Westgate Energy Announces Q3 2025 Financial Results

Press Release

CALGARY, ALBERTA, Westgate Energy Inc. (“Westgate” or the “Company”) (TSXV:WGT), is pleased to announce the filing of its unaudited financial and operating results for the three and nine months ended September 30, 2025. Selected financial and operating information should be read in conjunction with Westgate’s unaudited consolidated financial statements and related management’s discussion and analysis (“MD&A”) for the three and nine months ended September 30, 2025 and 2024, which are available on SEDAR+ at www.sedarplus.ca and on Westgate’s website at www.westgateenergy.ca.

Financial & Operating Results Summary

Q3 2025 (“Q2/25”) Highlights

• Production in Q3 2025 averaged 434 boe/d compared to 213 boe/d in the same period of 2024, representing a 104% increase.

• September average production reached 628 boe/d with an oil weighting of 79%.

• The Company brought three horizontal wells on production in mid-August in the Beaverdam area of Alberta.

• The Company extended its convertible debenture until February 27, 2026. With the termination of the Moonshine Acquisition, a $700,000 deposit was returned and became available for the general use of the Company.

Operational Update

Subsequent to the quarter, and as previously announced, the Company successfully drilled three new horizontal Mannville Stack wells at Beaverdam.  These wells have all been completed downhole and are in the final stages of facility construction. The Company expects all three wells to be on production by December 15th with oil production rates expected 30-40 days after the start-up date.

Westgate’s Differentiated Strategy

Westgate is focused on the emerging Mannville Stack fairway located in North-East Alberta and West Central Saskatchewan, a region with established medium and heavy oil accumulations. Producers in this fairway are increasingly unlocking these reservoirs with modern horizontal drilling and completion techniques, which have materially improved well performance and capital efficiency. Activity to date has delivered some of the strongest oil well economics in Western Canada.

For more information, please visit www.westgateenergy.ca.

For further information concerning Westgate Energy Inc., please contact:

Dan Brown
Chief Executive Officer and Director

Email: dbrown@westgateenergy.ca

Nick Grafton
Chief Financial Officer

Email: ngrafton@westgateenergy.ca

Phone: 403.984.6724

Reader Advisories

Neither the TSXV nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

In this press release, all references to “$” are to Canadian dollars unless otherwise noted.

ADVISORIES AND OTHER GUIDANCE

Non-GAAP Financial Measures and Ratios

The Financial Statements have been prepared in accordance with IFRS. This press release contains non-GAAP financial measures, non-GAAP ratios and supplementary financial measures, including operating income (loss), operating netback, total revenue, realized price, and royalties as a percentage of revenue which are not recognized measures under GAAP. Management believes these measures are useful for reporting purposes and for evaluating the consolidated financial position of the Company but cautions readers that these measures should not be considered as alternatives to measures calculated in accordance with IFRS. Non-GAAP financial measures do not have any standardized meaning prescribed by IFRS and therefore may not be comparable to similar measures presented by other issuers for these non-GAAP financial measures.

Operating Income (Loss)

Operating income (loss) is a non-GAAP financial measure calculated by subtracting the cost of royalties and operating expenses from total revenue. Operating income (loss) is a component of operating netback, a non-GAAP ratio that management believes is a key industry benchmark and a measure of performance of the Company that provides investors/readers with information that is commonly used by other petroleum and natural gas producers. For a reconciliation of operating income (loss) to revenue, the most directly comparable GAAP measure, see the table under the heading “Financial & Operating Results Summary” within this press release.

Operating Netback

Operating netback is a non-GAAP financial ratio calculated by dividing operating income (loss) by production volumes. Operating netback allows management and others to evaluate the production results from the Company’s assets. Management feels that operating netback is a key industry benchmark and a measure of performance of the Company that provides investors/readers with information that is commonly used by other petroleum and natural gas producers.

Total Revenue

Total revenue is a non-GAAP financial measure calculated by adding processing revenue to petroleum, natural gas and NGL sales. Management uses total revenue to evaluate the cash flow generated from the Company’s assets and believes it is useful to investors as a key industry benchmark and a measure of performance of the Company that provides investors/readers with information that is commonly used by other petroleum and natural gas producers. For a reconciliation of total revenue to petroleum, natural gas and NGL sales, the most directly comparable GAAP measure, see the table under the heading “Financial & Operating Results Summary” within this press release.

Supplementary Financial Measures

Realized Price

Realized price is a supplementary financial measure calculated as the revenue by product divided by the production by product and is a key industry benchmark and a measure of performance of the Company that provides investors/readers with information that is commonly used by other petroleum and natural gas producers.

Other Supplementary Measures

Per boe, per mcf or per bbl disclosures for royalties, operating expenses, and depletion are supplementary financial measures that are calculated by dividing the respective GAAP measure by its respective sales volumes. Royalties as a percentage of revenue is a supplementary financial measure that is calculated by dividing royalties by revenue, expressed as a percentage.

Oil and Gas Advisories

Caution Respecting Boe

This press release discloses certain estimated production information on a boe basis with natural gas converted to barrels of oil equivalent using a conversion factor of six mcf to bbl of oil (6 mcf:1 bbl). Condensate and other NGLs are converted to boe at a ratio of 1 bbl:1 bbl. Boe may be misleading, particularly if used in isolation. A boe conversion ratio of 6 mcf:1 bbl is based roughly on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at sales point. This conversion conforms with NI 51–101 disclosure standards. Although the 6:1 conversion ratio is an industry-accepted norm, it is not reflective of price or market value differentials between product types. Based on current commodity prices, the value ratio between crude oil, NGLs and natural gas is significantly different from the 6:1 energy equivalency ratio. Accordingly, using a conversion ratio of 6 mcf:1 bbl may be misleading as an indication of value.

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