Dear Valued Investor Partners,
Please find below your July 2026 operational update for the Cherokee Phase 1 project, covering the 2-9 well.
OPERATIONS UPDATE, JULY 2026
Status: Offline
As reported last month, daily operations on the 2-9 well concluded on June 30th in order to reduce operating expenses. The well has remained offline throughout July, and holding it in that state has kept costs to a minimum while we determine the best path forward for the project.
STRATEGIC REVIEW, NEXT STEPS FOR THE ASSET
With the wells (including Phase 2) offline, our focus has moved to securing the best long term outcome for the partnership, and we are actively pursuing a divestment of the asset.
There are established companies that specialise in taking on projects which have faced production challenges of this kind, and they take the wells on together with the end of life obligations attached to them. An arrangement of that nature would close the project cleanly for the partnership. We have begun approaching suitable parties and will report as those discussions develop.
COMING UP, AUGUST 2026
We will continue to progress discussions with prospective acquirers and will keep investors informed as that work advances.
Best regards,
THE ASE TEAM
