CGX Energy Files June 30, 2026 Financial Statements and Announces Changes to the Board of Directors
Rhea-AI Summary
CGX Energy (OTCQB: CGXEF) released its unaudited condensed interim consolidated financial statements and MD&A for the six months ended June 30, 2026, available on its website and SEDAR+.
Governance changes include the resignation of director René Burgos effective July 1, 2026, and the appointment on July 23, 2026 of Andrés Sarmiento, CFO of Frontera Energy, to the board.
Subsidiary Grand Canal Industrial Estates entered a port services agreement effective June 15, 2026 for Berbice River Port capacity and six acres of storage, with an initial term to July 17, 2027, a minimum monthly charge of U.S.$64,000 plus VAT, and minimum annual throughput of 240,000 metric tonnes, alongside additional charges for excess throughput and other services.
CGX Resources and Frontera Energy Guyana, joint venture partners in the Corentyne block (27.48% and 72.52% participating interests, respectively, subject to Government of Guyana approval of a 4.52% assignment), continue to dispute the Government’s position that the interests expired on June 28, 2024. A full impairment of the Corentyne exploration and evaluation asset recorded in 2025 remains unchanged as of June 30, 2026. CGX is also involved in ongoing enforcement proceedings in Canada by Prospector PTE Ltd. related to prior arbitral awards and a court judgment.
Positive
- Port services agreement adds minimum revenue of U.S.$64,000 per month plus VAT through July 17, 2027
- Berbice River Port secured minimum annual throughput commitment of 240,000 metric tonnes from a third-party customer
- New board member Andrés Sarmiento brings over 15 years of energy, infrastructure and public policy leadership experience
Negative
- Corentyne exploration and evaluation asset remains fully impaired as of June 30, 2026 following the 2025 write-down
- Corentyne license status remains uncertain due to disagreement between the Joint Venture and Government of Guyana over alleged expiry on June 28, 2024
- Prospector PTE Ltd. continues enforcement actions in Canada, including efforts to take possession of shares of certain subsidiaries
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Toronto, Ontario--(Newsfile Corp. - August 14, 2026) - CGX Energy Inc. (TSXV: OYL) ("CGX" or the "Company") announced today the release of its unaudited condensed interim consolidated financial statements for the six-month period ended June 30, 2026, together with its Management's Discussion and Analysis. These documents will be available on the Company's website at www.cgxenergy.com and on SEDAR+ at www.sedarplus.ca. All amounts in this press release are stated in United States dollars unless otherwise indicated.
Board of Directors Update
Mr. René Burgos resigned as a director of the Company effective July 1, 2026. On July 23, 2026, the Board appointed Mr. Andrés Sarmiento as a director. Mr. Sarmiento currently serves as Chief Financial Officer of Frontera Energy Corporation and brings more than 15 years of leadership experience in the energy, infrastructure and public policy sectors. The Company thanks Mr. Burgos for his valuable contributions during his tenure and welcomes Mr. Sarmiento to the Board.
Berbice River Port Update
Grand Canal Industrial Estates Inc. ("GCIE"), a subsidiary of the Company, entered into a port services agreement with a third-party customer effective June 15, 2026, for the use of designated port capacity and six acres of storage at the Berbice River Port. The agreement has an initial term ending July 17, 2027 and provides for a minimum monthly charge of U.S.
Corentyne License
CGX Resources Inc. ("CGX Resources"), a wholly owned subsidiary of the Company, and Frontera Energy Guyana Corp. ("Frontera Guyana") are joint venture partners in respect of the Corentyne block offshore Guyana (the "Joint Venture"). The Joint Venture holds a
The Joint Venture continues to firmly maintain that its interests in the Corentyne block and the related petroleum agreement remain valid and in good standing. The GoG has reaffirmed its position that the Joint Venture's interests expired on June 28, 2024, a position with which the Joint Venture strongly disagrees.
The Joint Venture remains committed to asserting its contractual and legal rights. As previously disclosed, given the ongoing uncertainty regarding the status of the Corentyne license and the Company's ability to access the block, the Company recorded a full impairment of the Corentyne exploration and evaluation asset during 2025.
