Ann: Philippines Drilling Update, page-7

KEY POINTS

• “Proposed 2022 drilling campaign” this is similar to 15^th December ASX Announcement-“Jackup rig LOI received for drilling and testing program in the Philippines starting 1H 2022.”
• “Total Consideration for the LLI is US$2.9M” therefore sgc are paying the whole bill because there is no mention of reimbursements from other JV partners.
• “Secondary Consideration of US$1.5M to be paid on the earlier of a date that is immediately prior to the mobilization of the equipment to drill site or 12 months after Agreement Date”. The big Caveat-12 months from signing, that brings you to June 2023!
• This announcement and May’s Webinar Presentation’s states sgc WI in Nandino is 72.5% even though in ASX Announcement dated 10^th March 2022 “Nandino Prospect Farmout” Blue Sky has 48.75%. One can safely deduce that the DOE has not approved Nandino Farmin yet.