VET · Vermilion Energy Inc.

Vermilion Energy Inc. delivered strong Q1 2026 operational results with production averaging 125,000 boe/d, surpassing the upper end of guidance at 124,000 boe/d. This outperformance stemmed from robust contributions in Canada's Deep Basin and Montney plays, accelerated Montney well startups, and solid output from the Osterheide well in Germany, tempered by cyclone disruptions in Australia. The production composition underscores Vermilion's gas-heavy portfolio, with 72% gas (59% Canadian, 13% European) and 28% liquids, bolstered by elevated European gas prices at $16/MMBtu due to March geopolitical tensions. In Australia, Wandoo operations faced sequential cyclone impacts but are slated for Q2 restart, with February exports of 300,000 barrels highlighting inventory management. Portfolio repositioning advances include a strategic Germany acquisition from BEB and MEEG, adding ~1,000 boe/d of low-decline, TTF/Brent-linked output adjacent to existing assets, enhancing infrastructure control and development upside; closure targeted for H2 2026 with a January 2025 effective date. New North German Basin concessions double acreage to over 1 million net acres, supporting deep gas exploration. Offsetting non-core exposure, the company signed divestment of its 60% non-producing SA-07 stake in Croatia for €15MM ($24MM) net proceeds earmarked for debt reduction, while retaining cash-generative SA-10. Upcoming catalysts include Wisselshorst well startup mid-year, Netherlands spud in H2 2026, and Bommelsen follow-ups in early 2027. Full Q1 financials release on May 6, 2026, alongside AGM.