Dear Valued Investor Partners,
We hope this update finds you well.
We are pleased to share a number of meaningful developments across the drilling programme this month, including the commencement of drilling on a new well and continued progress toward completing others. We want to provide you with a clear and transparent picture of where things stand.
LOIS ANNE #4-1 — DRILLING COMMENCING
Status: Final Drilling Pad Preparation Underway — Spudding Soon
We are pleased to advise that our team is currently on site completing final preparations of the drilling pad for the Lois Anne #4-1 well, with spudding scheduled to commence next week.
The #4-1 is specifically designed to target the Booch formation. As most investors will already know, our ASE #3 well has been the most successful well at the oilfield to date, producing from the Booch. The Lois Anne #4-1 is located directly to the north of the ASE #3 and, based on the analysis of our geologist John Dowds, is positioned up-dip from it — giving us a good probability of achieving similar results. The #4-1 will be followed sequentially by the #5-1 and #6-1, all of which will target the Booch formation.
An important note on the Booch formation: One of its most significant characteristics is that it produces almost zero water. As a reference point, the ASE #3 averages just 0.06 barrels of water per day. This means that even while the SWD disposal infrastructure is being progressed, we have the potential for up to four of the six new wells to come into production from the Booch without requiring the disposal system to be fully online first. The Booch has always been our primary target zone, and we are now firmly in the process of executing on that plan.
SEISMIC SURVEY — APPROVED
We are pleased to confirm that the seismic survey will be proceeding. We are currently liaising with our seismic team to confirm timing and logistics and will provide a further update once the programme is scheduled.
DISPOSAL WELL
Status: Awaiting OCC Transfer Approval
Once operational, this infrastructure will unlock completion and production optimisation activity across multiple wells. We continue to work to progress this as efficiently as possible.
LOIS ANNE #1-1
Status: Minimal Production
The well is currently producing minimal oil volumes. Once the SWD is commissioned, we will re-open the Wilcox formation perforations and potentially perforate additional zones, which is expected to deliver a substantial increase in oil and gas production from this well.
LOIS ANNE #2-1
Status: Drilled & Uncompleted (DUC) — Completion Plan in Preparation
The Booch formation has been selected as the completion target for the Lois Anne #2-1. We are currently awaiting the finalised completion plan from our geologist John Dowds and will provide investors with a completion timeline once that is in hand.
LOIS ANNE #3-1
Status: Drilled & Uncompleted (DUC) — Awaiting SWD
The Lois Anne #3-1 completion is being held pending commissioning of the Lois #1 SWD disposal well. The target formations in this well carry sustained water volumes alongside the hydrocarbons, and having the disposal infrastructure in place is essential before bringing this well into production.
LOIS ANNE WELLS #4, #5, #6 — PROGRAMME PIPELINE
With drilling due to commence on the #4-1 next week, and the #5-1 and #6-1 wells due to be drilled after the Seismic, we are pleased to report that all three wells will target the Booch formation.
OVERALL PROGRAMME OUTLOOK
We genuinely appreciate the patience investors have shown throughout this process. We want to be transparent that while there have been delays, we are now moving into a period of tangible activity. Drilling commences on the #4-1 next week, the #2-1 is due to be completed in the next few weeks, and the seismic survey is being scheduled. We will provide additional milestone updates throughout this period to keep all investors fully informed as progress is made.
Our next scheduled investor portal update will be released on or before May 12th, 2026.
Best regards,
THE ASE TEAM
