HYDROCARBON DYNAMICS LIMITED — Capital/Financing Update 2012

Apr 9, 2012

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Company Announcements Office Australian Securities Exchange 20 Bridge Street Sydney NSW 2000

10 April 2012

Dear Sir,

Pryme Energy Limited (Pryme) (ASX Code PYM) Repayment of Convertible Notes

Pursuant to the terms of the unsecured convertible note facility with Belmont Park Investments Pty Ltd (BPI), Pryme has repaid in full the outstanding amount of A$4 million.

Subsequent to the repayment of the facility, Pryme’s current cash holding is A$1.3 million and the Company is debt free.

Yours sincerely, Justin Pettett Managing Director

For further information please contact:

Justin Pettett Managing Director Pryme Energy Limited Telephone: +61 7 3371 1103

Ryan Messer Chief Operating Officer Pryme Energy Limited Telephone: +1 713 401 9806

Website: www.prymeenergy.com

ASX Code: PYM

OTCQX Code: POGLY

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