BEACH ENERGY LIMITED — Management Reports 2013

Aug 6, 2013

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July 2013

For Immediate Release – 7 August 2013 Ref. #041/13

ASX Ltd/SGX Singapore Exchange Ltd Companies Announcement Office Electronic Lodgement System

AUSTRALIA

Cooper Basin Deep Onshore Gas Project

The vertical exploration campaign continued in ATP 855 (Beach Energy Ltd (Beach) 46.9% and operator, Icon Energy Ltd 35.1%, Chevron Australia Exploration 1 Pty Ltd (Chevron) 18%) with Hervey-1 and Keppel-1. Hervey-1 was cased and suspended after intersecting more than 800 metres of the Patchawarra Formation and reaching total depth of 4,266 metres. Keppel-1 was drilled to approximately 3,900 metres before drilling was suspended due to elevated gas in the drilling mud. Significant gas influx within the well appears to be the result of high pressure gas from within the target zone. Beach has taken the necessary steps to make the well safe and is considering the options to recommence drilling operations at Keppel-1.

Drilling in PEL 218 (Beach 70% and operator, Chevron 30%) recommenced on 3 August with Rapid-1, a vertical exploration well, located in the western part of the permit. Rapid-1 is currently setting surface casing at 1,099 metres.

Cooper-Eromanga Oil – Western Flank

In PEL 91 (Beach 40% and operator, Drillsearch Energy Ltd 60%), Bauer-11 was drilled to further develop the Bauer oil field and provide additional structural control in the north of the field. The well intersected a 10 metre gross column including 6 metres in the highly permeable Namur sandstone. The well was cased and suspended as a future oil producer.

Also in PEL 91, Chiton-2 has been drilled to total depth of 1,718 metres and is currently preparing to run wireline logs. Chiton-2 is located updip of the Chiton-1 oil discovery and will appraise the Namur Sandstone and McKinlay Formation.

Monthly Drilling Report –July 2013

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In PEL 92 (Beach 75% and operator, Cooper Energy Ltd 25%), the Hooper-1 exploration well was plugged and abandoned after failing to intersect hydrocarbons. Hooper-1 was targeting the Namur Sandstone which is productive in multiple oil fields to the east, including the nearby Rincon oil field in PEL 92, and the Bauer oil field in PEL 91.

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Cooper Basin Oil and Gas Exploration and Development

As a result of a Saxon rig incident (unrelated to any Beach operations), a number of Saxon rigs were shut down for most of July. Drilling operations recommenced in Cowralli-17 and -27, Okotoko West3 and Charo-18 toward the end of July to early August.

The gas development program in Queensland (Beach 23.2%, Santos Ltd (Santos) 60.3% and operator, Origin Energy Ltd (Origin) 16.5%) recommenced on 4 August with Okotoko West-3, which is drilling ahead at 855 metres.

In the South Australian Cooper Basin Joint Venture gas development (Beach 20.21%, Santos 66.6% and operator, Origin 13.19%), Cowralli-27 was spudded on 22 June and has drilled to a depth of 3,421 metres. Cowralli-17 was spudded on 29 July and is drilling ahead at 1,941 metres. An unconventional gas exploration well, Langmuir-1 was also spudded in July and is currently drilling ahead at 1,710 metres.

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Monthly Drilling Report –July 2013

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In the South Australian Cooper Basin oil development program (Beach 20%, Santos 55% and operator, Origin 25%), Cook-24 was cased and suspended as a future Hutton oil producer, while Cook-25 was plugged and abandoned. Cook-27 is currently drilling 8-1/2" directional hole in the Birkhead formation at a depth of 1,911 metres.

Drilling in the Charo field (Beach 20.21%, Santos 66.6% and operator, Origin 13.19%) recommenced on 30 July with the Charo-18 oil appraisal well, which is currently drilling ahead at 1,813 metres.

INTERNATIONAL

Abu Sennan Concession, Egypt (Beach 22%, Kuwait Energy Egypt Ltd 50% and operator, Dover Investments Ltd 28%)

El Salmiya-2 ST1 is currently performing testing operations on the Kharita Formation, having reached total depth of 4,221 metres in the Kharita Formation. Hydrocarbon shows were observed in the Abu Roash "C" and "E" Members, the Bahariya Formation and the Kharita Formation.

