior quarter.

In the Perico Block, (Frontera 50% W.I. and operator), the Company spudded the Perico Norte-4 well on October 8, 2023, and reached a total depth of 11,433 ft MD on October 23, 2023. Petrophysical interpretation identified 49 ft of net pay in the lower U Sand. The well produced 1,000 bbl/d of 29.4 API, medium crude oil with 0.3% BSW.

The Perico Centro-1 well (formerly Jandiayacu-1) was spud on August 22, 2023, reaching total depth of 11,198 ft MD on September 11, 2023, and finding oil in three intervals The well was completed, and an initial test produced average production of 800 bbl/d of 28 API medium crude oil with 1% BSW.

The Perico Norte A-3 (formerly Yin-2) appraisal well was drilled in July, discovering 48 feet of net pay in the Lower U sand and 24 feet net pay in the Hollin main formation.

Frontera is currently conducting long-term testing and preparing the environmental impact assessments in order to obtain a production environmental license at the Perico Norte-1 (formerly Jandaya-1), Perico Sur B-1 (formerly Tui-1) and Perico Norte A-2 (formerly Yin-1) exploration wells. The Company has completed the four wells required as part of its exploration commitment on the Perico block.

At the Espejo block (Frontera 50% W.I. and non-operator), the Company expects to drill two exploration wells, targeting the Lower U Ss and M1 Ss.

In 2024, Frontera anticipates investing $35 – $45 million on various exploration activities in its core upstream Colombia and Ecuador business including drilling the high impact Hydra-1 well in the VIM-1 block and two wells in the Espejo block. Highlights of the Company's key exploratory activities include:

VIM-1 block (Frontera 50% non-operator): the Company anticipates spudding the high-impact Hydra-1 exploration well mid-2024. The Hydra-1 well will be drilling using new seismic processing technology and will target gas and condensate.
Espejo Block (Frontera 50% non-operated): the Company will drill two exploratory wells which target plays successfully tested in nearby areas.
LLA119 block (Frontera 100%): the Company plans to complete 80 sqkm of 3D seismic data, complete pre-drilling activities and commence civil works.
LLA99 and VIM46 block (Frontera 100%): the Company intends to complete pre-seismic and pre-drilling activities ahead of 3D seismic acquisition.

2. Infrastructure Colombia (formerly "Midstream Colombia")
Frontera has investments in certain significant infrastructure and midstream assets seeking to capture stable and long-term revenue streams, including storage, port, and other facilities in Colombia as well as the Company's investments in certain pipelines which comprise its standalone and growing Colombia Infrastructure business. Frontera's Infrastructure Colombia Segment includes the Company's 35% equity interest in the ODL pipeline through Frontera's wholly owned subsidiary, PIL and the Company's 99.97% interest in Puerto Bahia.

Infrastructure Colombia Segment Results
The Company's Infrastructure Colombia Segment income increased by $2.0 million and $15.0 million for the three months and year ended December 31, 2023, respectively, compared with the same periods of 2022, mainly due to the increase in share of income from associates ODL which increased by $2.7 million and $14.4 million, respectively, driven by stronger crude oil volumes from the Cano Sur and Rubiales blocks. For the three months ended December 31, 2023, Puerto Bahia revenues decreased $1.3 million, compared with the same period of 2022, mainly due to lower volumes sold of general cargo. For the year ended December 31, 2023, Puerto Bahia revenues increased $1.4 million compared with the same period of 2022. The increase was primarily due to the higher liquids terminal revenues by $2.5 million, and a decrease by $1.2 million in general cargo terminal revenues due to lower volumes of cargo handled.

Cash provided by operating activities of the Infrastructure Colombia Segment for three months ended December 31, 2023, was $7.6 million, compared to $12.8 million, in the same period of 2022. The decrease was mainly due to the absence of dividends during the fourth quarter of 2023, while there was a dividend payment during the fourth quarter of 2022. For the year ended December 31, 2023, cash provided by operating activities of the Infrastructure Colombia Segment was $54.5 million, compared to $46.9 million, in the same period of 2022, mainly due to fluctuations in working capital.

Puerto Bahia and Reficar Connection Update
Frontera anticipates breaking ground on the connection construction during the first quarter of 2024 and connection start-up by the end of 2024. Frontera has secured an additional $30 million in committed funding, subject to certain conditions precedent, in connection with this project from its existing group of lenders led by Macquarie Group.

3. Guyana Exploration
As disclosed in the December 11th, 2023 news release, the Company announced that its Joint Venture with CGX had discovered approximately 514 to 628 mmboe PMean unrisked gross prospective resources in the Corentyne block, offshore Guyana. The Joint Venture believes that the rock quality discovered in the Maastrichtian horizon in the Wei-1 well is analogous to that reported in the Liza Discovery on Stabroek block. The Joint Venture believes that they have discovered sufficient resources to underpin a potential standalone commercial oil development in the Maastrichtian horizons with additional potential upside in the deeper Campanian and Santonian horizons.

On November 9, 2023, Frontera announced that with the support from Houlihan Lokey, it is actively pursuing a possible farm down of its interests in the Corentyne block in Guyana, where a data room has been opened and management presentations are underway. There can be no guarantee that the strategic review processes will result in a transaction.

Hedging Update
As part of its risk management strategy, Frontera uses derivative commodity instruments to manage exposure to price volatility by hedging a portion of its oil production. The Company's strategy aims to protect 40-60% of its estimated net after royalties' production using a combination of instruments, capped and non-capped, to protect the revenue generation and cash position of the Company, while maximizing the upside, thereby allowing the Company to take a more dynamic approach to the management of its hedging portfolio. Consistent with this strategy, the Company entered new put hedges totaling 2,574,826 bbls to protect a portion of the Company's production through June 2024. The following table summarizes Frontera's 2024 hedging position as of March 7, 2024.

The Company is exposed to foreign currency fluctuations primarily arising from expenditures that are incurred in COP and its fluctuation against the USD. As of March 7, 2024, the Company had entered new positions of foreign currency derivatives contracts as follows: