LONG BEACH, Calif., March 02, 2026 (GLOBE NEWSWIRE) -- Carbon TerraVault Holdings, LLC (CTV), a carbon management subsidiary of California Resources Corporation (NYSE:CRC), today provided a 2025 update on its operating and financial results.

"Over the last year, Carbon TerraVault moved from concept to project execution and will soon commence first CO₂ injection at Elk Hills – a first-of-its-kind project in California. CTV continues to build upon its leading carbon management platform, prioritizing project de-risking and partner alignment to advance innovative energy solutions in California," said Francisco Leon, CRC's President and Chief Executive Officer. "As we enter 2026, we are focused on delivering first injection at CTV I-26R, advancing subsequent EPA Class VI permits in queue and converting our commercial pipeline into projects that will have the potential to drive high-quality, stable cash flows and provide future business diversification. CTV is emerging as the premier carbon management platform essential to helping California achieve its ambitious climate goals."

2025 Highlights

Completed construction of carbon capture equipment at the Elk Hills Cryogenic Gas Plant for California's first carbon capture and storage (CCS) project; Currently commissioning the facility and targeting first CO₂ injection at the nearby CTV I 26R storage reservoir in spring 2026, subject to EPA approval
Signed memoranda of understanding¹ (MOUs) for a combined total of 6.8 million metric tons per annum (MMTPA) with major industrial and power partners to deliver innovative, reliable, and economically viable energy transition solutions
Positioned Carbon TerraVault as a scalable voluntary carbon capture and carbon credit platform by delivering measurable year-one emissions reductions through its partnership with the Los Angeles Rams
Engaged in multiple customer discussions to supply power from the Elk Hills Power Plant, including pathways to integrate CTV's carbon dioxide (CO₂) storage reservoirs and CRC's power partner ecosystem to deliver a scaled, decarbonized energy solution

2026 Outlook and Highlights

Submitted a CO₂ storage application to the Environmental Protection Agency (EPA) for 27 million metric tons (MMT); total CO₂ storage capacity submitted to Environmental Protection Agency (EPA) for review is now 352 MMT
Anticipating the receipt of several draft EPA Class VI permits to CTV for CO₂ injection and storage in California, further advancing and de-risking a domestically leading carbon management platform
Expecting 2026 capital investments of $12 - $20 million

Carbon Management Business (CMB) Fourth Quarter and Total Year 2025 Results

Selected Financial Statement Data and non-GAAP measures:	4th Quarter		3rd Quarter			Total Year			Total Year
($ in millions)	2025		2025			2025			2024

Selected Expenses
Other operating expenses, net²	$	12	$	10		$	54		$	56
General and administrative expenses	$	3	$	4		$	13		$	15

Capital and Non-GAAP Measures
Capital investments	$	11	$	15		$	33		$	12
Adjusted EBITDAX³	$	42	$	(14	)	$	(10	)	$	(78	)

Guidance

The following table provides key CMB first quarter and full year 2026 financial and operating guidance.

CRC Guidance ($ in millions)	1Q26E	Total Year 2026E

Capital	$12 - $16	$12 - $20
Other operating expenses, net²	$2 - $10	$25 - $35
General and administrative expenses	$2 - $4	$6 - $12
Adjusted EBITDAX³	$(10) - $(5)	$(50) - $(10)

¹An MOU is a non-binding agreement. The projects and transactions described in an MOU are subject to certain conditions precedent, typically including the negotiation of definitive documents, a final investment decision by the parties and receipt of EPA Class VI permits and other regulatory approvals.

² Other operating expenses, net includes lease cost for sequestration easements, advocacy, and other startup related costs.

³See Attachment 3 of CRC's 4Q25 earnings release for the non-GAAP financial measure of adjusted EBITDAX, including a reconciliation to its most directly comparable GAAP measure. See Attachment 2 of CRC's 4Q25 earnings release for the 1Q26 and full year 2026 estimates of the non-GAAP measure of adjusted EBITDAX, including a reconciliation to its most directly comparable GAAP measure.

