Lion Energy Limited reported that the Seram (Non- Bula) PSC joint venturers have approved the re-entry and testing plan for the Lofin-2 well in the Lofin gas field. The Joint Venture is planning to conduct the test in mid 2022 following receipt of the required long lead items. The test will enable critical fluid and reservoir information to be obtained and will be key to planning commercialisation of the impressive Lofin gas field. A staged development plan for the Lofin gas field is anticipated with potential for initial gas sales to local industry in the Seram area during extended well testing with results guiding eventual full development plan for the Lofin field. The objectives of the well test are: Improving the understanding of the reservoir characteristics. Re-affirming the contingent resource estimate of 1.45TCF for the discovery. Assessing the gas deliverability of the well for early commercialization. Enabling the preparation of a Put-On-Production ("POP") application with the Indonesian regulatory body SKK Migas. under which the joint venture would produce gas from the existing well The well test is scheduled for second quarter of 2022 at a gross cost of USD 12.3 million (net to Lion USD 0.3 million) of which approx. USD 1.054 million has already been paid by the joint venture. As previously announced, the Lofin-2 appraisal well drilled in 2015 confirmed a material gas discovery at Lofin on Seram Island, East Indonesia. The Lofin structure is a thrust-faulted four-way dip anticline located 60km west of the Oseil oil field. Lofin-2 delineated a continuous gas column of up to approximately 1,300m, making it one of the largest onshore gas discoveries in Indonesia over the last 20 years. The Lofin Gas Field was discovered in 2012 with the drilling of Lofin-1 which tested 15.7 mmcfgd and 171 bpd of 36.1° API condensate. The discovery was successfully appraised in 2015 with Lofin-2 well with results indicating a 1300m gas column. The Lofin-2 well flowed gas at up to 17.8 mmcfpd through a 52/64" choke at 2250psi wellhead flowing pressure. The well also flowed over 2000 bwpd interpreted to be from the lower part of well. The gas is good quality with less than 5% carbon dioxide. The planned new test procedures involve isolating the lower water zone by setting a cement plug above the interpreted water zone. The test procedure is designed to provide essential data on field reservoir and well deliverability.