Elsewhere in the permit, ASB-1X is at 3,745 metres and directionally drilling ahead to the 9 5/8" casing point. This well is testing a prospect that has Late Cretaceous and Jurassic exploration targets.

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North Shadwan Concession, Egypt (Beach 20%, BP Exploration (Delta) Ltd 50% and operator, Tri-Ocean Energy Company 30%)

The NS 394-4 exploration well is drilling ahead directionally at 3,856 metres to the 9 5/8” casing point. The primary target in this well is the Cretaceous aged Nubia Sandstone, with secondary potential in the Miocene aged Rudeis and Nukhul reservoirs. This is a test of the adjacent fault block to the NS 394 oil discovery, with the well to be directionally drilled from the eventual location of the NS 394 development facility. This will enable easy tie-back in the event of a discovery.

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Monthly Drilling Report –July 2013

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Est Cobalcescu Concession, Black Sea, Romania (Beach 30%, Melrose Resources Romania 40% and operator, Petromar Resources 30%)

It is anticipated that the 01RX Cobalcescu South Exploration Well in Block EX-28, off shore Romania, will be spudded during the August reporting period. The well is to be drilled by the GSP Prometeu jack up rig in 88 metres of water and will be drilled to approximately 3100 metres. Drilling is expected to take 60 days. The well is testing the hydrocarbon potential of Pontian (upper Miocene) aged sands at various levels with an unrisked mean prospective resource of 411Bcf.

There have been numerous discoveries offshore Romania including the recent Exxon Mobil and OMV Petrom Domino discovery in the adjacent block, with initial estimates being 1.5 to 3.0 Tcf.

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Drilling Report - Period ending Wednesday 7th August 2013

Well	Participants	Progress & Summary	Primary Targets
Chiton-2	BPT* 40.00% DLS 60.00%	Report Time: Depth: Operation: Progress: 1499m 0600 hrs (CST) 07/08/2013 1718m (TD) Running wireline logs.	Namur Sandstone, Birkhead Formation,
C/E Basin,SA PEL 91 Oil Appraisal
Bauer-11	BPT* 40.00% DLS 60.00%	Report Time: Depth: Operation: Progress: Well is cased and suspened as a future Hutton 1737m Sandstone oil producer. 0600 hrs (CST) 07/08/2013 1737m (TD)	Namur Sandstone, Birkhead Formation,
Oil Appraisal C/E Basin,SA PEL 91
Hooper-1	BPT* 75.00% COE 25.00%	Report Time: Depth: Operation: Progress: 1809m 0600 hrs (CST) 07/08/2013 1809m (TD) Well is plugged and abandoned.	Namur Sandstone, Birkhead Formation, Hutton Sandstone
C/E Basin,SA PEL 92 Oil Exploration
Rapid-1	BPT* 70.00%	Report Time: 0600 hrs (CST) 07/08/2013	Roseneath Shale,
Exploration Deep Onshore Gas PEL 218 Cooper,SA	CVX 30.00%	Depth: Operation: Progress: Drilling ahead. 1099m 1099m	Epsilon Formation,
			Murteree Shale, Patchawarra Formation, Toolachee Formation.
Keppel-1	BPT* 46.90%	Report Time: 0600 hrs (EST) 07/08/2013	Roseneath Shale,
Deep Onshore Gas Cooper,QLD ATP 855P Exploration	ICN 35.10%	Depth: Operation: Progress: 3898m 351.5m Setting cement plugs.	Epsilon Formation,
	CVX 18.00%		Murteree Shale, Patchawarra Formation, Toolachee Formation.

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Monthly Drilling Report –July 2013

