Dear Valued Investor Partners,

We hope this update finds you in good health.

As you are aware, BCB Fund LLC distributes available cash to its members. Unfortunately, for the April to June quarter, BCB Fund LLC did not receive any revenue; therefore, no dividends will be released. However, we have some positive developments to share.

Positive Developments:

• Cherokee Phase 1: Now back in production.
• Cherokee Phase 2: Several wells have recently entered the production phase, with the remaining wells expected to come online in the next two weeks.
• Seminole County Project: We are very confident that we will regain absolute control over this project in a short period.
• New Project: Capital raising has commenced for a new project involving 15 active income-producing oil wells.
• A portion of the revenue from these projects, beyond CAPEX operating costs and unpaid expenses, will be delivered to BCB Fund LLC for the purpose of dividend release. These developments indicate a bright future for Alpha Seven Energy (ASE) and our investors. ASE’s success directly benefits each of our investors, including all BCB Fund members.

ASE’s New Project Capital Raising and Asset Acquisition:

• Commencement: Capital raising began on Friday, June 28, 2024.
• Initial Purchase: Plan to purchase 50% of the oilfield asset in August, contingent on raising the first half of the capital funding target of USD 2.1M.
• Revenue Allocation: Upon finalizing the first half of the asset acquisition, ASE will receive a portion of the working interest that will generate net revenue from oil sales. A portion of this sales revenue, beyond CAPEX operating costs and unpaid expenses, will be delivered to BCB Fund LLC for dividend release.
• Ongoing Capital Raising: We continue to raise capital for the remaining 50% of the oilfield asset, aiming to hit the remaining USD 2.1M target. This will provide further additional working interest to ASE, which will be used for BCB Fund distributions beyond CAPEX operating costs and unpaid expenses.
• Goal: Achieving the total capital raise as quickly as possible will enable ASE to promptly utilize a portion of the net revenue to pay BCB Fund LLC. The rate of capital raising will determine the profit margin that can be set aside for BCB Fund LLC.
• Allocation Details: The exact allocation for each 50% will be known upon completing the capital raise for each acquisition.

Extensive Infrastructure and Production History:

• Oil Wells: 15 income-producing wells.
• Facilities: Two large oil storage and handling facilities.
• Gas Wells: Three gas wells that assist in powering both the West and East facilities.
• Water Injection Well: One.
• Inactive Wells: Six in total.
• Production Data: Comprehensive data and history.
• Production History: Robust data since 1960 with detailed reserve reports and evidence to accurately estimate remaining oil reserves.
• Current Daily Production: 44.23 to 46.18 barrels of oil per day (BOPD), generating significant net profit before tax (NPBT) paid as monthly revenue disbursements.
• Potential Production Increase: Up to 107.3 BOPD, possibly as high as 130.9 BOPD, by implementing our strategic Three-Step Plan.

The ASE Strategic Three-Step Plan:

1. Maintain and Enhance Efficiency:

• Maintain current production levels.
• Conduct minor works to increase oilfield efficiency.

2. Deepen Selected Wells:

• Drill selected wells deeper by approximately 25 feet to significantly increase asset value and payable monthly NPBT.
• A proof of concept well was drilled deeper by 25 feet approximately four years ago, resulting in a massive increase in oil production.

3. Pressure Maintenance Program Implementation:

• Conduct a proven pressure maintenance program to extract secondary hydrocarbons and produce the remaining primary reserves.
• Extract an estimated number of barrels based on current production and additional untouched pay zones located 10-25 feet below the current wells' total measured depth (TMD).

Accessing Project Information:

• Details: Housed within a password-protected page accessible using your investor portal login credentials.
• NDA: Due to the sensitive nature of the information, an electronic Non-Disclosure Agreement (NDA) must be agreed to before reviewing the project details. Click the link below, read the NDA, and agree to proceed.

http://www.alphasevenenergy.com/ase-latest-project

Once again, thank you for your patience. We look forward to providing another portal update once all remaining works have been completed.

Best regards,
The ASE Team