Announcement PDF ASX Announcement For Immediate Release 22 May 2025 Chairman’s Address and Company Presentation Material 2025 Annual General Meeting Please find attached to this document a copy of the Chairman’s address and the presentation that will be provided by Australis Oil & Gas Limited today at its Annual General Meeting. This ASX announcement was authorised for release by the Australis Disclosure Committee. For further information, please contact either: Ian Lusted Managing Director Australis Oil & Gas Limited +61 8 9220 8700 Graham Dowland Finance Director Australis Oil & Gas Limited +61 8 9220 8700 A UST RA LI S O I L & GA S LI MI T E D ABN 34 609 262 937 Level 2, 215 Hay Street Subiaco WA 6008 • PO Box 8225 Subiaco East WA 6008 T +61 (8) 9220 8700 • F +61 (8) 9220 8799 www.australisoil.com Chairman’s Address – 2025 Annual General Meeting Welcome to the 2025 AGM of Australis Oil & Gas. Thank you to those in attendance today. Our CEO Ian Lusted will address activities and business development in more detail in his presentation following the procedural elements of the AGM. During the past year we have continued to balance the maintenance of our ownership and control of our key asset with strict management of finances, whilst strategically remaining focused on securing third party engagement. Third-party engagement over the past year remained busy with lengthy and detailed diligence processes consistently encouraging yet ultimately frustrating. We continue to discuss cooperation scenarios with several third-parties. More recent macro issues stemming from the policies and statements of the newly re-elected US President, have dampened market confidence in growth and trade have also led to lower oil prices and reduced industry confidence. We will report progress as and when appropriate as we will continue to work hard to deliver the value we see in our asset base. On behalf of the Board and shareholders, I would like to thank our management and employees both in Australia and the US. Our executive team and staff, even with reduced numbers, have continued to execute operations efficiently and safely. We will continue to work diligently towards our stated objectives on your behalf. Jon Stewart Chairman ASX: ATS 2025 AGM Presentation 22 May 2025 Important Notice and Disclaimer This presentation has been prepared by Australis Oil & Gas Limited ACN 609 262 937 (ASX: ATS) (Australis). Summary of information: This presentation contains general and background information about Australis’ activities current as at the date of the presentation and should not be considered to be comprehensive or to comprise all the information that an investor should consider when making an investment decision. The information is provided in summary form, has not been independently verified, and should not be considered to be comprehensive or complete. The information in this presentation remains subject to change without notice. Australis is not responsible for providing updated information and assumes no responsibility to do so. Not financial product advice: This presentation is not financial product, investment advice or a recommendation to acquire Australis securities and has been prepared without taking into account the objectives, financial situation or needs of individuals. Before making an investment decision prospective investors should consider the appropriateness of the information having regard to their own objectives, financial situation and needs, and seek legal, taxation and financial advice appropriate to their jurisdiction and circumstances. Australis is not licensed to provide financial product advice in respect of its securities or any other financial products. Cooling off rights do not apply to the acquisition of Australis securities. Australis assumes that the recipient is capable of making its own independent assessment, without reliance on this document, of the information and any potential investment and will conduct its own investigation. Disclaimer: Australis and its related bodies corporate and each of their respective directors, agents, officers, employees and advisers expressly disclaim, to the maximum extent permitted by law, all liabilities (however caused, including negligence) in respect of, make no representations regarding, and take no responsibility for, any part of this presentation and make no representation or warranty as to the currency, accuracy, reliability or completeness of any information, statements, opinions, conclusions or representations contained in this presentation. In particular, this presentation does not constitute, and shall not be relied upon as, a promise, representation, warranty or guarantee as to the past, present or the future performance of Australis. Future performance: This presentation contains certain forward-looking statements and opinion. Generally, words such as “anticipates”, “expects”, “intends”, “plans”, “believes”, “seeks”, “estimates”, “potential” and similar expressions are intended to identify forward-looking statements. The forward-looking statements, opinion and estimates provided in this presentation are based on assumptions and contingencies which are subject to change without notice, as are