BEACH ENERGY LIMITED — Capital/Financing Update 2012

Jul 16, 2012

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ASX Announcement

Exploration success at the Mustang-1 oil well

Release Date: 17 June 2012

Senex Energy Limited (Senex), as operator of the PEL 111 joint venture in the South Australian Cooper Basin, is pleased to advise that the Mustang-1 oil exploration well has discovered a new oil field on the western flank of the Cooper Basin, with excellent flow rates achieved during testing.

KEY POINTS

• New oil field discovery on the western flank of the Cooper Basin

• Excellent quality reservoir with highly permeable oil filled sands

• Interpreted net oil pay of 4.0 metres

• Oil flowed to surface during testing after 23 minutes

• Oil flow was measured at surface at a rate equivalent to 2,484 barrels of oil per day

The Mustang-1 oil exploration well was spudded on 4 July 2012 and reached a total depth of 2,123 metres on 12 July 2012. Wire line logs confirmed the presence of a 4.5 metre gross oil column in the oil-bearing sands of the mid-Birkhead Formation over the interval 1,787.0 to 1,791.5 metres with interpreted net oil pay of 4.0 metres.

A Drill Stem Test was conducted between 1,784.8 and 1,791.5 metres with the well flowing oil to surface after 23 minutes. Continued flow at surface recovered 34.5 barrels of 45.4 degree API oil with no water from a 20 minute flow, equivalent to a rate of 2,484 barrels of oil per day.

The well will be cased and suspended as a future oil producer.

Senex Managing Director, Ian Davies said the result was extremely pleasing for the PEL 111 joint venture.

“The exploration success at Mustang-1 has significantly exceeded our expectations.

“To achieve a free flow production rate of almost 2,500 barrels of oil per day is an outstanding result, and is analogous to the excellent results seen at the highly productive Growler oil field”, he said.

Senex holds a 60% interest in PEL 111 and is the Operator of the joint venture. The remaining 40% interest is held by Beach Energy Limited.

Senex Energy Limited Head Office ABN 50 008 942 827 Level 11, 144 Edward St, Brisbane Qld 4000 GPO Box 2233, Brisbane Qld 4001

T +61 7 3837 9900 F +61 7 3837 9999

info@senexenergy.com.au senexenergy.com.au

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ASX Announcement

For further information contact:

Ian Davies Managing Director Senex Energy Limited Phone: (07) 3837 9900

Figure 1: Location of Mustang-1

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----- Start of picture text ----- Senex Energy Limited Head OfficeABN 50 008 942 827 Level 11, 144 Edward St, Brisbane Qld 4000 T +61 7 3837 9900 info@senexenergy.com.auGPO Box 2233, Brisbane Qld 4001 F +61 7 3837 9999 senexenergy.com.au----- End of picture text -----

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