Veren : 2023 VRN ESTMA Filing

UNCLASSIFIED - NON CLASSIFIÉ

Extractive Sector Transparency Measures Act - Annual Report

Reporting Entity Name						Veren Inc.
Reporting Year	From	1/1/2023			To:	12/31/2023	Date submitted	5/27/2024
Reporting Entity ESTMA Identification Number	E199156				Original Submission
			Amended Report
Other Subsidiaries Included
(optional field)

For Consolidated Reports - Subsidiary Reporting Entities Included in Report:

E490061 Veren Partnership, E707333 Veren U.S. Corp., E976960 Veren Holdings Ltd., E400251 Veren LNG Corp., E597558

Veren Rockies Corp., E024996 Inception General Partner Inc.

Not Substituted

Attestation by Reporting Entity

In accordance with the requirements of the ESTMA, and in particular section 9 thereof, I attest I have reviewed the information contained in the ESTMA report for the entity(ies) listed above. Based on my knowledge, and having exercised reasonable diligence, the information in the ESTMA report is true, accurate and complete in all material respects for the purposes of the Act, for the reporting year listed above.

Full Name of Director or Officer of Reporting Entity	Michael Politeski
Position Title	Senior Vice President, Finance & Treasurer

Date

5/27/2024

UNCLASSIFIED - NON CLASSIFIÉ

Extractive Sector Transparency Measures Act - Annual Report

Reporting Year	From:	1/1/2023	To:	12/31/2023
Reporting Entity Name		Veren Inc.				Currency of the Report	CAD
Reporting Entity ESTMA		E199156
Identification Number
Subsidiary Reporting Entities (if	E490061 Veren Partnership, E707333 Veren U.S. Corp., E976960 Veren Holdings Ltd., E400251 Veren LNG Corp., E597558 Veren Rockies Corp., E024996 Inception General Partner Inc.
necessary)
				Payments by Payee
Country	1	Departments, Agency, etc… within Payee that	Taxes	Royalties	Fees	Production Entitlements	Bonuses	Dividends	Infrastructure	Total Amount paid to	34
Payee Name	Received Payments2	Improvement Payments	Payee	Notes
		Agriculture & Agri-Food Canada, Competition Bureau,
Canada	GOVERNMENT OF CANADA	Environment and Climate Control Canada, Receiver			420,000					420,000
General for Canada, Receiver General for Canada
		Public Lands/Frontier Lands Management Division
Canada	INDIAN OIL AND GAS CANADA	Indian Oil & Gas Canada, Receiver General for Canada		1,870,000	490,000					2,360,000
		ABSA, Alberta Energy Regulator, Alberta Infrastructure
		& Transportation, Alberta Petroleum Marketing									Royalties include payments in kind of
Canada -Alberta	GOVERNMENT OF ALBERTA	Commission, Alberta Securities Commission,	210,000	144,280,000	5,210,000	26,790,000				176,490,000	$53.8MM for 562,106 boe at Veren's
		Government of Alberta, Minister of Finance-AB, Special									realized price.
		Areas Board
		Minister of Finance, Ministry of Agriculture,
		Saskatchewan Ministry of Energy & Resources,
		Saskatchewan Power Corporation, Saskatchewan
Canada -Saskatchewan	GOVERNMENT OF SASKATCHEWAN	Abilities Council, Saskatchewan Power Corporation ,	53,460,000	86,930,000	7,610,000	1,540,000				149,540,000
Saskatchewan Safety Council, SaskTel, Technical
		Safety Authority of Saskatchewan, University of
		Regina,University of Saskatchewan, Water Security
		Agency
Canada	ALEXANDER FIRST NATION	Alexander First Nation, Alexander Industry Relations			140,000					140,000
Corporation, Alexander Safety
Canada	ELIZABETH METIS SETTLEMENT				280,000					280,000
Canada	FISHING LAKE METIS SETTLEMENT				130,000					130,000
Canada	FLYING DUST FIRST NATION	Flying Dust First Nation, Flying Energy Oil & Gas		130,000						130,000
Limited
Canada	STURGEON LAKE CREE NATION	Surgeon Lake Cree Nation, Sturgeon County			270,000					270,000
Canada	SWAN RIVER FIRST NATION				110,000					110,000
Canada -Alberta	COUNTY OF BIG LAKES		2,180,000							2,180,000
Canada -Alberta	COUNTY OF WOODLANDS		380,000							380,000
Canada -Alberta	COUNTY OF YELLOWHEAD		120,000							120,000
Canada -Saskatchewan	MUNICIPAL DISTRICT OF FOOTHILLS	Municipal District of Foothills No. 31, Foothills Regional	1,220,000							1,220,000
Service Commission
Canada -Saskatchewan	MUNICIPAL DISTRICT OF GREENVIEW		3,960,000							3,960,000
Canada -Saskatchewan	RURAL MUNICIPALITY OF ARLINGTON		2,970,000							2,970,000
Canada -Saskatchewan	RURAL MUNICIPALITY OF BENSON		790,000							790,000
Canada -Saskatchewan	RURAL MUNICIPALITY OF BONE CREEK		720,000							720,000
Canada -Saskatchewan	RURAL MUNICIPALITY OF BROCK		960,000	380,000						1,340,000
Canada -Saskatchewan	RURAL MUNICIPALITY OF CAMBRIA		1,790,000							1,790,000
Canada -Saskatchewan	RURAL MUNICIPALITY OF CARMICHAEL		620,000							620,000
Canada -Saskatchewan	RURAL MUNICIPALITY OF CYMRI		240,000							240,000
Canada -Saskatchewan	RURAL MUNICIPALITY OF FRONTIER		550,000							550,000
Canada -Saskatchewan	RURAL MUNICIPALITY OF GOLDEN WEST		550,000							550,000
Canada -Saskatchewan	RURAL MUNICIPALITY OF GRIFFIN		1,420,000							1,420,000
Canada -Saskatchewan	RURAL MUNICIPALITY OF HAZELWOOD		500,000							500,000
Canada -Saskatchewan	RURAL MUNICIPALITY OF LAKE ALMA		320,000							320,000
Canada -Saskatchewan	RURAL MUNICIPALITY OF RENO		110,000							110,000
Canada -Saskatchewan	RURAL MUNICIPALITY OF RIVERSIDE		1,140,000							1,140,000
Canada -Saskatchewan	RURAL MUNICIPALITY OF SURPRISE VALLEY		190,000							190,000

