ECHELON RESOURCES LIMITED — Interim / Quarterly Report 2021

Jan 28, 2021

QUARTERLY REPORT OF CONSOLIDATED CASH FLOWS NEW ZEALAND OIL & GAS LIMITED

For Quarter ended 31 December 2020

Quarterly Report of Consolidated Cash Flows prepared in accordance with NZSX Listing Rule 10.10.4. These figures are based on accounts which are unaudited. All figures are in New Zealand dollars. The Company has a formally constituted Audit Committee of the Board of Directors.

NZSX Ref Notes 1 Cash Flows Relating to Operating Activities (a) Receipts from product sales and related debtors (b) Payments for: exploration and evaluation for development for production for administration (c) Dividends received (d) Interest and other items of a similar nature received (e) Interest and other costs of finance paid (f) Income taxes (paid)/received (g) Royalties (h) Other (i) Net Operating Cash Flows	Current Quarter Dec-20 $NZ'000	Year to Date (6 months) $NZ'000
	9,110 (10,093) (711) (2,643) (2,268) - 42 - (1,031) (4) 64	15,931 (11,846) (3,347) (5,262) (5,438) - 100 - (2,169) (804) (26)
	(7,534)	(12,861)
2 Cash Flows Related to Investing Activities (a)(i) Cash paid for purchases of: prospects (a)(ii) equity investments (a)(iii) other fixed assets (b)(i) Cash proceeds from: sale of prospects (b)(ii) equity investments (b)(iii) other fixed assets (c) Loans to other entities (d) Loans repaid by other related entities (e) Other (provide details if material) (f) Net Investing Cash Flows	- - (203) - - - - - -	- - (236) - - - - - -
	(203)	(236)
3 Cash Flows Related to Financing Activities (a)(i) Cash proceeds from issue of NZOG shares (a)(ii) Buyback of NZOG shares (a)(iii) Capital return (b) Proceeds from sale of forfeited shares (c) Borrowings (d) Repayment of borrowings (e) Dividends paid (f) Other - Office leases (g) Net Financing Cash Flows	- - - - - - - (65)	- - - - - - - (144)
	(65)	(144)
4 (a) Net Increase/(Decrease) in Cash Held (b) Cash at beginning of quarter/year (c) Exchange rate adjustments to Items 4(a) above (d) Cash at End ofQuarter	(7,802) 103,305 (5,733) 89,770	(13,241) 110,754 (7,743) 89,770

Notes:

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NZSX Ref

5

Non-Cash Financing and Investing Activities

5(a)

Provide details of financing and investing transactions which have had a material effect on consolidated assets and liabilities but did not involve cash flows

N/A

5(b)

Provide details of outlays made by other entities to establish or increase their share in projects in which the reporting entity has an interest

N/A

6 Financing Facilities Available

Provide details of used and unused loan facilities and credit standby arrangements, adding such notes as are necessary for an understanding of the position.

None

Notes	Amount Available $million	Amount Used $million
	N/A	N/A

Notes:

7

Estimated Outlays for Specified Quarter

Notes Exploration and evaluation 1 Development 2 Total	Current Quarter $NZ'000	Following Quarter $NZ'000
	13,575	18,941
	1,165	815
	14,740	19,756

The outlays to be shown in this column are the estimates made for this quarter in the previous quarterly report. When these estimates differ by more than 15% from the actual outlays reported in Item 1(b) of this report, provide an explanation of the reason(s) for these differences as an attachment to this report.

Notes:

1 Timing 2 Timing

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NZSX Ref

8

Reconciliation of Cash

For the purposes of this statement of cashflows, cash includes: bank bills, cash on hand and at bank, short term deposits and government stock less any overdraft.

Reconciliation of cash at the end of the quarter (as shown in the consolidated statement of cash flows) to the related items in the accounts is as follows:	Current Quarter $NZ'000	Previous Quarter $NZ'000
Cash on hand and at bank Deposits at call, term and bank bills Bank overdraft Other – Joint venture cash	16,935	14,408
	72,347	88,181
	-	-
	488	716
Total: Cash at End ofQuarter (Item 4(d)/4(b))	89,770	103,305
The above cash at end of quarter includes cash held in the followingmaterial currencies:	Current Quarter '000	Previous Quarter '000
New Zealand Dollars United States Dollars Australian Dollars Indonesian Rupiah	NZD 29,228	NZD 29,369
	USD 40,530	USD 45,687
	AUD 4,044	AUD 4,178
	IDR 278,918	IDR 1,685,248

9

9(a)

9(b)

Changes in Interests in Mining Tenements

Note Interests in mining tenements relinquished, reduced or lapsed Interests in mining tenements acquired or increased	Tenement Reference Nature of Interest Interest at Beginning of Quarter % Interest at End of Quarter %

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NZSX Ref

9(c)

The Company’s “Petroleum Interests” as at 31 December 2020 are set out below.

PETROLEUM INTERESTS AT 31 December 2020	PETROLEUM INTERESTS AT 31 December 2020
	GROSS AREA	DIRECT
	SQ KM	INTEREST %
1. PETROLEUM MINING PERMITS
Sampang PSC	535	15
Mahato PSC	1,127	12.5
PMP 38160 (Maari)	80	5
PML 38146 (Kupe)	257	4
2. PETROLEUM EXPLORATION PERMITS
PEP 52717 (Clipper)	1,787	50
PEP 55794 (Toroa)	4,911	100
Bohorok PSC *	5,022	25
PEP 55768 (Kohatukai)	134	25
Mahakam Hilir PSC	222	100
WA-359-P	645	36.5
WA-389-P	1,939	100
WA-409-P	565	20

• Subject to completion NZO will dispose of its interest in the Bohorok PSC.

10

Issued and Quoted Securities at End of Current Quarter – 31 December 2020

(NEW ZEALAND OIL & GAS LIMITED ONLY)

Description includes rate of interest and any redemption or conversion rights together with prices and dates.

	Number Issued	Number Quoted	Value (cents)	Paid-Up Value (cents)
Ordinary Securities	167,848,718	164,430,718	N/A	N/A
Fully paid during quarter	-	-	-	-
Cancelled during quarter	-	-	-	-
Partly Paid Securities (included in ordinary securities, but not part of quoted ordinarysecurities)	3,418,000	-	74	1.0
Issued during quarter	-	-	-	-
Exercised during quarter	-	-	-	-
Fully paid during quarter	-	-	-	-
Options	4,708,978	-	63	-
Issued during quarter	-	-	-	-
Exercised during quarter	-	-	-	-
Expired during quarter	-	-	-	-

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Catherine McKelvey Chief Financial Officer 29 January 2021

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