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Hervey-1	BPT* 46.90%	Report Time: 0600 hrs (EST) 07/08/2013	Roseneath Shale,
ATP 855P Deep Onshore Gas Cooper,QLD Exploration	ICN 35.10%	Depth: Operation: Progress: 4269m (TD) 300m Well is cased and suspended for futher evaluation.	Epsilon Formation,
	CVX 18.00%		Murteree Shale, Patchawarra Formation, Toolachee Formation.
Okotoko West-3	BPT 23.20%	Report Time: 0600 hrs (EST) 07/08/2013	Patchawarra Formation,
PL 106	STO* 60.06%	Depth: 855m	Tirrawarra Formation.
Gas Development C/E Basin,QLD	ORG 16.50% APL 0.24%	Operation: Progress: 855m Drilling ahead.
Cowralli-17	BPT 20.21%	Report Time: 0600 hrs (CST) 07/08/2013	Patchawarra Formation,
PPL 91	STO* 60.60%	Depth: 1941m	Tirrawarra Formation.
C/E Basin,SA Gas Development	ORG 13.19%	Operation: Progress: 1941m Rig on standby.
Cowralli-27	BPT 20.21%	Report Time: 0600 hrs (CST) 07/08/2013	Patchawarra Formation,
PPL 91	STO* 60.60%	Depth: 3421m(TD)	Tirrawarra Formation.
Gas Development C/E Basin,SA	ORG 13.19%	Operation: Progress: 2651m Circulating hole at TD.
Langmuir-1	BPT 20.21%	Report Time: 0600 hrs (CST) 07/08/2013	Roseneath Shale,
PPL 102	STO* 66.60%	Depth: 1710m	Epsilon Formation,
Gas Appraisal C/E Basin, SA	ORG 13.19%	Operation: Progress: 1710m Drilling ahead.	Murteree Shale, Patchawarra Formation, Toolachee Formation.
Cook-27	BPT 20.00%	Report Time: 0600 hrs (EST) 07/08/2013	Hutton Sandstone,
PL 97	STO* 55.00%	Depth: 1911m	Birkhead Formation.
C/E Basin,QLD Oil Development	ORG 25.00%	Operation: Progress: 1911m Drilling ahead.
Cook-24	BPT 20.00%	Report Time: 0600 hrs (EST) 07/08/2013	Hutton Sandstone,
PL 97	STO* 55.00%	Depth: 2059m (TD)	Birkhead Formation.
Oil Development C/E Basin,QLD	ORG 25.00%	Operation: Progress: 72m Well is cased and suspended as a future Hutton Sandstone oil producer.
Cook-25	BPT 20.00%	Report Time: 0600 hrs (EST) 07/08/2013	Hutton Sandstone,
PL 97	STO* 55.00%	Depth: 2053m (TD)	Birkhead Formation.
C/E Basin,QLD Oil Development	ORG 25.00%	Operation: Progress: 2053m Well is plugged and abandoned.
Charo-18	BPT 20.21%	Report Time: 0600 hrs (CST) 07/08/2013	Birkhead Formation,
PPL 177	STO* 66.60%	Depth: 1813m	Mid Birkhead Formation.
Oil Appraisal C/E Basin,SA	ORG 13.19%	Operation: Progress: 1813m Rig on standby.
NS394-4	BPT 20.00%	Report Time: 0600 hrs (local) 06/08/2013	Nubia, Nukhul,
North Shadwan	BP* 50.00%	Depth: 3856m	Rudies
Oil Exploration Egypt	TO 30.00%	Operation: Progress: Drilling ahead. 2569m
El-Salmiya-2 ST1	BPT 22.00%	Report Time: 0600 hrs (local) 06/08/2013	Abu R'sh C, E, G
Abu Sennan	KEE* 50.00%	Depth: 4221m (TD)	Bahariya
Oil Development Egypt,Western Desert	DOV 28.00%	Operation: Progress: Testing operations 122m
ASB-1X	BPT 22.00%	Report Time: 0600 hrs (local) 06/08/2013	Abu R'sh C, E, G
Abu Sennan	KEE* 50.00%	Depth: 3745m	Bahariya, Khatatba
Oil Exploration	DOV 28.00%	Operation: Making up 12.25" directional assembly
Egypt,Western Desert		Progress: 849.5m
ORG Origin Energy Resources STO Santos Limited DLS Drill Search DOV Dover Investments ICN Icon Energy CVX Chevron Australia TOE Tri Ocean Energy BP BP Exploration (Delta) BPT Beach Energy Ltd ( * ) Operator KEE Kuw ait Energy Egypt COE Cooper Energy

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Monthly Drilling Report –July 2013

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Neil Gibbins Chief Operating Officer

For more information contact

Corporate

Reg Nelson Beach Energy Limited +61 8 8338 2833 Neil Gibbins Beach Energy Limited +61 8 8338 2833 Investor Relations Chris Jamieson Beach Energy Limited +61 8 8338 2833

Investor Relations

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