Pancontinental Energy NL (PCOGF)

[DrillaHill]

Tulainyo-2 appraisal-well: 2tcf pmean prospective resources (net 338bcf)



Series of stacked sandstone reservoirs at depths of less than 1,700 m.

The Tulainyo-1 discovery well and side track wells were drilled on the Sites Anticline
in 2014 to 2015, discovering gas in a series of stacked sandstone reservoirs at
relatively shallow depths of less than 1,700 m. High gas shows of 1,000 to 5,000
units were recorded against elevated mud weights. The sands could not be tested
due to mechanical difficulties.

Tulainyo-2 will be a “proof of concept well” to evaluate and flow test the gas sands
penetrated at depths less than 1,700m (c. 5,500 feet) by the Tulainyo-1 discovery.
Bombora has worked closely with the Tulainyo Joint Venture to prepare a robust well
plan for Tulainyo-2, incorporating standard industry techniques and expertise from
similar over pressured, gassy operating Environments

The Ensign Rig 587 is currently mobilising to the drill site and will commence operations
shortly. The well is planned to a total, measured depth of approximately 1,700 metres
(5,600 feet) with drilling operations expected to take less than one month to complete.

Commenting on the new drilling program, Pancontinental CEO John Begg said:

“It’s an exciting period of activity for Pancontinental. We are already underway with a
flow testing program at the Dempsey-1 gas discovery for which we have high
expectations. Now we are set to evaluate the potentially very large Tulainyo Gas
Discovery. Both projects are in the Sacramento Gas Basin, California and we are
partnered with very capable operators. The projects are located near extensive gas
reticulation infrastructure and there is a ready market for any gas we prove up.”