Anthony Marino
President, CEO & Non-Independent Director

Hello. I’m Tony Marino, President and CEO of Tenaz. Thank you for joining our Q2 ’26 update. At the outset, I’d like you to note our advisories that we have at the beginning and the end of this presentation.

Let’s start with our operating and financial results. Production was up again in Q2, 6% higher than in Q1, reaching over 17,000 boe/d. And I will point out that our preliminary production that we have for July is approximately 23,000 boe/d. So continued organic growth in Tenaz as a result of the development activities that we and our operating partners are conducting on our assets, primarily in Netherlands.

Funds flow from operations, $74 million. That’s a 15% increase from Q1 on higher pricing and higher production. The better pricing, in particular, is reflected in our operating netback, which has reached over CAD 69 per BOE. That’s a 20% increase from Q1 ’26 operating netback. CapEx was significantly lower than in Q1. The total for the half year period is about $150 million. We had a heavier investment program in Q1 for a couple of different reasons.

First of all, we had our Canadian program going, which is now completed. Secondly, we had more non-op activity in the non-GEMS assets in Netherlands. And another factor was that we were running our original Seafox barge doing some light workovers at the beginning of the year, and we didn’t have that going in Q2.

I would point out, and I think we mentioned it later in this presentation, but I’ll point out that we are bringing in the Triton-10 barge to do heavier workovers

Operator

Good afternoon, and welcome to the Vanquis Banking Group plc Half Year Results Investor Presentation. [Operator Instructions] Before we begin, I would like to submit the following poll.

And I would now like to hand you over to CEO, Ian McLaughlin. Good afternoon to you, sir.

Ian Michael McLaughlin
CEO & Executive Director

Good Afternoon, Alex, and welcome, everybody. If we just go to our sort of intro slides, Look, I really appreciate you joining this afternoon. It’s a bit of a frustrating update from Vanquis. I’m sure it is for you, if you’re investors it certainly is for us as a management team. We are making really strong underlying progress. I’ll go through a little bit of that in a second because I think it’s important to talk about how we’re doing with what we committed to do.

But then probably the meat of today’s presentation is what has happened towards the end of the first half that has caused us to change our guidance, so I’ll take you through that. I’ll then hand over to Dave Watts, our CFO. You can see on the screen, I’ve got James Cranstoun, our Head of Investor Relations with me and Dave as well. And then we’ll go to your questions, which are always a bit where we get great value from, so look forward to that. Please do post your questions as we go.

So look, as I said, a bit of a frustrating first half for us, really good underlying progress, particularly on transformation, but two headwinds and one particular tailwind, and that’s what I want to unpack. So if we just