UNCLASSIFIED - NON CLASSIFIÉ

Extractive Sector Transparency Measures Act - Annual Report

Reporting Year	From:	1/1/2023	To:	12/31/2023
Reporting Entity Name		Veren Inc.				Currency of the Report	CAD
Reporting Entity ESTMA		E199156
Identification Number
Subsidiary Reporting Entities (if	E490061 Veren Partnership, E707333 Veren U.S. Corp., E976960 Veren Holdings Ltd., E400251 Veren LNG Corp., E597558 Veren Rockies Corp., E024996 Inception General Partner Inc.
necessary)
				Payments by Payee
Country	1	Departments, Agency, etc… within Payee that	Taxes	Royalties	Fees	Production Entitlements	Bonuses	Dividends	Infrastructure	Total Amount paid to	34
Payee Name	Received Payments2	Improvement Payments	Payee	Notes
Canada -Saskatchewan	RURAL MUNICIPALITY OF TECUMSEH		5,410,000	300,000						5,710,000
Canada -Saskatchewan	RURAL MUNICIPALITY OF WEBB		150,000							150,000
Canada -Saskatchewan	RURAL MUNICIPALITY OF WHITE VALLEY		2,390,000							2,390,000
Canada -Saskatchewan	RURAL MUNICIPALITY OF SOURIS VALLEY		1,890,000							1,890,000
United States of America	STATE OF NORTH DAKOTA	North Dakota Department of Trust Lands, North Dakota	61,370,000	8,060,000						69,430,000	USD converted to Canadian equivalent at
Office of State Tax Commissioner, State of North Dakota						the December 31, 2023 rate of 1.3205

Additional Notes:

On May 10, 2024, as part of the rebranding, Crescent Point Energy Corp. changed its name to Veren Inc., and the subsidiaries have changed their names accordingly.

UNCLASSIFIED - NON CLASSIFIÉ

Extractive Sector Transparency Measures Act - Annual Report

Reporting Year	From:	1/1/2023	To:		12/31/2023
Reporting Entity Name			Veren Inc.			Currency of the Report	CAD
Reporting Entity ESTMA			E199156
Identification Number
Subsidiary Reporting Entities (if	E490061 Veren Partnership, E707333 Veren U.S. Corp., E976960 Veren Holdings Ltd., E400251 Veren LNG Corp., E597558 Veren Rockies Corp., E024996
necessary)			Inception General Partner Inc.
						Payments by Project
Country	Project Name1	Taxes	Royalties	Fees	Production Entitlements	Bonuses	Dividends	Infrastructure	Total Amount paid by	Notes23
Improvement Payments	Project
Canada	Corporate	43,010,000	-			220,000	20,000			43,250,000
											Royalties include payments
Canada -Alberta	Alberta	8,060,000	145,980,000			6,470,000	26,790,000			187,300,000	in kind of $53.8MM for
				562,106 boe at Veren's
											realized price.
Canada -Saskatchewan	SW Saskatchewan	9,720,000	54,750,000			3,340,000	-			67,810,000
Canada -Saskatchewan	SE Saskatchewan	23,450,000	33,160,000			4,630,000	1,520,000			62,760,000
											USD converted to Canadian
United States of America	USA	61,370,000	8,060,000			-	-			69,430,000	equivalent at the December
											31, 2023 rate of 1.3205

Additional Notes3:

On May 10, 2024, as part of the rebranding, Crescent Point Energy Corp. has changed its name to Veren Inc., and the subsidiaries have changed their names accordingly.

