Wombat-5 Well, Gippsland Basin, Victoria, Drilling Update

• Wombat-5 well reached total depth of 3,052mRT with 1,500m of horizontal hole
• Good sand with gas shows of up to 1,791 units or 358,200 ppm (35.82%, C1 to C5)
• Encountered tight hole during pipe pull-out, leaving 44m of Bottom Hole Assembly stuck in well

The Board of Lakes Blue Energy has provided an update on the drilling operations at the Wombat-5 well, side-track-2 (ST-2), in the Gippsland Basin, Victoria. As of 8:00 am AEST today, the well has reached a total depth of 3,052mRT (measured depth) with 1,500m of horizontal hole drilled through the gas-saturated interval at the top of the Strzelecki Formation. The last 200 meters of the well encountered good sand with gas shows of up to 1,791 units or 358,200 ppm (35.82%, C1 to C5). However, while pulling out of the hole to condition the hole in preparation for the 4-1/2' swellable packer, some tight hole was encountered, causing the drill pipe to become jammed and leaving 44 meters of the Bottom Hole Assembly stuck in the well. Management is currently assessing the best strategy to manage this issue, and the Board believes that there are a number of options available to minimize the impact of this complication.