Mr. Casey McCandless reports

TETHYS PETROLEUM PRESS RELEASE (TPL): INTERIM RESULTS AND CORPORATE UPDATE

Tethys Petroleum Ltd. has filed its interim results for the three months ended June 30, 2026, with the Canadian securities regulatory authorities, comprising its unaudited financial statements, together with management's discussion and analysis and other required forms. Copies of the filed documents may be obtained via SEDAR+ or on Tethys's website.

Financial highlights

Oil and gas sales increased by 70 per cent to $10.4-million in the second quarter of 2026 from $6.1-million in 2025 due to increased oil production and commencing processing crude oil into refined products during the quarter. The net loss for the period was $10,000, compared with the net profit of $1.3-million in 2025.

Operational update

Revenues for Q2 (second quarter) improved from Q2 2025 but oil production levels fell short of expectations due primarily to technical failures in gas turbines. The company is in the process of trying to repair and/or replace a turbine as soon as possible.

The company has purchased a second gas compressor, which is currently being installed at the Kul-Bas central processing facility. Once commissioned, the additional compressor is expected to double the gas compression capacity and, consequently, significantly increase associated gas utilization capacity at the facility.

Average oil production in August is currently estimated to be approximately 275 tons per day (2,200 barrels of oil per day (bopd)). Assuming the successful repair of one of the gas turbines by the end of August, average daily oil production is expected to increase to approximately 420 tons per day (3,360 bopd). Subsequently, following the repair of the second gas turbine and commissioning of the second gas compressor, average daily oil production is expected to further increase to approximately 645 tons per day (5,160 bopd) in October.

About Tethys Petroleum Ltd.

Tethys is focused on oil and gas exploration and production activities in Central Asia and the Caspian region. Tethys believes that significant potential exists in both exploration and in discovered deposits in the area.

We seek Safe Harbor.