Mr. Oliver Quinn reports

MEREN ANNOUNCES COMPLETION OF IMPACT OIL & GAS RESTRUCTURING

Meren Energy Inc.'s investee company, Impact Oil & Gas Ltd. has completed the corporate restructuring first announced on May 26, 2026. Completion follows receipt of the required South African regulatory approvals and joint venture partner consents and establishes Impact as a pure play Namibia-focused development and exploration business.

Completion marks a further step in Meren's strategy to simplify its business and high-grade its portfolio around its core areas of value creation in the Orange basin. Meren's effective interest in its core Namibian assets, including the world-class Venus project, is unchanged. Impact's South African exploration interests, which were non-core to Meren, have now been separated out, concentrating Meren's Orange basin exposure alongside its direct carried interest in Block 3B/4B, offshore South Africa, which is unaffected by the transaction.

The transaction is intended to simplify Impact's portfolio and allow it to concentrate on its interests in Namibia, where the TotalEnergies-operated joint venture is working toward a final investment decision on the Venus development. As a result of the transaction, Meren will no longer bear the costs of managing and maintaining the divested South African exploration assets. Meren also expects that this more focused structure will support clearer capital allocation going forward.

Oliver Quinn, president and chief executive officer of Meren, commented: "Completing the Impact restructuring delivers another milestone in the portfolio program we have been executing since late 2023. Through Impact, Meren's effective interest in Venus is unchanged, and Impact is now a simpler, lower-cost vehicle centred on Namibia. Together with our direct interest in Block 3B/4B, this strengthens Meren's long-term position in the Orange basin. I would like to thank Impact's management team and our fellow shareholders in Impact for their work in bringing the transaction to completion."

Summary of the completed transaction

Impact has completed the sale of its entire shareholding in Impact Africa Ltd., the subsidiary that holds Impact's South African exploration licences, together with certain related assets, to Impact Energies Ltd. (formerly IOG Energies Ltd.), a wholly owned subsidiary of Deepkloof Ltd., Impact's majority shareholder.

Impact's primary assets are now its 9.5-per-cent undivided participating interest in each of Block 2912 and Block 2913B, offshore Namibia, which contain the Venus light oil discovery operated by TotalEnergies.

Impact's approximate 20-per-cent shareholding in Africa Energy Corp. was not part of the transaction and has been retained by Impact. For the avoidance of doubt, neither Impact nor Meren holds any interest in Impact Energies.

To provide a clear distinction from Impact Energies, Impact intends to change its corporate name in due course. The change of name will have no effect on Impact's business, assets or shareholdings, including Meren's effective interest in the Venus project.

About Meren Energy Inc.

Meren is a full-cycle independent upstream oil and gas company with interests offshore Nigeria, Namibia, South Africa and Equatorial Guinea. Its main assets are producing and development assets in deepwater Nigeria. The company holds a leading position in the Orange basin, including its effective interest in the Venus light oil project, offshore Namibia, and its direct interest in Block 3B/4B, offshore South Africa.

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