Ann: August Revenue steady at A$1.8m, page-2

Hi Sec!
AUGUST REVENUE STEADY AT ~A$1.8M

AXP Energy Limited (ASX: AXP, OTC US: AUNXF), (‘AXP’, ‘the Company’ is pleased to update
shareholders on revenue performance for August with the Company recording net revenue
(being revenue after royalties) of approximately A$1.8M 1 in for the month (July 2021: $1.8M).
Revenue generated in the first two months of the September quarter is approximately A$3.6M,
and the Company confirms that barring any unforeseen circumstances, it expects to
comfortably exceed the June quarter’s net revenue of $A4,386,654.
Revenue performance in August was driven by improved downstream reliability with lower
natural gas production outages. Net revenue from sales of natural gas and natural gas liquids
(NGL) again increased to $A1,249,155 (July: A$1,187,039). The revenue increase in August is
driven by improving gas prices and the first increases of production volumes from some new
wells being brought back into production. The stable revenue was despite four days of
downstream interruptions which, had they not occurred, would have resulted in a further ~8%
in net revenue.
Net revenue from oil sales was lower at A$515,605 (July 2021: A$582,903) as the Company
moderated oil sales due to the weakness in the oil price in the earlier part of the month. As for
prior months, AXP maintains valuable unsold oil inventory of 22,152 barrels of oil.

COMMENT

Chairman Simon Johnson commented: “August was another steady month and we are on
track to deliver a strong performance in the September quarter, well up on the revenue
recorded for the June quarter. We anticipate revenue to continue steadily tracking up as we
benefit from strengthening natural gas prices and the new production that we will bring on
from the field development work. This work is ramping up now the US summer vacation season
is over. AXP is in good shape, and as in prior months, we will continue to keep shareholders
updated on our progress.”