Ann: West Erregulla 2 Update - Initial Wagina Gas, page-2

The top of the Wagina formationwas encountered at 4,102m. At 19:20hrs on the 23rd of July 2019 at 4,111m, a drilling break saw the rate ofpenetration (ROP) increase to 35m/hr, coinciding with clean porous sandstone which was recovered overthe shakers. As this occurred, significant high-pressure gas began rising within the mud system with over98% C1 recorded with no fluorescence. Since this time, material gas has been coming to surface, flowingsufficiently to light the flare on the rig.The consistent gas flowing to surface has prevented further drilling operations and currently Strike has onlypenetrated 8m of the Wagina described above. These results are in line with pre-drill modelling.At this stage, Strike does not have sufficient information on pressures, permeability, flow rates or porosityto fully evaluate the interval until it runs the required wireline logs for formal evaluation of these initialresults.

sounding very positive...