Quarterly Activities/Appendix 5B Cash Flow Report

• Wombat-5 well readied for production testing
• Portland Energy Project advancing toward potential proof-of-concept drilling
• Ongoing evaluation of Nangwarry CO₂ Project under Maison collaboration

Lakes Blue Energy (ASX: LKO) reported on its activities during the quarter ended 31 December 2025, including exploration and drilling at its Wombat Gas Project in the Gippsland Basin, progress on the Portland Energy Project in the Otway Basin, and ongoing evaluation of the Nangwarry CO₂ Project in the Otway Basin. Key highlights include: the Wombat-5 well was readied for production testing, with the wellhead installed and pressure-tested; the Portland Energy Project advanced toward potential proof-of-concept drilling, with planning continuing to support drilling during the second half of 2026; and the Nangwarry CO₂ Project continued to be evaluated under the Maison collaboration. The company also strengthened its operational capability with the appointment of an experienced General Manager of Operations. The company had a cash balance of $5.7 million at the end of the quarter, providing a solid funding position to support its planned activities.