METGASCO LTD — Capital/Financing Update 2020

Jun 2, 2020

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ASX Release

3 June 2020

Vali-1 ST1 well update

• ➢ Six stage fracture stimulation commencing early July 2020

• ➢ Extended flow testing immediately after stimulation

• ➢ Results expected early August 2020

• ➢ Condor engaged to undertake fracture stimulation

• ➢ GPA Engineering engaged for concept design work on pipeline connection

• ➢ Discussions initiated with Santos regarding access to gas infrastructure

• ➢ Vali gas discovery net 2C Contingent Resource of 18.9 Bcf[1]

Vintage Energy Ltd (ASX: VEN, “Vintage”) advises that the planning work for the fracture stimulation of the Vali discovery is primarily complete, with the stimulation of Vali-1 ST1 expected to commence in early July 2020. The ATP 2021 joint venture (Vintage 50% and operator, Metgasco Ltd 25% and Bridgeport (Cooper Basin) Pty Ltd 25%) has awarded the Vali-1 ST1 fracture stimulation activities to Condor Energy Services Pty Ltd (“Condor”).

Condor will mobilise to site later this month, subject to them completing their current program, with the stimulation program now finalised by the Joint Venture. It is expected that there will be six stages stimulated in Vali-1 ST1, five in the Patchawarra section and one in the deeper Tirrawarra / Basal Patchawarra section. The gas saturated zones to be fracture stimulated are at depths of between 2,810 metres to 3,140 metres. It is anticipated that fracture stimulation will take approximately a week to complete and, once done, flow testing will commence immediately with potential gas flow rates recorded over a period of up to several weeks. Results will then be assessed and incorporated into the commercialisation plan for the asset.

Following a previously successful casing pressure test, as advised to the ASX on 26 May 2020, the cement bond logging of the Vali-1 ST1 well was successfully completed on 10 May 2020. These two pieces of work have confirmed the wellbore to have the requisite integrity for the next stage of activity. In addition, a baseline temperature log was acquired which will provide important information in assessing the effectiveness of the fracture stimulation stages.

Vintage Managing Director, Neil Gibbins, said “With the majority of the preliminary work now completed for the stimulation and flow testing of the Vali gas discovery, we are looking forward to next month with much anticipation. As I have mentioned previously, the testing of Vali is a crucial, preliminary step in the process to deliver early cashflow through gas production and generating potentially significant value for Vintage shareholders.

“We have worked with Condor Energy on number of wells in the past, and they are a high quality outfit with an excellent safety record. All upcoming operations relating to the Vali discovery are being planned to ensure they are ‘Covid-19’ safe, complying with the Queensland and Federal government guidelines for protecting workers and communities.

“Once the flow testing of Vali is complete, and subject to a successful economic outcome, we will look to have the well connected to the gas infrastructure located close to the well. To this end we have already engaged

Vintage Energy Ltd (ACN 609 200 580) 58 King William Rd, Goodwood, SA 5034

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with GPA Engineering and are in discussions with Santos to ensure this process can be done as expeditiously as possible.”

This release has been authorised on behalf of Vintage Energy Limited by Mr Neil Gibbins (Managing Director).

1. Refer ASX release dated 29 April 2020

For more information contact:

Neil Gibbins Managing Director +61 8 7477 7680

info@vintageenergy.com.au

About Vintage

The natural gas supply crisis currently afflicting the eastern part of Australia and the energy market more widely have been the catalysts for the creation and ASX listing of Vintage, with Reg Nelson (former Managing Director of Beach Energy Ltd) the Chairman and Neil Gibbins (former Chief Operating Officer of Beach Energy Ltd) the Managing Director. The company has acquired high quality gas exploration and appraisal assets close to infrastructure with the potential for rapid development and the promise of early cash flow. Vintage will continue to identify and seek to acquire further high-quality gas exploration and production assets with a focus on those that offer the potential for accelerated pathways to commercialisation.

Oil potential in prominent onshore basins is also a key focus, particularly given the experience of Vintage team members in discovering and developing oil fields on the Western Flank of the Cooper/Eromanga Basins in South Australia.

Vintage Energy Ltd (ACN 609 200 580) 58 King William Rd, Goodwood, SA 5034

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