statements about market and industry trends, which are based on interpretations of current market conditions. Forward-looking statements, including projections, forecasts and estimates, are provided as a general guide only and should not be relied on as an indication or guarantee of future performance and involve known and unknown risks, uncertainties and other factors, many of which are outside the control of Australis. Past performance is not necessarily a guide to future performance and no representation or warranty is made as to the likelihood of achievement or reasonableness of any forward-looking statements or other forecast. Not an offer: This presentation is for information purposes only. This presentation is not, and should not be considered as, an offer or an invitation to acquire securities in Australis or any other financial products and neither this document nor any of its contents will form the basis of any contract or commitment. This presentation is not a prospectus and does not contain all the information which would be required to be contained in a prospectus. Offers of securities in Australis will only be made in places in which, or to persons to whom it would be lawful to make such offers. Neither this presentation nor any of its contents may be reproduced or used for any other purpose without the prior written consent of Australis. No Distribution in the US: This presentation is not an offer of securities for sale in the United States. Securities of Australis are not registered under the US Securities Act of 1933, as amended (the "US Securities Act") and may not be offered or sold in the United States absent registration or an exemption from registration under the US Securities Act. No public offer of the securities is being made in the United States and the information contained herein does not constitute an offer of securities for sale in the United States. Monetary values: Unless otherwise stated, all dollar values are in United States Dollars (US$). The information in this presentation remains subject to change without notice. 2 2024 ESG and Financial results NOT FOR DISTRIBUTION OR RELEASE IN THE US 3 ESG summary - 2024 Australis reported another year of safe operations and reduced emissions Employee Safety Performance ▪ Strong safety culture for field operators resulted in another exemplary performance with no safety incidents over 3,722 workdays in 2024 (4,194 in 2023). ▪ Proactive Safety Observation Suggestion (SOS) program continues to operate effectively and the key tool to maintain culture. ▪ Another strong environmental performance, no reportable oil leaks during the year and five nonreportable spills (total ~2.92 bbl oil) all contained on the production pads. ▪ Reported Scope 1 and Scope 2 emissions under TCFD framework in 2023 & 2024. ▪ Scope 1 emissions largely due to gas flaring – field total 0.62 mmscf/d over 19 separate locations. ▪ Full field development offers opportunities to reduce gas emissions through export or onsite utilisation. 2024 2023 Near Miss 0 1 First Aid 0 0 OSHA Reportable 0 0 Lost Time Incidents 0 0 29,775 33,550 2024 2023 Non reportable spillA 5 4 Reportable spillA 0 1 Oil volume spilled within containment (bbls) 0 0 Oil volume spilled outside containment (bbls) 2.9 1.2 Produced water spilled (bbls) 0.2 6 Scope 1 emissions (mt CO2e) 20,629 21,591 Scope 1 intensity (mt CO2e/boe) 0.073 0.072 Hours worked Environmental Performance A. Reportable threshold > 1bbl oil and/or >5 bbls produced water 4 Fiscal summary 2024 Solid 2024 fiscal performance continues to support strategic objectives Financial results ▪ Strong fiscal results during 2024 Units 2024 Bbls 254,000 Sales Volume (WI) ▪ Net Debt at US$2.2 million at 31 December 2024 Average Realised PriceA US$/bbl 78 Average Achieved PriceB US$/bbl 76 ▪ Producing wells independent value YE24 US$38 million (NPV10)2 Sales Revenue (post hedges) US$MM 19.4 EBITDA US$MM 2.5 ▪ 2024 field netback of US$7.3 million Cash Balance (period end) US$MM 6.2 Total Debt (period end) US$MM 8.4 Hedge Position from end Q1 2025 WTI Swaps ▪ Conservative hedge position adopted in Q1 2025 for next 12 months in line with debt coverage obligations. WTI Collars Volume (Mbbls) Swap Price (US$/bbl) Volume (Mbbls) Protected Price (US$/bbl) Ceiling Price (US$/bbl) Q2-Q4 2025 48 $66 21 $51 $79 2026 18 $62 4 $60 $68 A. Average oil sales price realised by Australis B. Average oil price achieved by Australis after the effects of hedging 5 2024 Operating Costs Our focus has been on production efficiency and operated costs ▪ Australis is a small operator active in an area that is remote to the major oil field service centers. Access to services and longer lead times can add to cost price pressure and so is a focus for the team − Overall Opex has been maintained through 2023 – 2024. − Fixed costs increased marginally (3%) in 2024, but variable costs (primarily third party) decreased through Company led savings initiatives. − Workover frequency reduced by 44% reduction in Workover expense in 2024 6 Driving down workover frequency Driving down well workover frequency – key to extending field life and minimizing operating costs ▪ Workover costs are a significant portion of the Australis operating budget. ▪ Workover frequency has been a key focus for the operations team over past 8 years to extend completion run times before intervention is necessary ▪ The results have been dramatic, as can be seen in the chart In 2024 the average time since the last intervention on the 6 wells (5 wells worked over & 1 cleanout) was 1,030 days. 7 Prudent fiscal management Careful fiscal management since Covid has maintained the opportunity whilst reducing fiscal exposure ▪ G&A reduction from US$12.7 million in 2019 to US$4.3million in 2024 ▪ Impact of operational improvements led to reduced workover frequency and operating costs ▪ Continued support from Macquarie bank allowed for ATS to negotiate restructuring in 2020 and 2024 to match cash flows. 