Ann: Glenaras Gas Project Update, page-2

The recently drilled Glenaras 17A monitoring well has provided a significant breakthrough
in understanding the production characteristics within the Betts Creek coal sequence.
❖ Glenaras 17A has confirmed that the entire section from the R1 to the R7 coal is acting as
one contiguous system and is being depleted by the existing multi-lateral pilot (Pilot).
Importantly, it has also confirmed that the Betts Creek coal sequence is isolated from other
significant aquifer systems, particularly the overlying Hutton sandstone and Great Artesian
Basin.
❖ The Pilot continues to produce strongly and has achieved a significant pressure sink in the
Pilot area, which is approximately 85% progressed towards the Company’s goal of critical
desorption.
❖ Given the Pilot is depleting the entire coal section, clear potential exists to realise a much
larger initial 2P Reserves target in the order of 800 - 1,000 PJ.
❖ The remediation of the old legacy pilot wells at Glenaras and Rodney Creek has been
completed. The Pilot performance is being carefully monitored to observe any impacts from
this programme.
❖ Schlumberger has been commissioned to undertake reservoir simulation modelling to
analyse the current production and pressure performance of the Pilot and to optimise future
development options.
❖ In parallel, the Company is rapidly progressing with drilling rig contractors and long-lead
procurement for an imminent drilling campaign within the Pilot area, all of which is expected
to be well within the Company’s existing cash reserves.
❖ Discussions have commenced with the Queensland Government for the conversion of ATP
2019 to a Potential Commercial Area (PCA), representing a key step in elevating the permit
towards a Petroleum Lease.