Quarterly Activities Report To 30 September 2022

Geoscience technology disruptor SensOre (ASX:S3N) is pleased to present its quarterly activities report for the period ending 30 September 2022.

Highlights

• Quarterly invoices raised increased to $0.76m in Q1 FY2023, up 118% from Q4 FY2022
  
• Total Contract Value (TCV) increased 36% from $1.4m to $1.9m
• SensOre completed integration with Intrepid Geophysics
• Technology milestones achieved included two new products:
  • Launch of Cauchy Downward Continuation (CDC) - a new geophysics application
  • Release of Intrepid 3D 6.2.2
    • Continental scale geophysics and feature extraction improvements
    • 3D graphics enhanced & Geology from Geophysics 3D tools updated
    • New TrendQ Gridding and a new WormE interface
• Services milestones achieved:
  • Commenced work on Queensland and other states to complete build of Australia-wide data cube
  • Completed Full Waveform 2.5D inversion on 30,000-line kilometres of AEM data in WA
  • Completed basin scale hydrogen storage project in Queensland for a government client
• Exploration:
  • Lithium targets – Commenced acquisition of promising lithium targets in pegmatite-rich areas
  • Grace – Completed passive seismic and secured a drill rig to commence first-pass drill testing
  • Balagundi – Released exploration results on Balagundi highlighting new gold zones identified
  • Moonera – Assay results demonstrate potential for Moonera to be an IOCG or porphyry-related copper-gold target of scale.
• Cash balance at 30 September 2022 of $2.928m.

Contracts and Financial Results

Cash receipts from customers during the quarter were $0.67m, higher than Q4 FY2022. Billings and subsequently cash receipts vary month by month and quarter by quarter due to the anniversary dates of key contracts and the timing of services revenue in reaching project milestones. With closing trade receivables of

$0.54m at the end of the quarter, cash receipts related to this will be received next quarter. Invoices raised during the quarter were $0.76m, up 118% over the prior quarter. SensOre is starting to see returns from its investment in automation, software development and research.

Total Contract Value (TCV) increased 36% compared to Q4 FY2022, on a net basis after depletion TCV $0.510m compared to the previous quarter. TCV is the remaining value of current contracts. It depletes monthly, as the remaining term of the contract reduces. Several larger contracts were signed with clients during the September quarter for delivery in coming quarters. SensOre intends to commence reporting Annual Recurring Revenue ("ARR") in 2023.

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