• Jade Gas has signed a non-binding agreement for estimated $1.1B funding for Red Lake development
• Funding to be provided by PT Beijing Energy Linking, PetroChina, and Hunan Geology & Mining
• Phase 1 includes 175 wells, with potential for up to 1,400 wells in total
• Funding to cover drilling, infrastructure, and LNG facilities
• Binding agreements targeted for execution by the end of the current quarter

Jade Gas Holdings Ltd has executed a non-binding Collaboration Agreement with PT Beijing Energy Linking, PetroChina, and Hunan Geology & Mining Technology Co Ltd to secure an estimated $1.1B for Phase 1 of the Red Lake CBM Project in Mongolia. The agreement aims to fund 100% of Phase 1 capital expenditure, estimated at $762.5M, with binding agreements targeted for execution by the end of the current quarter. Phase 1 comprises 175 wells, representing approximately 20% of the total drilling across the 60km² Red Lake Development Area. The funding will cover drilling, infrastructure, and LNG facilities. The collaboration also contemplates a scalable LNG liquefaction facility to enable initial monetization of the first 40 wells. Jade Gas will retain project ownership, with repayment to the consortium through a future gas sales revenue-sharing arrangement.

Estimated $1.1B funding for Phase 1 of Red Lake CBM Project

Binding agreements targeted for execution by the end of the current quarter; drilling to commence in Q1 2027.