INVICTUS ENERGY LTD — Investor Presentation 2021

Mar 23, 2021

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Invictus Energy Ltd (ASX: IVZ)

Investor Presentation

Scott Macmillan Managing Director

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1 March 2021

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The first mover in the under-explored Cabora
Bassa Basin, Zimbabwe, one of the last undrilled
Oil & Gas basins in Africa
Mzarabani Prospect is the largest undrilled
conventional oil and gas prospect onshore Africa
8.2Tcf + 247 million barrels of conventional
gas-condensate [1] (~1.6 billion boe)
independently verified
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SG 4571 Zimbabwe

Invictus Snapshot

$60.5m 2018 WA ~$9.0m Market Cap Listed Headquartered Net Cash[1] @$0.11 1Includes proceeds of placement Elephant scale Rapidly developing & High quality Significant Southern prospective Oil & Gas supportive jurisdiction surrounding African Energy resource, with high of Zimbabwe infrastructure shortage quality data set Multiple offtake Multiple downstream Low valuation in Highly experienced agreements in place supply opportunities comparison to SubBoard & Saharan Oil & Gas Management peers

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SG 4571 – Asset Overview

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Owner and operator of SG 4571 Cabora Bassa asset with first term of work program complete to August 2020

• $30m seismic, gravity aeromagnetic and geochemical dataset generated by Mobil during 1990’s who moved away from the asset due to focus on oil (not gas)

• Dataset has now been reprocessed and applied updated understanding of other successful rift basin plays to Cabora Bassa

• Several other high-quality and offshore Oil & Gas assets and operators within the region, including Shell and ExxonMobil and Total

• Strategic location to provide solution to Southern African energy crisis

Asset Overview SG 4571	Asset Overview SG 4571
Ownership	80%
Acreage	250,000 acres
Licence Duration	2023 (2nd term)
Environmental Impact Assessment	Complete
Independent Prospective Resource1	9.25 TcF + 294m barrels of Conventional Gas-Condensate

1See Independent Prospective Resource Estimate on 1 July 2019

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Local Operators
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SG 4571 – Asset Overview

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Mzarabani Prospect – 5 Stacked Targets can be targeted from a single well. 200km[2] under closure

• Msasa Lead

• 15km

• Mzarabani – Structural 4-way dip closure • Dande: 0.4 Tcf Mzarabani • Forest: 1.6 Tcf Upper Angwa outline

• • Pebbly Arkose: 1.4 Tcf + 60 mmbbls

• • Upper Angwa: 4.4 Tcf + 181 mmbbls

• • Lower Angwa: 0.4 Tcf

• • Total: 8.2 Tcf + 247 mmbbls

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History & Strategic Milestones

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Invictus holds a clear pathway to continue towards development of the SG 4571 asset

Cabora Bassa Project Acquired – largest undrilled structure onshore Africa

Mzarabani Prospect Cabora Bassa Project Conclude Petroleum High impact basin Independent Prospective receives Priority Project Exploration Development & opening drilling Resource 8.2 Tcf + 247 Status from Zimbabwe Production Agreement with campaign million bbls gasGovt. Republic of Zimbabwe condensate H1 H2 H1 May - Dec January September Q1 Q2 H2 2018 2018 2019 2019 2020 2020 CY21 CY21 CY21+ Unlocked $30m subsurface Gas Sale MOUs with Environmental Commence seismic dataset acquired by Mobil in Sable Chemicals & Impact Assessment campaign to refine 1990s through applying new Tatanga Energy for for seismic and Mzarabani drilling technology and insights up to 1.2 Tcf over 20 drilling approved targets & identify

Gas Sale MOUs with Sable Chemicals & Tatanga Energy for up to 1.2 Tcf over 20 years

Commence seismic campaign to refine Mzarabani drilling targets & identify additional prospectivity

Complete

Future milestone

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Zimbabwe – Geopolitical Overview

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An overlooked jurisdiction for last 20 years due to political and economic instability, despite significant reforms

