MEC RESOURCES LIMITED — Capital/Financing Update 2021

Sep 6, 2021

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ASX ANNOUNCEMENT

7 September 2021

INVESTEE ADVENT ENERGY LTD –

PEP11 -BALEEN- ISSUANCE OF LETTER OF INTENT TO AWARD CONTRACT FOR PROVISION OF DRILLING PROJECT MANAGEMENT SERVICES

MEC Resources Limited ( “MEC” or the “Company” ) (ASX:MMR) highlights the following information provided by its investee company, Advent Energy Ltd (“ Advent” ).

A Letter of Intent has been issued by Advent, through its’ subsidiary Asset Energy Pty Ltd, to Aztech Well Construction Services Pty Ltd (Aztech) for the provision of Drilling Project Management services for the upcoming Seablue-1 exploration well.

The proposed well is planned to be drilled in 125m of water approximately 26km offshore and 30km SSE of the City of Newcastle. The drilling of the well is subject to funding and regulatory approvals and is expected to take around 40 days to reach Total Depth.

The proposed well has two objectives: (i) a gas target and (ii) evaluation for Carbon Capture Storage, subject to regulatory approvals and funding.

When the well has reached Total Depth and has been fully evaluated, it will be plugged and abandoned as per regulatory requirements, in line with pre-drill planning as an exploration well, the well head and associated equipment will be removed from the seabed.

MEC confirms that the PEP11 interests are;

• Advent Energy Limited – 85%

• Bounty Oil & Gas Limited (ASX:BUY) – 15%

David Breeze (Managing Director) authorised the release of this announcement to the market.

About Advent Energy Ltd

Advent Energy Ltd is an unlisted oil and gas exploration company held by major shareholders, MEC Resources Limited (ASX: MMR), BPH Energy Limited (ASX: BPH) and Grandbridge Limited. Advent holds a strong portfolio of near-term development and exploration assets spanning highly prospective acreage onshore and offshore Australia in proven petroleum basins. Advent asset base also incorporates both conventional and unconventional petroleum targets.

Geosequestration -The Offshore Sydney Basin offers the potential opportunity for NSW to make deep cuts in its CO2 emissions through CCS -Carbon Capture and Storage (geosequestration of CO2 emissions). CCS is part of a suit of solutions with the potential to mitigate greenhouse gas emissions and help address climate change.

MEC Resources Ltd

ACN 113 900 020 Level 1, 9 Bowman Street, South Perth WA 6151 T: +61 8 9217 2400 info@mecresources.com.au www.mecresources.com.au

PEP11 LOCATION

Location of PEP 11 offshore Australia (above) and location of Baleen well site approximately 26 km offshore and approximately 30 km SSE of the city of Newcastle

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