CanCambria Energy announced today an update on its joint venture (“JV”) process for its Kiskunhalas deep tight gas project (the “Kiskunhalas Project”) in southern Hungary.

CanCambria’s previously announced JV farmout process for up to a 50% interest in its 32,604 net-acre, drill ready, Ba-IX Mining License, led by Raiffeisen Bank International AG (“RBI”) and announced October 16, 2025, has made substantial progress, with prospective strategic partners identified following investor outreach and full engagement process under confidentiality agreements. As the JV process has progressed through multiples stages of technical, commercial, and stakeholder engagement, the timeline has extended beyond the Company’s initial expectations due to a combination of industry, macroeconomic and domestic factors, including the Hungarian parliamentary elections held on April 12, 2026, and the subsequent installation of a new government on May 9, 2026.

Technical project assessment by the interested parties has been successfully completed, a critical step in the due diligence process. Commercial negotiations are ongoing, with the objective of executing a formal non-binding term sheet on the basis of which to proceed with finalizing due diligence, negotiating and signing ‘long-form’ transaction documentation and respectively closing the transaction during 2026.

Subject to the successful completion of the JV process and the satisfaction of all required conditions and approvals, CanCambria anticipates that initial drilling activities could commence in Q1 2027. The Company’s expectation for first gas production remains unchanged, with production targeted for mid-2027.

“The advancement of our JV process marks an important step toward the development and commercialization of what we believe is one of the most significant undeveloped tight gas opportunities onshore Europe,” said Dr. Paul Clarke, President and Chief Executive Officer. “The completion of technical assessment and advancement to commercial negotiations represent important milestones in unlocking the value of the Kiskunhalas Project. We are increasingly focused on converting the strong industry interest we have seen into a strategic partnership that accelerates development while maximizing value for our shareholders. Our expected timeline to first gas production in 2027 remains unchanged, and we look forward to providing further updates as the process advances.”

KeyFacts Energy: CanCambria Energy Hungary country profile