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New government is pro-business, promoting
foreign investment and has implemented
investor friendly reforms
Mines Minister is a former resources industry
executive that understands the needs of the
resources sector Amended Indigenization Special Economic Zones Product Sharing
& Empowerment Act Legislation Agreement
New Production Sharing Agreement (‘ PSA ’)
nearing finalisation with other key reforms in
place and supporting external investment in 100% foreign ownership of assets Legal and fiscal stability Transparent legal framework
resource development
Guarantee of investor rights 5-year tax holiday Transparent fiscal framework
Clear pathway for development and
100% remittance of earnings 15% corporate tax rate thereafter
infrastructure access
Zero Capital Gains Tax
Customs duty exemption on raw
Legislative
materials and capital equipment
Framework
Offshore banking and transacting
outside local financial system
safeguards against local currency
effects
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• New government is pro-business, promoting foreign investment and has implemented investor friendly reforms

• Mines Minister is a former resources industry executive that understands the needs of the resources sector

• New Production Sharing Agreement (‘ PSA ’) nearing finalisation with other key reforms in place and supporting external investment in resource development

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Strategic Location – Southern Africa’s Energy Crisis

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Southern Africa is facing an energy crisis with increasing shortages of electricity hampering industry and investment

• Majority of power in the region is coal and hydroelectric

• Southern African Power Pool (‘ SAPP ’) enables cross-border electricity trading between states:

• 12 member countries

• Servicing 230m people

• Electricity trading run from Harare, Zimbabwe

• Spine of SAPP transmission network runs through Zimbabwe giving it the greatest access to other member states

Supply Shortage

• South Africa’s coal fired power plants providing 20% (+10k MW) of power supply are being retired in coming years

• Medium-term supply gap of +15k MW, set to be filled by diesel fired power generation in the interim

• Gas to power becoming increasingly important to regional power supply

• SAPP network provides virtual pipeline to monetise gas throughout Southern Africa with SG 4571 ideally positioned to deliver gas into the power network

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Legend
DRC H Hydro Station
Tanzania
H P Pumped Storage Scheme
Zambia T Thermal Station
Angola Malawi
H Mozambique
H
H
H
H H H
H
T
H H H
H
Namibia Botswana T H South Africa – 2030 (PJ/year) [1]
H
83 PJ
T
T T
T T T
T
T T T
T T
T
P
South H -407 PJ
Africa
-490 PJ
P
Gas Supply Gas Demand Balance
+10,000 MW of Coal
fired Power retiring
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1USAID Southern Africa Energy Program - Power Africa: Natural Gas Roadmap for Southern Africa

Strategic Location – Major Downstream Markets

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Multiple large scale power generation, mining, chemical processing & industrial downstream consumers within Southern Africa

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Market Major Southern African Markets
•
Gas to Power can be generated locally and excess
Power DRC
exported to neighbouring countries through Tanzania
Generation
Southern Africa Power Pool
Petrochemicals • Sasol’s Secunda facility currently supplied from declining onshore Mozambique Pande-Temane Angola Zambia Rovuma Offshore Gas
fields and coal to liquid feedstock Malawi Mozambique
•
Zimbabwe and Zambia are large agricultural based
Fertilizer economies and significant producers of tobacco and
maize. Fertilizer demand exceeds local supply
Namibia
Botswana
Industrial • Industrial demand in South Africa serviced from Pande-Temane
onshore Mozambique Gas Field
•
Significant number of mining houses and smelters
Mining generate off grid power using diesel, with trucked
LNG delivering 40% cost reduction
South Africa
•
SA generates synthetic fuel from coal with
remainder imported crude oil, refined locally.
Liquid Fuel
Condensate / crude exported from Beira to
international markets BrulpaddaOffshore Gas
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Strategic Location – Multiple Routes to Market

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Multiple transportation routes to market across existing infrastructure