Introduction

This Report contains payments to government entities made by Veren Inc. and its subsidiaries (the "Company" or "Veren") for the year ended December 31, 2023, as per the Government of Canada's requirement to report under the Extractive Sector Transparency Measures Act S.C.

2014, c.39, s.376 ("the Act").

Basis of preparation

This Report has been prepared in accordance with the Act and the current Technical Reporting Specifications as published by Natural Resources Canada ("NRCan").

Payee

For purposes of the Act, a payee is:

1. Any government in Canada or in a foreign state.
2. A body that is established by two or more governments
3. Any trust, board, commission, corporation or body or other authority that is established to exercise or perform, or that exercises or performs, a power, duty or function of a government for a government referred to in paragraph (a) above or a body referred to in paragraph (b) above.

Payees include governments at any level, including national, regional, state/provincial or local/municipal levels. Payees include Crown corporations and other state-owned enterprises that are exercising or performing a power, duty or function of government.

Indigenous groups and organizations within Canada and in other jurisdictions may be regarded as governments for purposes of qualifying as a payee under the Act.

Activities

Payments made by Veren arising from activities pertaining to the key phases of commercial development of oil, gas and minerals are included in this Report. Excluded from the Report are payments that are not related to Veren's commercial development activities, as defined by the Act and the ESTMA Guidance published by NRCan.

Project

Payments are reported on a cash generating unit (CGU) level as determined for financial statement reporting purposes. Those payments which are not attributable to a specific project are reported at entity level.

Cash and in-kind payments

Payments are reported on a cash basis. In-kind payments are converted to an equivalent cash value based on the most appropriate and relevant valuation method for each payment. All payments made by Veren in this Report were on a cash basis with the exception of the Alberta oil crown royalty.

The Alberta oil crown royalty payment was made in-kind by allocating volumes to APMC. The value of the crown royalty volume is calculated based on the market price received by Veren each month.

All payments made in foreign currencies are converted to the Canadian equivalent based on the year end foreign exchange rate. Payments to the "same payee" that meet or exceed $100,000 Canadian equivalent in one category of payment are disclosed and rounded to the nearest $10,000.

Joint control

Where Veren or any of its subsidiaries make a payment (cash or take in-kind) directly to a Payee arising from a project, regardless of whether Veren is the operator, the full amount paid is disclosed irrespective of whether costs are subsequently recovered through cost sharing arrangements. Payments made by other entities with which Veren has a joint venture agreement are excluded except for certain payments made for Veren's non-operated assets whereby the operator is not subject to the Act. These payments are included based on the best information available as disclosed by the operators.

Payment Categories

Payment amounts are reported under the following payment categories.

Taxes

These are payments made for taxes on income, profits or production in relation to the commercial development of oil, gas or minerals. Excluded are taxes levied on consumption and personal income tax.

Royalties

These are payments for the rights to extract oil and gas resources, typically at set percentage of revenue less any deductions that may be taken. Royalties paid in-kind are included.

Fees

The payments in this category include rental fees, regulatory charges as well as fees for licenses, permits or concessions. Amounts paid in ordinary course commercial transactions in exchange for services provided by a payee are excluded.

Production entitlements

These are payments pertaining to a payee's share of oil, gas or mineral production under a production sharing agreement or similar contractual or legislated arrangement. There were no reportable production entitlement payments made to a payee during the year ended December 31, 2023.

Bonuses

These are payments made to a payee for signing, discovery, production and any other type of bonuses paid in relation to the commercial development of oil, gas or minerals.

Dividends

These are dividend payments other than dividends paid to a payee as an ordinary shareholder of an entity unless paid in lieu of production entitlements or royalties. There were no reportable dividend payments made to a payee during the year ended December 31, 2023.

Infrastructure improvement payments

These are payments made to a payee which relate to the construction of infrastructure (i.e., road, bridge or rail) not substantially dedicated for the operational activities of Veren. The assignment or transfer of infrastructure no longer substantially dedicated for the operational activities of Veren would also be included in these payments. There were no reportable infrastructure improvement payments made to a payee during the year ended December 31, 2023.