8 Industry Status and the TMS NOT FOR DISTRIBUTION OR RELEASE IN THE US 9 Capital Discipline – E&P Capex Public companies remained primarily focused on short term shareholder returns and not portfolio longevity. Reinvestment rates are lower ▪ Maximising free cashflow in 2024 remained the priority. ▪ Total Capital Spending is slowing ▪ Operational & cost efficiencies (longer laterals & completion design) Exploration expenditure has been falling ▪ Inventory replacement driven by consolidation and technology improvement only. ▪ With limited new quality inventory, industry F&D costs are rising. Source: RBN “E&Ps Continue Caution on Capex, But Gas Producers Appear Ready to Ease Off the Brakes” April 2025 10 Industry is maturing – comparison of Dallas Fed survey Each year the Dallas Fed conducts a highly regarded survey of oil and gas executives. The charts below compare responses from 2021 and 2025 to the same question 120 100 Dollars per barrel Permian (Midland) Eagle Ford $61 $62 Permian (Delaware) Other U.S. (Shale) Other U.S. (Nonshale) 80 $63 $66 18 16 Number of responses 48 $62 Permian (Other) $70 60 40 Q1 2021 20 Q1 2025 0 9 6 20 NOTES: Lines show the mean, and bars show the range of responses. Executives from 81 exploration and production firms answered this question during the survey collection period, March 12–20, 2025. SOURCE: Federal Reserve Bank of Dallas. ▪ Breakeven costs have risen by ~30% in the key plays over the last 4 years despite technology advances. ▪ Note that the lowest breakeven cost of each range is higher in 2025 as the best inventory is being consumed first. Diamondback Energy CEO – Travis Stice – letter to stockholders 5/5/25 ‘ We believe we are at a tipping point for US oil production’, and ‘Today, geological headwinds outweigh the tailwinds provided by improvements in technology and operational efficiency’. Source: Novilabs report November 2024 11 Well Performance in the Delaware Basin v TMS Average Well productivity is declining in the Permian (Delaware) ▪ Analysis from Novilabs shows 6-month oil productivity per lateral ft for the top 10 operators in the Delaware Basin Source: Novilabs report November 2024 12 Well Performance in the Delaware Basin v TMS Average Well productivity is declining in the Permian (Delaware) ▪ Analysis from Novilabs shows 6-month oil productivity per lateral ft for the top 10 operators in the Delaware Basin ▪ Coterra acquired Avant and Franklin Mountain for $3.95bn in Q4 2024 Source: Novilabs report November 2024 13 Well Performance in the Delaware Basin v TMS Average Well productivity is declining in the Permian (Delaware) ▪ Analysis from Novilabs shows 6-month oil productivity per lateral ft for the top 10 operators in the Delaware Basin ▪ Coterra acquired Avant and Franklin Mountain for $3.95bn in Q4 2024 ▪ Average well productivity is declining across the Delaware for 7/10 operators Source: Novilabs report November 2024 14 Well Performance in the Delaware Basin v TMS Average Well productivity is declining in the Permian (Delaware) TMS 2014 well performance ▪ Analysis from Novilabs shows 6-month oil productivity per lateral ft for the top 10 operators in the Delaware Basin ▪ Coterra acquired Avant and Franklin Mountain for $3.95bn in Q4 2024 ▪ Average well productivity is declining across the Delaware for 7/10 operators ▪ 2014 average TMS well performance compares favorably with modern Delaware wells*. Source: Novilabs report November 2024 * The 2014 wells used for comparison were the last wells drilled in that year by Encana at the end of a 27 well program over 4 years which identified key design factors for a TMS well and represent the likely performance of wells drilled going forward before further improvements in design and technology are implemented. 15 Australis TMS Asset In the light of the industry status the TMS has the key attributes necessary to attract field development capital ▪ A delineated but undeveloped quality oil play is very scarce onshore in the USA ▪ Existing established unconventional oil plays are increasingly mature – quality future drilling locations harder to find, tightly held and expensive ▪ Key attributes ensure play attractive ▪ Delineated TMS Core with consistent subsurface parameters and well performance ▪ Proved oil deliverability over a long-time frame to define decline curves on par with established plays. ▪ Proximity to infrastructure and markets. ▪ Proactive regulatory environment and consolidated acreage ideal for full field development. ▪ Low royalty rates improve well economics. ▪ Compelling well economics even at this early stage of play evolution ▪ Early in optimisation process provides multiple routes to further upside. ▪ 65 MMbbls mid case recoverable estimate from existing position. ▪ Ability to rapidly scale this position and first mover advantage. 