MEO Australia Limited advise the following update in relation to Zeus-1 (MEO 35%, Operator), being drilled in WA-361-P in the Carnarvon Basin, offshore Western Australia. Zeus-1 has been drilled to a total depth of 3,642m in 12-1/4” (311mm) hole. Preliminary analysis based on mudlog gas indications and limited (Gamma Ray/Resistivity) Logging While Drilling (LWD) tools indicates the following:

1. The target Legendre Formation was expected at around 3,455m. Approximately 44m gross section of potential reservoir section is present from approximately 3,448m – 3,492m. Mudlog gas readings through this interval were elevated over background readings and reached a peak of approximately 165 units (~3%) in the upper part of this interval. The resistivity readings from the LWD tool is considered inconclusive.

2. The secondary target in the Basal Forestier formation does not appear to have developed reservoir properties at Zeus-1 and is therefore not considered prospective at this location.

An expanded suite of formation evaluation tools will now be run to ascertain whether any moveable hydrocarbons are present at the Zeus-1 location. In the event that hydrocarbons are confirmed by these evaluation tools, formation pressures and samples will be collected. Present operation Conditioning hole in preparation for running an expanded suite of formation evaluation tools.

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