Reference is made to Black Sea Property AS' (the "Company" or "BSP") half year
report dated September 23, 2025, and subsequent stock exchange notices, latest
from November 18, 2025, where it was informed that the previously announced
preliminary sales agreement for the resort as a whole would not be consummated
due to the funding situation of the prospective buyer.

Since the cancellation of the preliminary sales agreement, the Board of
Directors has considered alternative strategic options for EPO Aheloy (the
property owning company for the Sunrise River Beach Resort, the "Resort")
together with our local partner Boyan Bonev, with a main objective on obtaining
an exit from the Company's investment in the Resort. After having continuously
screened the market for potential buyers over the last 18 months, both directly
and through various intermediaries, it is now considered difficult and less
likely that a sales transaction on satisfactory terms can be concluded within
the timeframe of the current financing of the Company and EPO Aheloy. Both a
sale of all shares of EPO Aheloy, the property itself and all shares in the BSP
subsidiary EPO Bulgaria have been considered and presented to potential
investors.

The Board of Directors has therefore concluded that the main effort over the
next months will be to prepare for a refinancing of the Penchev Consult Ltd
("Penchev 1") loan taken up by EPO Aheloy, which carries 18% annual interest and
matures in November 2026. The outstanding amount under this loan, including
accrued interest, will reach approximately EUR 7.9 million as of November 1,
2026. 

The most realistic model for a refinancing will be to obtain a new loan from a
Bulgarian bank covering the current FIB bank loan of approx. EUR 8.0 million and
the Penchev 1 loan, i.e. totaling approx. EUR 16 million in total. The existing
KIR Ltd. ("Penchev 2") loan taken up by BSP, which carries an annual interest of
15%, will be sought extended from the current due date September 1, 2026. 

The refinancing process is still in the early stages, but our partner Boyan
Bonev has received indications that such refinancing may be arranged. The final
structure, amount and terms and conditions of any refinancing will be subject to
negotiations, approvals and market conditions, and a refinancing solution will
most likely require a certain equity contribution from the shareholders of EPO
Aheloy (ie. BSP and Trem Holding, owned by Boyan Boyan). The ambition is to
obtain an indicative refinancing offer before the summer season starts in June
2026. However, at this stage there can be no assurance that a refinancing can be
completed on commercially acceptable terms, or at all.

If a satisfactory refinancing can be achieved with an estimated loan duration of
minimum 5 - 7 years, the Company will continue its efforts to realize an
investment exit during this period. A refinancing will also open up for improved
operations of the Resort, possible partner structures and for a gradual exit
through sale of apartments at the Resort.

Currently, BSP has drawn Tranche 1 and 2 and recently also 50 % of Tranche 3 of
the Penchev 2 loan, for a total loan amount of EUR 930,000. The remaining part
of Tranche 3 and Tranche 4 of the Penchev 2 loan, and estimated rent for the
summer season 2026 of EUR 700,000, is expected to fund operations,
administration, bank principal and interest costs incurred by EPO Aheloy until
the end of 2026, however subject to final costs and timing for obtaining the
remaining acts and permissions for the completed part of the Resort.

Based on remaining proceeds from the fully subscribed right issue completed in
October 2025 and the proceeds from the sale in November 2025 of one of the land
plots in Byala owned by the company, BSP currently has a satisfactory cash
position for operating purposes. In addition, processes are ongoing for sale of
two further land plots owned by BSP, in Byala and Obzor respectively.

The shareholder loan granted from certain BSP shareholders in November 2024 of
approx. NOK 5.3 million excluding interest has not been converted by the lenders
(at the agreed conversion price of NOK 5 per share). The loan falls due in
November 2026, and the Board is considering various options for this loan. A
dialogue with the lenders will soon be initiated. The short term loan granted in
March 2025 from certain BSP shareholders of NOK 2.8 million was fully repaid
including interest in November 2025.

Further information regarding the above will be given in due course.


For further information, please contact: 

Egil Melkevik, Chairman Tel: +47 90 77 09 76 E-mail: em@ms-solutions.no 

About Black Sea Property AS: Black Sea Property AS is a real estate company with
holdings in a real estate project on the Black Sea coast called Sunrise River
Beach Resort. Sunrise River Beach Resort is a partially completed project and
will upon completion comprise approximately 950 apartments as well as
significant commercial space. Black Sea Property AS has indirect ownership to
the project and will work to finalize Sunrise River Beach Resort, to realize the
project's added value through the sale of residential units and hotel
operations.