JRI IVZ Fireside Chat - March 26, page-37

Hi Matt,

In the event that the flow test results indicate lower permeability (Kh) than expected, will there be hydraulic fracturing equipment at the well site ready to stimulate the 35m sands if necessary?

Given that there has been no evidence of water in M-2ST so far, will they consider performing hydraulic fracturing of the tightest gas bearing sands (log porosities in the range 6 - 8%)? If these zones are capable of flowing gas at reasonable rates, they should be capable of achieving a balanced offtake in future production wells, thereby helping to maximise economic recovery.

In the event that the 35m sands have good Kh, but the skin damage is too high, are they planning on running wireline conveyed propellant guns e.g. Pulsefrac or Stimtube?

An MDT fluid sample was obtained from a sand layer in M-2ST with 8.5% porosity. The porosity was apparently below the cut off at that time. Have the basic lab poro-perm tests been completed, and can you confirm an updated net pay thickness and porosity cut off, please?