Cotton Cove and Eagle Ford Projects Expand BKV’s Commercial CCS Portfolio in Texas

Combined Facilities to Sequester Over 120,000 Metric Tons of CO2 Annually

BKV Corporation ("BKV" or the "Company") (NYSE:BKV) today announced the successful start-up of its Eagle Ford carbon capture and sequestration ("CCS") facility. The milestone reflects the Company’s continued execution of its CCS growth strategy, including the successful commissioning of two additional CCS facilities during the first half of 2026. With the Eagle Ford facility now operational, BKV has further expanded its commercial CCS portfolio and strengthened its position as a leader in the development of economically sustainable carbon sequestration solutions.

Eagle Ford is the first new operational CCS facility under BKV’s strategic joint venture with Copenhagen Infrastructure Partners ("CIP"), on behalf of its Energy Transition Fund I, since the inclusion of Barnett Zero in the joint venture. The facility was developed in collaboration with a leading diversified midstream energy company and captures CO₂from a natural gas processing plant that handles Eagle Ford Shale production. BKV acquires the CO₂waste stream from the plant, then compresses and transports it to an injection well at an adjacent site, where it is permanently sequestered underground. The facility will sequester approximately 90,000 metric tons of CO₂annually, with BKV initially retaining all environmental credits generated by the project. The project reached final investment decision in mid-December 2024, received Class II injection well approval from the Texas Railroad Commission, and received monitoring, reporting and verification ("MRV") plan approval from the United States Environmental Protection Agency.

"The successful launch of the Eagle Ford project represents an important milestone for our joint venture with BKV and validates the operational excellence we anticipated from this partnership," said Karlis Povisils, Partner at CIP. "This project demonstrates the strength of our strategy and shared commitment to scaling and expanding carbon capture infrastructure solutions."

These operational milestones advance BKV's comprehensive CCS strategy across key natural gas basins. With Barnett Zero, Cotton Cove and Eagle Ford now in operation, BKV continues to demonstrate its ability to originate, develop and operate commercial-scale carbon sequestration projects. The Company is progressing additional CCS projects through various stages of development and execution as it works toward its previously announced goal of achieving a 1.5 million metric ton annual CO₂ injection rate by 2028. BKV's integrated asset base, spanning upstream production, midstream infrastructure and carbon management capabilities, positions the Company to scale its carbon sequestration platform while creating sustainable long-term shareholder value.

The Cotton Cove facility, located in the Fort Worth Basin near Fort Worth, Texas, and the Eagle Ford facility, located near Freer in South Texas, together will sequester over 120,000 metric tons of carbon dioxide ("CO₂") annually. With these facilities now operational alongside BKV’s Barnett Zero site in North Texas, the Company continues to demonstrate the viability and scalability of its integrated approach to emissions reduction.

Cotton Cove, a strategic co-development project between BKV and Banpu Power US, captures and sequesters CO₂emissions from BKV’s co-located, owned & operated midstream plant via an underground Class II injection well in deep geologic formations. The facility is expected to average approximately 32,000 metric tons of CO₂sequestration annually over its operational lifespan.

"With Cotton Cove and Eagle Ford now operational alongside Barnett Zero, we continue to demonstrate our ability to develop, build and operate commercial-scale carbon sequestration projects," said Chris Kalnin, Chief Executive Officer of BKV. "These facilities reflect the strength of our integrated business model and our commitment to delivering practical, economically sustainable carbon management solutions. As we expand our CCS portfolio, we believe our operational expertise, infrastructure and project development capabilities position us to create long-term value while advancing our emissions reduction targets."

BKV now operates three commercial CCS facilities across Texas and continues to advance a growing pipeline of carbon sequestration projects through development and execution.

About BKV Corporation

BKV Corporation (NYSE:BKV) is a forward-thinking, growth-driven energy company focused on the sustainable development and delivery of low-carbon energy solutions and baseload power. As the largest natural gas producer by gross operated volume in the Barnett Shale, BKV is strategically expanding an end-to-end value chain that leverages its assets in upstream production, midstream infrastructure, natural gas-fired power generation and carbon capture, utilization and storage (CCUS). Through this innovative, closed-loop approach, BKV solves customers’ toughest energy challenges, meeting growing power demand and enabling sustainable growth for the future. Headquartered in Denver, Colorado, BKV is committed to driving long-term, risk adjusted shareholder value by optimizing and scaling our closed-loop energy platform for a carbon neutral future. For more information, visit the BKV website at www.bkv.com.

Forward-Looking Statements

The information in this press release includes "forward-looking statements" within the meaning of the federal securities laws, including statements regarding the anticipated consummation of the proposed transaction and the timing thereof. Forward-looking statements, which are not historical facts, include statements regarding BKV’s strategy, future operations, prospects, plans and objectives of management, and often contain words such as "expect," "project," "estimate," "believe," "anticipate," "intend," "budget," "plan," "seek," "envision," "forecast," "target," "predict," "may," "should," "would," "could," "will," the negative of these terms and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain such identifying words. Forward-looking statements contained in this press release include, but are not limited to, statements regarding the expected benefits of the potential transaction to BKV, the anticipated consummation of the proposed transaction and the timing thereof. Forward-looking statements are based on management’s current expectations and assumptions, and are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict, including but not limited to assumptions, risks and uncertainties regarding satisfaction of the conditions precedent to consummate the potential transaction, including the approval by the disinterested stockholders of BPP, the timing to consummate the potential transaction, the effects of disruption to BKV’s business, transaction costs and BKV’s ability to achieve the benefits of the proposed transaction. Other factors that could cause actual results to differ from those in forward-looking statements include the demand for power and the commercial success of BKV-BPP Power. As a result, actual results could differ materially from those indicated in these forward-looking statements. When considering these forward-looking statements, you should keep in mind the risk factors and other cautionary statements discussed in BKV’s filings with the SEC, including the risks and uncertainties addressed under the heading "Risk Factors" in BKV’s most recent Annual Report on Form 10-K filed and any subsequent Quarterly Reports on Form 10-Q. BKV undertakes no obligation and does not intend to update these forward-looking statements to reflect events or circumstances occurring after this press release. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release.

View source version on businesswire.com: https://www.businesswire.com/news/home/20260630926298/en/

For BKV:

Media Contact

Becky Escott

BKV Corporation

Vice President, Corporate Communications

media@bkvcorp.com

Investor Contacts

Michael Hall

BKV Corporation

Vice President, Investor Relations

investorrelations@bkvcorp.com

Caldwell Bailey

ICR, Inc.

BKV@icrinc.com