Mr. Jim Hill reports

DRILLING UPDATE FOR WELCHAU GAS PROSPECT

MCF Energy Ltd.'s energy investment partner and operator ADX Energy Ltd. has completed the well site construction and secured the drilling rig and all long lead items for development of the Welchau natural gas prospect in Austria. This significant milestone marks a pivotal step forward in MCF Energy's commitment to responsible and sustainable large-scale natural gas development, within Europe.

MCF is also pleased to advise the imminent mobilization of the RED Drilling & Services GmbH E-202 drilling rig to the Welchau-1 rig site within the ADX-AT-II licence in Upper Austria. Well site construction commenced on Dec. 15, 2023, following receipt of the environmental clearance and is now complete. The RED drilling rig is expected to become available to ADX at the end of this week (rig release). The well will be spudded after mobilization and rig assembly which will take approximately seven days after rig release. The success case drilling program is expected to take approximately 39 days.

MCF Energy will finance the Welchau-1 well costs up to 50 per cent of the cap of 5.1 million euros to earn a 25-per-cent economic interest in the Welchau investment area. The Welchau gas prospect has gas resource potential, located in the heart of Europe at a relatively shallow drill depth and proximal to gas pipelines. Welchau is targeting the same reservoirs as the nearby Molln-1 well which tested gas in 1989.

Jay Park, KC, the executive chairman of MCF Energy, stated: "We are happy that operations will begin to prove up what we hope will be a significant contribution to the energy security of Austria and the EU. We will continue to exercise the highest environmental standards and procedures during these operations."

About MCF Energy Ltd.

MCF Energy was established in 2022 by leading energy executives to strengthen Europe's energy security through responsible exploration and development of natural gas resources within the region. The company has secured interests in several significant natural gas exploration projects in Austria and Germany with additional concession applications pending. MCF Energy is also evaluating additional opportunities throughout Europe. The company's leaders have extensive experience in the European energy sector and are working to develop a cleaner, cheaper and more secure natural gas industry as a transition to renewable energy sources. MCF Energy is a publicly traded company and headquartered in Vancouver, B.C.

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