LNG Energy withdraws production, capital guidance issued March 4

As previously disclosed on October 21, 2024 and November 20, 2024, as a result of unexpected production restrictions at certain wells in the Bullerengue natural gas field, the Company has had to limit natural gas deliveries under certain gas sales agreements dedicated to supplying natural gas demand. Lewis Energy Colombia, a wholly-owned subsidiary of the Company, entered into amendment to certain gas sales agreements to reduce the applicable volumes by 5.0 MMbtu/d for a period of four months with no significant changes to the average natural gas sales price. LEC’s attempts to address the production disruptions by way of an extensive workover campaign and drilling initiatives have not resulted in production increases. As a result, on November 22, 2024, LEC issued notice to the applicable regulator in Colombia regarding a restriction in the natural gas deliveries under certain supply contracts. The Company expects LEC to issue a notice of force majeure to its gas off-takers in Colombia setting out the technical basis for delivering less natural gas volumes than as set out in the gas sales agreements. LEC continues to receive the proceeds from the natural gas sales and has notified its senior lenders of the foregoing notice