Infrastructure		Major Routes to Market
Gas Pipeline 1	• Twin Harare-Beira liquids pipeline (800km) and connect to ROMPCO pipeline feeding Sasol Gas lines in Gauteng and industry	1 5 4 2 3 1 5 3
Power 2	• Connect into Southern Africa Power Pool grid to export electricity domestically and into energy starved regional market
Road 3	• Beira Corridor Route one of the major transit routes in Africa. Small Scale LNG (SSLNG) by road to mining and industrial users to replace diesel power generation
Rail 4	• 1,000kms from Harare to Johannesburg by rail. 900 MT LNG trains into Gauteng industrial centre. Crude railed to refineries
Liquids Pipeline 5	• Twin or reverse Harare-Beira liquids pipeline (800km) to enable export through Beira port to international markets & Indeni Ndola to displace imported crude

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Asset Comparison

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Invictus’ peers have delivered material re-ratings with assets exhibiting similar or lesser qualities to SG 4571

Project Comparison	Reconnaissance Energy Africa(TSXV:RECO)	Invictus(ASX:IVZ)	Asset Locations
Market Cap ($AUD)	$533.2m	$66.4m	Namibia Zimbabwe
Project Location	Namibia - Onshore	Zimbabwe - Onshore
Basin	Kavango	Cabora Bassa
Petroleum System	Karoo – Permian	Karoo – Permian & Triassic
Depth to Basement (m)	+8,000	+10,000
Source Rock	Karoo (Permian): Marine-Fluvial-Lacustrine TOC up to 15%	Karoo (Permian & Triassic): Fluvial-Lacustrine, TOC up to 40%
Reservoirs	Predominately sandstone, Porosity and Permeability - Unknown	Predominately sandstone, Porosity and Permeability – Good to Excellent
Traps	Unknown	Various, including rollover anticlines and stratigraphic
Stacked Play	Unknown	Yes - 5 prospective horizons
Market	Gas: Unlikely due to lack of infrastructure Oil: Yes	Gas: 2 x Gas Sale MOUs signed Oil: Yes
Dataset	Aeromag	Aeromag, gravity & 2D seismic
Defined Conventional Prospects	None	Mzarabani 8.2 Tcf + 247 million bbls Largest undrilled prospect onshore Africa

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Reconnaissance Energy Africa Development

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ReconAfrica is following a near identical work program to Invictus & has achieved a material re-rating for shareholders

Reconnaissance Energy Africa (TSXV:RECO)[1] Market Capitalisation ($AUD)

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$700m
Legend D Market Cap
$586.4m
N Newsflow Seismic Commences
N
T Technical Work Studies New licence acquired D
in Botswana
N Drilling Commences on 6-2 Well
D Drilling / Seismic Activity
Drilling Rig Purchased
P Placement T
N
T N
Technical Evaluation Completed
$350m Licence Renewed of Conventional Petroleum N
Aeromag Survey Interpretation Potential Drilling Rig Arrives On Location
Reveals Deep Permo-Triassic
Sedimentary Basin with Seismic + 3 Well Drilling
N Conventional Potential Campaign Confirmed
N Henderson Rigs
Appointed
EIA Completed
Market Cap
P
$60.6m
Market Cap Market Cap
$19.1m P $103.2m
P
$0m
Sep-19 Dec-19 Mar-20 Jun-20 Invictus’ current stage of Sep-20 Dec-20
development
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1Capital IQ

Invictus Investment Opportunity

First mover advantage with SG 4571 exhibiting significant scale potential

Low-cost onshore exploration with proximity to multiple large-scale energy consumers

Multiple offtake MOU’s secured with blue-chip customers underpinning development

Funding allows preparation for seismic and high impact basin opening well campaign

Strategically positioned Government providing to supply into Southern supportive environment African market with for development existing infrastructure

Highly experienced and Significantly lower equity aligned Board & comparative valuation to Management peers with similar stage assets and jurisdictions

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Board & Management

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A highly experienced Board & Management team with a track record of developing leading Oil & Gas assets

