Dear Valued Investor Partners,
We hope this update finds you well.
Please find below your June 2026 operational update for the Seminole County Phase 2 project, covering the ASE 3 well.
OPERATIONS UPDATE, JUNE 2026
Status: Producing
The ASE 3 had a strong month of production, averaging 14.5 barrels of oil per day prior to a mechanical issue late in the month. On June 24th, the weld on the engine mount at ground level cracked. The suspected cause is rain water buildup that routed out underneath the crushed rock base, which allowed the weld to become unsteady as the pumping unit operated. Thrown belts and a bent sheave were promptly fixed, and the well produced for one further day on June 26th before the mount required a full repair.
The well was down a total of 5 days during the month, which pulled the monthly average down slightly, however the underlying production rate remains strong.
PRODUCTION, JUNE 2026
Total oil produced: 326.48 barrels
Total oil sales: 0 barrels
Average daily rate prior to downtime: 14.5 BOPD
COMING UP, JULY 2026
The welding crew is on schedule for July 1st to repair the weld on the engine base, and new gravel will be added under the base to replace the washed out rock and prevent a recurrence. We anticipate the well returning to its strong production rate promptly once this work is complete.
As always, your monthly financial statement is available through your investor account portal.
Our next scheduled investor portal update will be released on or before August 12th, 2026.
Best regards,
THE ASE TEAM
