Dear Valued Investor Partners,
We hope this update finds you well.
Please find below your June 2026 operational update for the Seminole County Phase 3 project, covering the ASE 4 well.
OPERATIONS UPDATE, JUNE 2026
Status: Shut-in, Development Options Under Evaluation
We are exploring the completion of the previously drilled but uncompleted Lois #1, located in the NE/4 SE/4 of Section 1, to the south of the ASE 4 and the Oddfellows lease. If the Lois #1 can be completed as a saltwater disposal well, the ASE 4 can offload its produced water to the Lois #1 and be tested in the Hunton formation again. The Hunton was previously contributing gas in the ASE 4 along with a substantial amount of water, and with dedicated disposal capacity in place, the ASE 4 has the potential to produce gas and oil.
This approach would return the ASE 4 to production rather than converting it to disposal, which we believe represents the better outcome for Phase 3 investors.
COMING UP, JULY 2026
The Lois #1 disposal permit application has been accepted by the OCC and permitting is ongoing. We will confirm the final development path for the ASE 4 once the OCC outcome is known, and we will keep investors updated as this progresses.
Our next scheduled investor portal update will be released on or before August 12th, 2026.
Best regards,
THE ASE TEAM