• +34 years in the Petroleum industry, having operated assets in 20 countries worldwide, including in +10 in African countries. Combines in-depth technical knowledge and a world class track record as an Oil & Gas finder, having led many teams in maintaining a 90% exploration success rate (from over 300 wells in 11 countries including deep-water and new plays)

• FormerPresident and CEO for Castle Petroleum, CEO of AGM Petroleum, operator of offshore South Deepwater Tano Block in Ghana, he lead the company to a

• Dr. Stuart Lake recently reported new oil discovery in July 2019 from the exploration drill campaign. He remains a Senior Advisor to Aker Energy, that recently acquired Hess Non-Executive Chairman Ghana assets, in which Dr Lake and his team made 7 consecutive deepwater discoveries • Former CEO of African Petroleum Corporation successfully concluding multiple farmouts and commercial deals for their West African portfolio in a challenging market and successfully listed the company on the Oslo Bors in Norway

• • Former Vice President of Exploration in the Hess Corporation, leading highly successful Exploration campaigns, including Ghana, Libya and 30 onshore discoveries in Russia. Dr. Lake is a Non-Executive Director of Capterio.

• Reservoir Engineer and founder of Invictus Energy. He is a member of the Society of Petroleum Engineers (SPE) with +14 years experience in exploration, field development planning, reserves and resources assessment, reservoir simulation, commercial valuations and business development.

• Scott Macmillan • Previously Senior Reservoir Engineer at Woodside Energy on large offshore Oil & Gas field developments and Business Advisor in the Global New Ventures team Managing Director focused on Africa exploration • Senior Reservoir Engineer for AWE working on the Waitsia Gas Field; the largest onshore gas discovery in Australia in the last 40 years. He has extensive business experience in Zimbabwe.

Brent Barber Country Manager

• An exploration geologist with +40 years experience as Technical Director of Invictus Energy Resources and Managing Director of Geological Organisation Logistics and Design

• Has been involved in the exploration and evaluation of mineral prospects and mining ventures throughout Africa, South America and SE Asia. When employed by Mobil Exploration he headed the hydrocarbon exploration undertaken along the Zambezi Valley in both Zambia and Zimbabwe.

• • Based in Harare and currently focused on the acquisition, assessment and design and management of exploration prospects.

Barnaby EgertonWarburton Non-Executive Director

• Founder of BXW Ventures an early stage resources , agri and technology fund, NED of Locality Planning Energy (ASX: LPE), NEC of Hawkstone Mining Limited (ASX: HWK) Chairman and Founder of Pantera Minerals Limited, Founder of BPM Minerals (ASX; BPM) holding +25 years investment banking experience with a focus on the energy sector

• Holds a Bachelor of Economics and is a graduate of the AICD and a member of the American Association of Petroleum Geologists

• Gabriel Chiappini Non-Executive Director & Co-sec

• An experienced ASX director and has been active in the capital markets for 17 years assisting in raising +$450m and providing investment and divestment guidance to a number of companies having been involved with 10 ASX IPO’s in the last 12 years.

• A member of the AICD and CA ANZ. Mr. Chiappini is a director of Black Rock Mining, (ASX: BKT) Eneabba Gas Limited (ASX: ENB)

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Corporate Overview

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Strongly aligned Board & Management, with significant equity positions on the IVZ register

Invictus Energy Limited(ASX:IVZ)	Invictus Energy Limited(ASX:IVZ)
Share Price	$0.11
Market Capitalisation1	$60.5m
Enterprise Value (Cash includes proceeds from $8m placement)	$51.5m

	Capital Structure1	1Includes shares and options to be issued under placement	1Includes shares and options to be issued under placement
	Shares on Issue (m)		550m
	Options / Performance Rights (m)		86m / 55m
	Diluted Issued Capital (m)		691m

