November 27, 2023 – Surge Energy US Holdings Company (“Surge” or the “Company”) announces it has eliminated approximately 365 thousand metric tons of CO₂e through operational excellence, innovation, and investments in emissions-eliminating infrastructure and operations such as water infrastructure, electrical infrastructure, and the use of dual fuel completions operations.

These emissions-eliminating infrastructure and operational practices include:

• Investment in two company-owned electrical substations. The Dragon substation, commissioned in 2019, and the Phoenix substation, commissioned in 2022, deliver power from the Texas grid to our producing operations through Company-built and operated transmission lines.  This facilitated the removal of approximately 70 well-site generators.  In total, the electrical substations are estimated to eliminate 235,000 metric tons of CO₂e annually.
• Since its inception the Company has been focused on transporting as much oil and produced water in pipelines to avoid trucks on the road.  Eliminating truck trips has many benefits including improved safety for the community and eliminating emissions.  Transporting oil and produced water in pipelines has led to avoiding over four million truck trips and over 40 million truck miles which results in an estimated elimination of approximately 100,000 metric tons of CO₂e cumulatively.
• The Company began the utilization of dual fuel completions fleets in 2021 which reduces the use of diesel fuel. This practice has led to a reduction of GHG emissions of approximately 30,000 metric tons of CO₂e to date.

“I am proud of the operational excellence, innovation, and investment that Surge has taken to achieve these substantial emissions reductions,” stated Surge’s Chief Executive Officer Linhua Guan.  “These emissions reductions are just a few examples of the results of our vision as a company which is to be a sustainable energy producer committed to safety, our people, the environment, and the communities in which we operate.”

About Surge Energy

Surge Energy is an independent oil and natural gas company focused on the development, exploitation,
production, and acquisition of oil and natural gas reserves in the Midland Basin of West Texas, one of
three primary sub-basins of the Permian Basin. The Company is headquartered in Houston, Texas, and
currently holds approximately 161,000 net acres in the Permian Basin as of year-end 2022. For more
information, visit our website at www.SurgeEnergyA.com.

Contact Information

For Surge:
Travis Guidry
Vice President of Corporate Development & Investor Relations
Email: TGuidry@surgeenergya.com
Phone: 832-333-2339

Investor Relations
Email: InvestorRelations@surgeenergya.com
Phone: 832-333-2400