The full impairment of the Corentyne exploration and evaluation asset recorded during 2025 remains unchanged as at June 30, 2026. The impairment represents an accounting assessment under IFRS and does not determine the legal status of the Joint Venture's rights. The Company will provide further updates as developments occur.
Prospector Dispute
The Company is a party to an ongoing legal matter with Prospector PTE Ltd. ("Prospector"), which is seeking to enforce a court judgment against the Company in the provinces of Ontario and Alberta arising from arbitral awards issued by the International Chamber of Commerce in 2018. Prospector continues to pursue enforcement of the judgment against the Company in Canada, including seeking to take possession of the shares of certain subsidiaries. The Company has reviewed the enforcement actions taken by Prospector and continues to assess and pursue the legal options available to protect its interests.
About CGX
CGX is a Canadian company engaged in the ownership and operation of the Berbice River Port and related logistics facilities in Guyana, as well as the management of its oil and gas interests in the Guyana-Suriname Basin
NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
Cautionary and Forward-Looking Statements:
This press release contains forward-looking information within the meaning of applicable Canadian securities laws ("forward-looking information"). Forward-looking information relates to activities, events or developments that CGX believes, expects or anticipates will or may occur in the future and includes, without limitation, statements regarding the posting and availability of the Company's unaudited condensed interim consolidated financial statements and Management's Discussion and Analysis for the six-month period ended June 30, 2026; the status of the license and petroleum agreement relating to the Corentyne block; and the Joint Venture's commitment to asserting its contractual and legal rights in respect of the Joint Venture's interest in the Corentyne block.
Forward-looking information is based on the current expectations, assumptions and beliefs of CGX, including its experience and perception of historical trends, and is subject to known and unknown risks and uncertainties. Although CGX believes that the assumptions underlying the forward-looking information are reasonable, such information is not a guarantee of future performance, and undue reliance should not be placed on it.
Forward-looking information in this press release is based on a number of material assumptions, including, without limitation: the Joint Venture's ability to assert and preserve its rights and pursue available legal and dispute-resolution processes; the Company's ability to manage the enforcement proceedings involving Prospector PTE Ltd.; the continued operation and commercialization of the Berbice River Port; the performance of existing and future customer agreements; forecast throughput, utilization levels, revenues and operating costs at the port; the availability of funding for maintenance and infrastructure improvements; and general economic, market and industry conditions.
Forward-looking information is subject to a number of risks and uncertainties, including, without limitation: the cost, duration and outcome of legal and dispute-resolution processes; the ultimate status of the Corentyne license; adverse outcomes from enforcement proceedings; the risk that the Company may be unable to satisfy the judgment against the Company in favour of Prospector PTE Ltd.; insufficient liquidity and the inability to continue as a going concern; risks associated with the operation and development of the Berbice River Port; dependence on a limited number of customers and contracts; customer defaults, reduced throughput or failure to satisfy contractual commitments; the need for dredging, maintenance and additional infrastructure investment; failure to obtain required regulatory approvals; and the recoverability of previously impaired assets. There can be no assurance that the dispute with the GoG will be resolved in favour of the Joint Venture, that the Company will obtain the required financing or that any previously recognized impairment will be reversed.
Actual results may differ materially from those expressed or implied by the forward-looking information, and even if such results are realized or substantially realized, there can be no assurance that they will have the expected consequences for CGX.
Additional information regarding risks and uncertainties is contained in CGX's Management's Discussion and Analysis for the for the year ended December 31, 2025 and other filings made by CGX with Canadian securities regulatory authorities, which are available on SEDAR+ at www.sedarplus.ca.
Forward-looking information is provided as of the date of this press release and, except as required by applicable securities laws, CGX disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise.
For further information, please contact: Daniel Sanchez Interim Chief Executive Officer and Chief Financial Officer CGX Energy Inc. Email: info@cgxenergy.com Website: www.cgxenergy.com.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/309794