Savannah Energy : SAVE-Posting of 2021 Sustainability Review

Andrew Knott

Chief Executive Officer

L-R: Rania Harouna, Contracts & Procurement Assistant, Soraya Moulaye, Head of Human Resources & Administration, Annou Garba Mahamane, Head of Supply Chain and Silimane Aghali, Chief Accountant Finance, Savannah Niger office

1. Strengthening our sustainability strategy

1. Promoting socio-economic prosperity
2. Creating impact that matters

1. Maintaining a safe and secure place to work
2. Maintaining a strong HSSE culture

1. Supporting and developing our people
2. Empowering our colleagues to thrive

1. Respecting the environment
2. Managing our environmental impacts

1. Definitions

1. Glossary

L-R: Chidiadi Mgbemena, Treasury Coordinator, Ifeanyi Onyekwelu, Treasury Accountant, Hammed Onikola, Financial Reporting Accountant, Ayotunde Oludemi, Assistant Financial Controller, Chinatu Egembah, Graduate Intern, Akeem Lukan, Accounts Payable Accountant, Savannah Nigeria office

Introduction

We are pleased to present our Sustainability Review for 2021. All data covers the period of 1 January to 31 December 2021 and is as of 31 December 2021 unless otherwise noted. At Savannah, sustainability underpins everything we do. Following the acquisition of our Nigerian assets in 2019, the Company developed a comprehensive approach to sustainability in 2020, building on our track record in the previous decade. Our sustainability strategy was based on our first materiality assessment conducted in late 2021/early 2022, in which we engaged internal and external stakeholders. This allowed us to prioritise 12 material issues and an additional eight to report on.

Refocusing our sustainability strategy

The focus in 2021 was on articulating our level of ambition across our sustainability strategy. Having grouped our material issues in four pillars, we conducted an exercise to benchmark the Company's performance against industry peers and leaders. This enabled us to develop a refocused strategy with a clearer sense of our ambitions in each area, which you can find detailed in this section. In particular, we've identified our key performance metrics linked to our ambitions and relevant UN Sustainable Development Goals ("UN SDGs"). This helps us form a more comprehensive picture of our performance and progress.

Material issues

Ambitions

• Community engagement and development
• Local content and responsible procurement

potential by championing the development of local content

Improving our measurement and reporting

In 2021, we also strengthened the Company's sustainability performance and reporting framework. With our partner World Wide Generation, we implemented a digital tool that allows us to track our performance on our key sustainability indicators on a month-by-month and country-by-country basis.

While anchoring our strategy around the 13 most relevant UN SDGs, we chose to integrate six additional sustainability reporting standards into our re-focused performance and reporting framework. The formal Disclosure Statements required by these are substantial documents. We plan to publish these on our website in H2 2022.

In recognition of our sustainability reporting efforts, Savannah was delighted to be shortlisted for "ESG Initiative of the Year" at the Chartered Governance Institute UK & Ireland ("CGI")

Awards in November 2021. Additionally, at the time of writing, Savannah has been shortlisted for "Best ESG Materiality Reporting (Small Cap)" at the forthcoming IR Magazine Awards - Europe 2022.

Governing sustainability at Savannah

Responsibility for the implementation of the strategy in

each of the four sustainability pillars is placed with Savannah's Executive Team and management. Sustainability is a standing agenda item at our quarterly Board meetings. The Health, Safety, Security and Environment Committee of the Board oversees compliance with the Company's framework of policies, procedures, systems and controls in place around sustainability. This Committee, which meets quarterly, receives reports on progress and performance from management and liaises with the Audit and Risk Committee of the Board on the mitigation of sustainability-related risks.

Looking ahead to 2022

Savannah is committed to further strengthening our sustainability strategy. For 2022, we plan to set targets for our strategy with the help of our expanded baseline of sustainability KPIs. We plan to publish these targets during H2 2022.

1

Promoting

socio-economic

prosperity

The first pillar of our sustainability strategy is to promote socio-economic prosperity within the countries in which we operate. Savannah's gas enabled over 10% of Nigeria's thermal power generation in 2021. In Niger, we are participating in a wider energy sector project which is forecast to contribute up to

24% of Niger's GDP by 20251. In addition, we provide a positive economic contribution through tax payments and payments to our people, suppliers and contractors, and through our social impact projects.

2021 performance

• We supplied gas enabling over 10% of Nigeria's thermal power generation and continued to play a strategic role providing a stable and reliable supply of gas to power stations and industrial users
• Our total direct socio-economic contributions to our host countries increased by 12% to US$55.1 million in 2021 (2020: US$49.3 million)
• Savannah increased its investment by 53% in eight social impact projects (2020: 11) to US$246,000 in 2021 (2020: US$161,000)
• We spent US$26.2 million in 2021 with local suppliers and contractors in Nigeria and Niger, up 57% (2020: US$16.7 million)

2022 objectives

• Develop targeted impact metrics that further measure Savannah's contribution to socio-economic prosperity in our host communities and countries
• Set targets for the most appropriate and relevant sustainability key performance indicators in this area

Strategic objectives

1 2 3 4

Principal risks

4 5 7 9 11 12 14

Contribution to UN SDGs

Reporting metrics

- Total contributions in US$

• Social impact investment in US$
• Number of social impact projects
• Payments to local suppliers and contractors in US$

1 Source: Republique Du Niger, Politique Pétrolière Nationale, December 2019