Negotiation of Farmout Obligations with ConocoPhillips Australia

3D Energi Limited (ASX: $TDO) has successfully negotiated an amendment to farmout agreements with ConocoPhillips Australia (COPA) Joint Venturers for VIC/P79 and T/49P exploration permits in the Otway Basin. The negotiation allows TDO to retain a 20% participating interest in both permits and consolidate farmout obligations, providing flexibility in well carry obligations.

Executive Chairman's Comments on Negotiation Outcome

The negotiation of the Well Transfer Option is a great outcome for the Joint Venture as it provides the opportunity to target the most commercially attractive prospects in the initial drilling campaign. The JV is aligned in aiming to bring gas to market in the shortest timeframe achievable at a time when new gas supply is desperately needed on the Australian East Coast.

Summary of Negotiated Farmout Obligations and Future Drilling Program

3D Energi's successful negotiation of farmout obligations with ConocoPhillips Australia allows for the consolidation of well carry obligations, providing flexibility in targeting commercially attractive prospects. The amended FOAs form part of an emerging strategy to manage exploration prospects within both permits as one large portfolio, aiming to facilitate a faster pathway to a commercial project. The Joint Venture's commercialization strategy recognizes three main exploration fairways across the VIC/P79 and T/49P portfolios, with the flexibility to make decisions on drilling locations based on commercial considerations. The negotiation milestone ensures that the Company remains financially carried for the drilling program of both wells, with final well locations to be confirmed after the completion of risked and ranked prospect inventory and economic model.