Daydream-2 Operations Update

Elixir Energy Limited (“Elixir” or the “Company”) is pleased to provide an update on the Daydream-2 program in its 100%-owned Grandis Project in Queensland’s Taroom Trough.

HIGHLIGHTS

• Lorelle Sandstone flows gas at stabilized flow rates of 2.1 and 2.5 MMSCFPD
• Flow rate of Lorelle zone alone approaching the modelled economic hurdle
• Five stage stimulation program now underway

The flow test of the Lorelle Sandstone post stimulation was completed yesterday. On-site operations have now moved to the stimulation of the 5 upper zones.

Gas flare of approximately 3 MMSCFPD from Daydream-2

The Lorelle Sandstone was flow tested from 4,200 meters to 4,217 metres directly through the 4 1/2” casing without a completion. The well was tested at multiple rates and multiple choke sizes. The well flowed gas at a maximum rate of 3.5 Million Standard Cubic Feet Per Day (MMSCFPD) and on multiple occasions stabilized rates were observed between 2.1 and 2.5 MMSCPFD throughout the flow period (see Appendix 1 for full disclosures required under Listing Rule 5.30).

As the test progressed, it has become clear that stimulation fluid in the wellbore was accumulating and suppressing the stabilized rate. Running a completion string in the hole in any future production test would resolve this issue and significantly improve the gas production rate. Engineering calculations suggest that with the appropriate completion string in the hole, the well would flow at a stable rate of 3.0 MMSCFPD. Towards the end of the testing, minor amounts of condensate were recovered.

Daydream-2 wellsite during Lorelle Testing operation

The unstimulated rate achieved in April 2024 from the same zone was 1.3 MMSCFPD. The results of the test show that the stimulation was successful and caused a material increase in gas flow.

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