Calgary, Alberta – August 28, 2025 — High Arctic Overseas Holdings Corp. (TSXV: HOH) has reported its financial and operating results for the second quarter ended June 30, 2025. The company highlighted disciplined cost management and continued diversification despite subdued drilling activity in Papua New Guinea (PNG).

Financial Performance
Revenue for the quarter was USD $2.37 million, down from $7.63 million in Q2 2024, reflecting the suspension of Rig 103 and the continued cold-stack of Rigs 115 and 116. The company recorded a net loss of $0.52 million, compared to a $0.03 million loss in the same quarter last year. Adjusted EBITDA showed a small loss of $0.18 million, an improvement over Q1’s $0.20 million loss.

For the first half of 2025, revenue totalled $4.88 million versus $18.76 million in H1 2024. The company reported a net loss of $1.75 million for the period, compared to income of $2.47 million last year.

Operational Highlights

• Drilling operations remained suspended through the quarter.
• Revenue was largely driven by manpower and equipment rentals, though volumes declined as a major customer wound down a project.
• General and administrative expenses fell to $0.69 million, from $0.92 million in Q1, reflecting the shift of corporate functions to Australia and cost reductions.
• High Arctic ended the quarter with strong liquidity, reporting $20 million in working capital and $13.8 million in cash.
  

Strategic Outlook
CEO Mike Maguire emphasised the company’s continued diversification strategy, including the launch of High Arctic Fire Services, a new division focused on fire prevention, detection, and suppression systems for PNG’s extractive industries. Initial revenues are expected in Q3 2025.

Looking forward, High Arctic anticipates subdued activity for the remainder of 2025, with manpower and rentals as primary revenue drivers. However, management highlighted increasing enquiries and preparations for a new cycle of major LNG projects in PNG, including Papua LNG and P’nyang. Both developments are expected to generate significant drilling demand later this decade.

“Our extensive experience in PNG positions us to support upcoming projects with safe, efficient services,” Maguire said. “We remain disciplined on costs while preparing to capture opportunities in LNG, mining, and infrastructure.”