About Carbon TerraVault

Carbon TerraVault (CTV), CRC's carbon management business, is developing services to capture, transport and permanently store CO₂ for its customers. CTV is engaged in a series of proposed CCS projects to inject CO₂ captured from industrial sources into depleted reservoirs deep underground for permanent sequestration. For more information, visit carbonterravault.com.

About Carbon TerraVault Joint Venture

Carbon TerraVault Joint Venture (CTV JV) is a carbon management partnership focused on CCS development formed between Carbon TerraVault I, LLC, a subsidiary of CRC, and Brookfield, to develop both infrastructure and storage assets required for CCS development in California. CRC owns 51% of CTV JV with Brookfield owning the remaining 49% interest.

About California Resources Corporation

California Resources Corporation (CRC) is an independent energy and carbon management company advancing the energy transition. CRC is committed to environmental stewardship while safely providing local, responsibly sourced energy. CRC is also focused on maximizing the value of its land, mineral ownership, and energy expertise for decarbonization by developing CCS and other emissions reducing projects. For more information about CRC, please visit www.crc.com.

Forward-Looking Statements

Information set forth in this communication, including financial estimates and statements as to the effects of the Berry Merger, constitute "forward-looking statements" within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and other securities laws. All statements other than historical facts are forward-looking statements, and include statements regarding the benefits of the Berry Merger, CRC's future financial position, business strategy, projected revenues, earnings, costs, capital expenditures and plans and objectives and intentions of management for the future. Words such as "expect," "could," "may," "anticipate," "intend," "plan," "ability," "believe," "seek," "see," "will," "would," "estimate," "forecast," "target," "guidance," "outlook," "opportunity" or "strategy" or similar expressions are generally intended to identify forward-looking statements. These forward-looking statements are based upon the current beliefs and expectations of the management of CRC and are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in, projected in, or implied by, such statements.

Although CRC believes the expectations and forecasts reflected in its forward-looking statements are reasonable, they are inherently subject to numerous risks and uncertainties, most of which are difficult to predict and many of which are beyond its control. No assurance can be given that such forward-looking statements will be correct or achieved or that the assumptions are accurate or will not change over time. Particular uncertainties that could cause CRC's actual results to be materially different than those expressed in its forward-looking statements are described in its most recent Annual Report on Form 10-K and its other periodic filings with the SEC. These factors include, but are not limited to: fluctuations in commodity prices; production levels and/or pricing by OPEC, OPEC+ or U.S. producers; government policy, war and political conditions and events; integration efforts and projected synergies and other benefits in connection with the Berry Merger and other acquisitions; divestitures and joint ventures; regulatory actions and changes that affect the oil and gas industry generally and us in particular; the efforts of activists to delay or prevent oil and gas activities or the development of CRC's carbon management segment; changes in business strategy and the ability and financial resources to execute our capital plan in a timely manner; lower-than-expected production; changes to estimates of reserves and related future cash flows; the recoverability of resources and unexpected geologic conditions; general economic conditions and trends; results from operations and competition in the industries in which it operates; CRC's ability to realize the anticipated benefits from prior or future efforts to reduce costs; environmental risks and liability; the benefits contemplated by its energy transition strategies and initiatives; CRC's ability to successfully identify, develop and finance carbon capture and storage projects, power projects and other renewable energy efforts; delays from government approvals and otherwise that could affect the timing of first injection of CO2; future dividends and share repurchases and de-leveraging efforts; and natural disasters, accidents, mechanical failures, power outages, labor difficulties, cybersecurity breaches or attacks or other catastrophic events.

CRC cautions you not to place undue reliance on forward-looking statements contained in this document, which speak only as of the date hereof, and CRC is under no obligation, and expressly disclaims any obligation to update, alter or otherwise revise any forward-looking statements, whether as a result of new information, future events or otherwise. This communication may also contain information from third-party sources. This data may involve a number of assumptions and limitations, and CRC has not independently verified them and does not warrant the accuracy or completeness of such third-party information.

Contacts:

Daniel Juck (Investor Relations)

818-661-3700

CRC_IR@crc.com

Hailey Bonus (Media)

714-874-7732

CRC.Communications@crc.com

Carbon TerraVault Provides 2025 Update