Gas Discovery at Paus Biru Well-1

Posted on 12 December 2018

New Zealand Oil & Gas subsidiary, Cue Energy Resources, has made an announcement that a new gas
field has been discovered at the Paus Biru-1 exploration well offshore East Java in the Madura Strait,

An initial Drill Stem Test (DST) undertaken over the 576-605 mMD interval flowed gas at a rate of 11.2
MMscfd sustained over a 5 hour period through a 64/64” choke at 525 psia well head pressure. The
well was then shut in for 9 days for pressure build up before a maximum flow test which produced
13.8 MMscfd through a 120/64” choke for 55 minutes. Preliminary gas sample analysis indicates low
inert content.

Paus Biru-1 is located in the Sampang PSC approximately twenty seven kilometres east of the
producing Oyong Gas Field. The well was drilled as an exploration well to a total measured depth of
710 metres and intersected estimated net gas pay of 29 metres across the primary Mundu Limestone
Globigerina reservoir target.

A plan of development with commercialisation through the existing Oyong facilities will now be
prepared for submission to the regulator for approval.

The well is currently being plugged and abandoned as planned.

Participants in the Sampang PSC Indonesia, are Santos (Sampang) Pty Ltd (An Ophir Energy Group
company) 45% (Operator); Singapore Petroleum Sampang Ltd 40% and Cue Sampang Pty Ltd 15%.

Cue's announcement is attached.