Petro Matad Limited provided the operational update. Rig arrival and Velociraptor 1 spud are forecast during the first half of June. Mobilization of site construction equipment to the Velociraptor 1 well location has commenced.

Documentation proposing the certification of the Block XX Exploitation Area as Special Purpose Land for submission to Cabinet is being prepared by the ministries responsible. Negotiations with the Government for a new block in Mongolia's 2023 Exploration Tender Round are continuing. Block V Exploration Mobilisation of equipment to prepare the drilling location and to set-up the camp for Velociraptor 1 operations has commenced.

A ll required equipment for the well is in the country. The water source well for the operation has also been prepared for production. All activities are planned to be completed in advance of rig arrival which is forecast by contractor Major Drilling to arrive at site in early June and to spud the well by the middle of the month.

The Velociraptor 1 Well is expected to reach the prognosed total depth of circa 1,500 metres in circa 30 days following which the well will be logged and the results evaluated. In the event of encouragement in the well, the rig contract allows for follow up with an appraisal well. All permits are in place for Velociraptor1 and the contingent appraisal drilling.

Velociraptor 1 is targeting an inversion anticline with recoverable resource potential of 200 million barrels and the adjacent Oviraptor and Tsagaanraptor prospects would be significantly de-risked by success and have the potential to triple the resource potential on the exciting Raptor Trend. Whilst there has been very little exploration drilling done in this part of Mongolia, Velociraptor 1 are located 7 km south of the Snow Leopard 1 well drilled by Petro Matad in 2018. This well found excellent oil source rocks and oil shows and proved that there is a working petroleum system in the Taats Basin in which the Velociraptor prospect is well located to receive hydrocarbon charge.

With the well cost estimated to be less than $2 million, with attractive fiscal terms and a low cost onshore operating environment, Velociraptor 1 is an excellent opportunity in global oil exploration.