Dear Valued Investor Partners,
We hope this update finds you well.
LOIS ANNE #1 WELL UPDATE – PRIORITY ALLOCATION FOR INVESTORS
We are pleased to report significant progress on the Lois Anne #1 well development. As previously communicated, up to 20% working interest ownership will be allocated to the Limited Partnerships that have not yet had wells drilled, providing you with direct ownership in production.
The exact working interest percentage will be calculated once the well has been drilled and brought online. This approach accounts for potential cost overruns that ASE would absorb by selling down additional working interest if necessary. Our primary objective is to drill the wells on time and on budget to ensure we can deliver the full 20% ownership allocation in each well.
Major Milestones Achieved:
DRILLING TIMELINE UPDATE
We are currently in the drilling queue with an estimated commencement date of August 5th. However, drilling could be delayed until August 15th, depending on weather conditions and potential delays affecting the drilling rig's prior commitments. We are scheduling the road and pad construction, which (weather permitting) should commence next week.
STRATEGIC IMPORTANCE – ROAD TO REVENUE
The Lois Anne 1 well represents our first implementation of a comprehensive strategy to ensure all investors affected by the previous MXP situation can receive physical working interest in new wells and generate monthly income as soon as possible. This approach provides tangible asset ownership in wells that are in the pipeline to be drilled at our ASE Oddfellows oilfield in Oklahoma.
INVESTOR FEEDBACK & ENHANCED OPPORTUNITIES
Recent conversations with some investors have yielded extremely positive feedback. Two investors have already expressed interest in investing additional capital after reviewing the ASE Lois LP materials. As one investor mentioned, this creates a double benefit due to the attractive projected returns and the opportunity to proactively fast-track the capital raising process, expediting the drilling process of each well, and resulting in monthly income payments commencing in the shortest time frame possible.
To provide the absolute best value for all ASE investors, we have structured exceptional terms for investors who would like to benefit from investing additional capital into the ASE Lois LP. We appreciate that (at this stage) most investors may not wish to deploy any additional capital; however, based on the feedback we received from investors, we wanted to provide the same opportunity to everyone.
Special Reinvestment Investor Benefits:
PRODUCTION PROJECTIONS
Based on the strong performance of ASE 2 and ASE 3 wells, combined with geological analysis from John Downs and surrounding area production data, we are confident the new Lois LP wells will generate substantial monthly income for participating investors.
IMPLEMENTATION PROCESS
ROAD TO REVENUE
Our commitment is to continue this allocation model across all six planned Lois LP wells and future drilling projects until every affected investor receives equivalent working interest value to their original investment, ensuring complete restoration through direct oil and gas asset ownership.
ASE LOIS LP RESOURCE ACCESS
Please find below access to:
Enhanced Monitoring: As we transition into the drilling phase, you can expect more frequent portal updates documenting each stage of the process, from initial drilling through completion and into the production phase.
ASE NEW INVESTOR PORTFOLIO MANAGEMENT PLATFORM
If you have not yet received your registration email, your Limited Partnership is next in our setup queue, with registration emails being sent on a rolling basis. All remaining registrations are expected to be completed by August 18th.
For any questions or assistance with platform access, please contact Claudia Van Brugge at claudia.v@alphasevenenergy.com.
UPCOMING COMMUNICATIONS
Our next investor portal update will be released on August 11th (US time).
Best regards,
THE ASE TEAM
