DGR GLOBAL LIMITED — Capital/Financing Update 2015

Sep 29, 2015

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Armour Energy Limited

30 September 2015

DGR Global Finance Facility

Clarification Statement

Further to today’s announcement regarding the execution of the binding term sheet with DGR Global, the Board of Directors of Armour Energy wishes to clarify that, with a binding funding agreement having been entered into by the parties, DGR Global has been advised that the approval of its shareholders for the transaction is now not required.

Accordingly, the transaction will proceed on the basis announced without being put to meeting of DGR Global shareholders.

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On behalf of the board Karl Schlobohm Company Secretary

For further information contact:

Alasdair Jeffrey John Polinelli Executive Director Director, Corporate Advisory Rowland Morgans 0404 926 768 0434 605 279

About Armour Energy

Armour Energy Limited (ASX:AJQ) is an ASX listed junior exploration and production company focused on the discovery and development of world class gas and associated liquids resources in an extensive and recently recognised hydrocarbon province in northern Australia. Its exploration tenements in Northern Australia cover an area of approximately 139,000km[2] or 34 million acres.

Today’s business environment with strong domestic and global demand for gas, gas prices trending towards LNG netback combined with proven shale extraction technologies and world class personnel, provides the Company with an extraordinary opportunity to define and ultimately develop a major new gas province.

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Armour is focusing on the exploration of the McArthur, Isa Superbasin and Georgina Basins in the Northern Territory and Queensland, and in the onshore Gippsland Basin in Victoria in joint venture with Lakes Oil, for gas and associated petroleum liquids.

Since IPO in 2012, Armour has spent approximately $60 million on a small proportion of its acreage in Northern Australia.

In September 2015 Armour agreed to acquire the Roma Self project in the Surat Basin, Queensland for $13 million from Origin Energy. The assets are strategically located connected to the Wallumbilla gas hub including valuable gas storage capacity. On completion of the acquisition, the assets will offer Armour near‐ term production and cash flow opportunities through production of gas, oil and liquids, representing a potentially key source of funding for Armour Energy’s overall growth strategy.

As announced to the ASX on 20 August 2015 AJQ signed a Letter of Intent (LOI) with American Energy Partners (AEP) for a US$100 Million farm out of the Northern Territory Assets. This has subsequently been finalised with binding agreements for an upsized US$130 Million farm‐out to earn 75% interest, with US$23 million accompanying cash payments. The farm‐in is binding, subject to due diligence and Armour shareholder approval.

On 31 August 2015, Armour received an unsolicited takeover offer from Westside Corporation Limited. The Directors of Armour advise shareholders to take no action pending completion of Armour’s Independent Expert’s Report and Target Statement which will be issued shortly after despatch of the Replacement Bidder’s Statement.

Further information regarding Armour Energy Limited is available on Armour’s website at www.armourenergy.com.au

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