Muara Enim PSC Update, page-2

Extracted from NGY's updated Quarterly report ended June 2023 on Muara Enim PSC which was released today -
NuEnergy has on 18 January 2021 received an acknowledgement letter from SKK Migas. The acknowledgement letter:

i) confirms the discoveries of natural gas;
ii) acknowledges the completion of exploration firm commitments by NuEnergy; and
iii) allows NuEnergy to submit a plan of development within the next 3 years from 18 January 2021.

There has been no major activity during the current quarter.

Tax Exemption Facilities from the the Indonesian Ministry of Finance

As announced by NuEnergy on 23 June 2023, its wholly-owned subsidiaries, DETE and DEMU, both with Gross Split Production Sharing Contracts (“Gross Split PSC”) has respectively on 22 June 2023, received letters dated 21 June 2023 from the Indonesian Ministry of Finance, on the award of tax exemption facilities (“Tax Exemption Facilities”) from the Indonesian Ministry of Finance to DETE and DEMU.

The following Tax Exemption Facilities for both DETE and DEMU continues throughout the exploration period until the start of commercial production:
a) value-added taxes and luxury-goods sales tax (if any) on the following purchases intended for oil and gas operational purposes are treated as not-collected:
- taxable goods and/or services; and
- taxable offshore intangible goods and/or services utilised within the Indonesian Customs Area.
b) 100% reduction of Land and Building Tax (Pajak Bumi dan Bangunan (LBT));
which shall be effective from the respective dates of the Gross Split PSCs and shall expire on the earlier of the
below events:
i) the expiry of the respective Gross Split PSC;
ii) the termination of the respective Gross Split PSC prior to commercial production; or
iii) upon commencement of commercial production.