Borba Well : Chance of Success 70 % ( Finfeed ), page-7

'' Sacgasco Limited ABN 83 114 061 433
Unit 14, 210 Bagot Road, Subiaco, WA, 6008.
T +61 8 9388 2654 E [email protected]
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Announcement to ASX : 1 March 2021

Borba 1-7 Surface Casing Set

Preparing to Drill Ahead to First Natural Gas Target

Sacgasco Limited (ASX: SGC) (“Sacgasco” or “the Company”) is pleased to announce that 13 3/8” casing has
been run and cemented at a depth of 1,828 feet as planned.

Graham Rig 5 drilled to 1,828 feet in 17 ½” hole out of the 20” conductor set at 50 feet.

Fig. 1: 13 3/8” Casing now cemented to 1,828 Feet in Borba 1-7 Well

The well is currently preparing to drill out of the casing shoe before drilling ahead in 12 1/4” hole.

The Borba 1-7 well will be drilled directionally to test multiple stacked 3D seismic anomalies in the interval from
3,200 feet (975 metres) to 9,500 feet (2,800 metres) depth and finish in Basement rocks.

The prospective interval covers around 6,300 feet (1,920 metres).

The well is expected to take some 25 - 35 days to drill.

Sacgasco Limited

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Fig. 2: Extracted 3D Seismic Line along Drilling Path for Borba 1-7 well

The Working Interests (“WI”) in the Borba 1-7 well and Borba AMI are:

Drilling Costs After Drilling WI

Sacgasco Limited (Operator) (ASX: SGC) 62.5% 66.67%

Xstate Resources Limited (ASX: XST) 37.5% 33.33%
Sacgasco Limited

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Sacgasco’s Managing Director Gary Jeffery commented:

“The Borba 1-7 well is progressing to plan.

The large-diameter directional hole has been drilled through
challenging river gravels and achieved the planned casing point with pin-point accuracy.

Borba is a technically compelling, low-risk onshore prospect, located in “Big Gas Country” in the massively
under-supplied and hence premium priced 7 Bcf per Day Natural Gas Market that is California.

We look forward to reporting on progress and hydrocarbon shows as we drill this exciting well. The next casing
point, planned for around 6,000 feet, will be determined by key drilling parameters including pressure and
mud-weight.

We will continue to keep shareholders informed of progress.”

Fig. 3: Borba is located in “Big-Gas Country” in an Insatiable Natural Gas Market

For and on behalf of the Board of Sacgasco Limited.

Gary Jeffery

Ben Jarvis

Managing Director Six Degrees Investor Relations
+61 8 9388 2654 +61 (0) 413 150 448 ''