16 Strategic Position with Scale in TMS Core – Q1 2025 Australis controls the core area and is largest lease holder in the play ▪ Large contiguous land position in the TMS Core with ~47,500 net acres (none on federal lands) providing strategic control and operational benefits. TMS Asset Profile Mississippi and Louisiana, USA − Limits new entrants acquiring large blocks in Core. − ATS has unique experience in leasing and accumulated an invaluable land database. ▪ Ideal geography in Gulf of Mexico, with proximity to midstream infrastructure and refineries (<50 miles) ▪ Development flexibility – large production units, favourable field rules and opportunity to take new 5 year leases ▪ Significant inventory - 160 net well locations Net Acres ~47,500 (39,900 HBP) Producing Wells 30 operated 17 non-operated Net new well locations ~160 ▪ Opportunity to grow acreage position - additional 100,000 acres has been identified; Australis positioned to act swiftly to implement a focused leasing campaign Acreage Expiry Profile 31 March 2025 17 Summary Although it has taken patience as time frames have extended, Australis remains in a unique position to create value 2024 Results Fiscal Production 254,000bbls (-8% vs 2023) Netback $7.3mm (-3% vs 2023) EBITDA $2.5mm (+150% vs 2023) EHS 0 Lost Time Incidents 0 Reportable Spills 0.073 mt CO2e/boe Asset Industry • ~47,500 net acres (160 net locations) with material upside linked to TMS Core acreage leasing • Comparable Tier 1 productivity to the well established plays, despite early stage play status • 65 MMbbl 2P+2C recoverable oil (39 – 41 API)1 • Low royalties with supportive field rules for development • Infrastructure capacity and access • Increasing maturity & consolidation of established plays • Inventory deficient companies having to consider alternative early-stage plays • Recent drop in oil price and market volatility affecting industry confidence levels 18 Footnotes 1. Estimates from the independent Ryder Scott report, effective 31 December 2024 and dated 29 January 2025. The report was prepared in accordance with the definitions and disclosure guidelines contained in the Society of Petroleum Engineers (SPE), World Petroleum Council (WPC), American Association of Petroleum Geologists (AAPG), and Society of Petroleum Evaluation Engineers (SPEE) Petroleum Resources Management (SPE-PRMS) as revised in June 2018. Ryder Scott generated their independent reserve and contingent resource estimates using deterministic methods. The achieved price and NPV(10) values quoted are for the project only, they do not include any impact from the existing oil price hedges that Australis has entered into. 19 Glossary Unit Measure Unit Measure B Prefix - Billions bbl Barrel of oil MM or mm Prefix - Millions boe Barrel of oil equivalent (1bbl = 6 mscf) M or m Prefix - Thousands scf Standard cubic foot of gas /d Abbreviation TMS TMS Core Suffix - per day Bcf Billion standard cubic foot of gas Description Abbreviation Description Tuscaloosa Marine Shale D, C & T Drilling, Completion, Tie in and Artificial Lift The Australis designated productive core area of the TMS EBITDA Net loss / profit for the period before income tax expense or delineated by production history benefit, finance costs, depreciation, depletion, amortisation and WI Working Interest impairment provision C Contingent Resources – 1C/2C/3C – low/most likely/high Net Acres Working Interest before deduction of Royalty Interests NRI Net Revenue Interest (after royalty) IP24 The peak oil production rate over 24 hours of production Net Working Interest after deduction of Royalty Interests TMS Type The history matched production performance of 14 wells drilled NPV (10) Net Present Value (discount rate), before income tax Curve in the TMS by Encana in 2014. Corresponds to an average HBP Held by Production (lease obligations met) treated horizontal length of 7,200ft. EUR Estimated Ultimate Recovery per well IRR Internal Rate of Return WTI West Texas Intermediate Oil Benchmark Price NPT Non Productive Time LLS Louisiana Light Sweet Oil Benchmark Price Reinvestment Percentage of free cash flow used for asset development Opex Operating Costs Rate operations Capex Capital Costs F&D Cost The cost to find and develop a boe of reserve PDP Proved Developed Producing Replacement Non M&A reserve replacement rate PUD Proved Undeveloped Producing Rate 2P Proved plus Probable Reserves 3P Proved plus Probable plus Possible Reserves EOR Enhanced Oil Recovery G&A General & Administrative Royalty Interest Interest in a leasehold area providing the holder with the or Royalty right to receive a share of production associated with the leasehold area Field Netback Oil and gas sales net of royalties, production and state taxes, inventory movements, field based production expenses, hedging gains or losses but excludes depletion and depreciation. 20