HYDROCARBON DYNAMICS LIMITED — Capital/Financing Update 2010

Jan 3, 2010

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4 January 2010

Company Announcements Office ASX Limited Exchange Centre Level 5, 20 Bridge Street Sydney NSW 2000

Dear Sir

Pryme Oil and Gas Limited (Pryme) (ASX Code PYM) – Expiry of A$0.40 Unlisted Options (Options)

Pryme advises that 500,000 $0.40 Unlisted Options (Options) in the Company expired at 5:00pm (EST) on 31 December 2009.

The optionholder has not exercised the Options and all the 500,000 Options have lapsed as a result.

Yours faithfully

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Swapna Keskar Company Secretary

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