American Noble Gas, Inc. provided an update on its drilling and completion operations regarding AMGAS's participation in its previously announced farm-out agreement (the “Hugoton Farm-out Venture”) to develop its oil and gas and brine interests in the Hugoton Field in Haskell and Finney Counties Kansas. The initial well was successfully drilled and logged indicating the potential discovery of substantial new reserves within the Hugoton Gas Field which the Company believes could reinvigorate the Hugoton Gas Field. The initial well in which AMGAS has acquired a 40% participation together with three other venture partners was spud on May 7, 2022 with production casing set after testing and completion logs identified at least two potential zones with substantial gas and helium reserves.

One of the zones of particular interest revealed a gas show across it. This particular zone was below previous completion attempts in a neighboring well and the completion logs of the zone revealed indications of permeability. The other zone that was previously completed in a neighboring well appeared to release gas while drilling indicating that gas reserve potential exists.

The initial well was successfully perforated last week across two lower intervals of the Chase group of formations. The fracture stimulation has been designed to include at least two stages, the first of which will commence on or about June 20, 2022. This stimulation will consist of sand and nitrogen-based foam across the existing perforated intervals.

The second stage will be performed across an upper interval to be perforated shortly after the first frac stage. The Company expects data on flow rates and gas composition the first week of July. Electricity and pipeline infrastructure are currently being prepared to connect the new well to produce the potential methane and helium gases and for disposal of produced water.

AMGAS and its Venture partners intend to complete the well as expeditiously as possible subject to potential adverse weather conditions and the availability of raw materials and oil and gas service companies. The Company will continue to apprise investors as additional information becomes available.