Mr. Mike Kruchten reports

PAREX RESOURCES ANNOUNCES PRODUCTION UPDATE

Parex Resources Inc. has provided a production update and abandoned the Guapo-1 exploration well at VIM-1 (50-per-cent working interest (WI)). All dollar amounts in this news release are in U.S. dollars unless otherwise stated.

Q4 2025 production update:

• Q4 2025 average production was 48,606 barrels of oil equivalent per day (boe/d), an increase of 11 per cent from Q3 (third quarter) 2025.
• Strong production was supported by new wells at LLA-32 and LLA-74, with November reflecting elevated initial production rates and December more representative of stabilized production performance.
• Supporting the initial stages of the 2026 drilling program, operations are continuing in the Putumayo basin, with two active rigs, alongside activities in LLA-32 and Capachos.

Guapo-1 exploration well at VIM-1

Parex spudded the Guapo-1 exploration well in October, 2025, and successfully reached its target depth of approximately 15,000 feet. Following logging operations, it was determined that hydrocarbon production was not commercial and the well was abandoned. The well was drilled at a cost of roughly $12-million (net).

About Parex Resources Inc.

Parex is one of the largest independent oil and gas companies in Colombia, focusing on sustainable, conventional production. The company's corporate headquarters are in Calgary, Canada, with an operating office in Bogota, Colombia. Parex shares trade on the Toronto Stock Exchange under the symbol PXT.