Petroreconcavo (RECV3) Investor presentation summary

Operational highlights

• Operates 57 oil and gas concessions in Brazil, with 746 producing wells and 6 exploratory blocks across Bahia, Sergipe, and Rio Grande do Norte.

• Achieved net revenue of R$684 million and EBITDA of R$310 million in 1Q26, with net debt at R$1.4 billion and leverage of 1.04x.

• Average production reached 24.4 kboed, with 2P reserves totaling 182.2 MMboe and a reserve life of 19 years at 2025 production rates.

• Strategic focus on subsurface management, operational reliability, and execution excellence to maximize recovery and value.

Financial performance and capital allocation

• Maintained competitive breakeven cash cost at US$30.61/boe and netback of US$29.49/boe in 1Q26.

• Free cash flow generation reached R$310 million in 1Q26, with EBITDA margin above 45%.

• Accelerated investments in E&P and midstream, with R$1.1 billion in capex planned for 2025.

• Declared R$300 million in dividends to be paid in three annual installments from 2026 to 2028.

• Debt profile improved with four debenture issuances, reducing average cost and extending duration; leverage at 1.04x.

Operational efficiency and growth

• Increased recovery factors through secondary recovery and technology, supporting long-term reserve replacement (RRR 1.0x).

• Robust drilling and workover program, with 232 workovers and 15 new wells planned for 2025.

• Owns a diversified fleet of drilling and workover rigs, enabling multidisciplinary execution and cost savings.

• Expanded midstream capabilities, including acquisition of 50% of UPGN Guamaré and new gas liquefaction/compression units.

• Oil and gas hedging strategies in place to protect downside and capture upside, with significant volumes hedged through 2028.