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Share Price Performance [1]
16c 70m
Volume Share Price
8c 35m
0c 0m
Mar-20 May-20 Jul-20 Sep-20 Nov-20 Jan-21 Mar-21
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Major Shareholders – 12th March 2021	Major Shareholders – 12th March 2021	Major Shareholders – 12th March 2021
Shareholder	Shares (m)	%
BAYETHE INVESTMENTS PTY LTD (SCOTT MACMILLAN)	71.4m	15.2%
MANGWANA OPPORTUNITIES (PRIVATE) LIMITED	15.9m	3.4%
ALEXANDER HOLDINGS (WA) PTY LTD	15.9m	3.4%
CITICORP NOMINEES PTY LIMITED	13.7m	2.9%
MR JASON ALEXANDER BOND & MS JENNIFER KATE LANGDON	10.9m	2.3%
BNP PARIBAS NOMINEES PTY LTD	10.7m	2.3%
MR DAVID JAMES WALL	9.2m	2.0%
WHISTLER STREET PTY LTD	5.5m	1.2%
MR ANDREW GRAHAM PALLESON & MRS HUI PALLESON	5.3m	1.1%

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1iress

Disclaimer

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This document is for information purposes only. It is not a prospectus, disclosure document or offering document under Australian law or under any other law and does not constitute an offer or invitation to apply for securities. In particular, this document is not an offer of securities for subscription or sale in the United States of America or any other jurisdiction in which such an offer or solicitation is not authorized or to any other person to whom it is unlawful to make such an offer or solicitation. The information in this document is an overview and does not contain all the information necessary to make an investment decision. To the extent permitted by law, no representation or warranty, express or implied, is made as to the accuracy, adequacy or reliability of any statements, estimates or opinions or other information contained in this document, any of which may change without notice. Neither Invictus Energy Limited (Invictus), nor any other person warrants the future performance of Invictus or any return on any investment made in Invictus. Some of the information contained in this document constitutes forwardlooking statements that are subject to various risks and uncertainties, not all of which may be disclosed. These statements discuss future objectives or expectations concerning results of operations or financial condition or provide other forward-looking information. Invictus’ actual results, performances or achievements could be significantly different from the results or objectives expressed in, or implied by, those forward-looking statements. Prospective investors should make their own independent evaluation of an investment in any securities. The material contained in this document does not take into account the investment objectives, financial situation or particular needs of any individual investor. Invictus does not make any recommendation to investors regarding the suitability of any securities and the recipient must make its own assessment and/or seek independent advice on financial, legal, tax and other matters, including the merits and risks involved, before making any investments.

COMPETENT PERSON’S STATEMENT The information in this document relating to petroleum resources and exploration results is based on information compiled by Mr Scott Macmillan. Mr Macmillan is a Reservoir Engineer and has a Bachelor of Chemical Engineering and an MSc in Petroleum Engineering from Curtin University. He is a member of the Society of Petroleum Engineers (SPE) and has over 12 years experience in the industry in exploration, field development planning, reserves and resources assessment, reservoir simulation, commercial valuations and business development. Estimated resources are unrisked and it is not certain that these resources will be commercially viable to produce.

HYDROCARBON RESOURCE ESTIMATES The Prospective Resource estimates for Invictus’ SG 4571 permit presented in this report are prepared as at 26 June 2019. The estimates have been prepared by the Company in accordance with the definitions and guidelines set forth in the Petroleum Resources Management System, 2018, approved by the Society of Petroleum Engineer and have been prepared using probabilistic methods. The Prospective Resource estimates are unrisked and have not been adjusted for both an associated chance of discovery and a chance of development. The Company confirms that there have not been any material changes to the resource estimate since the release of the updated Prospective Resource Estimate on 1 July 2019. For further details on the Prospective Resource refer to the 1 July 2019 ASX announcement the Company is not aware of any new information and that all material assumptions and technical parameters underpinning prospective resource estimate continue to apply and have not materially changed.

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Contact: Scott Macmillan Managing Director

E: info@invictusenergy.com P: +61 (8) 6102 5055

invictusenergy.c ~~om~~

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~~This presentation was approved for release by Scott Macmillan, Managing Director~~