Communicators

Perth, Western Australia – 8 September 2021 – Brookside Energy Limited (ASX: BRK) (FSE: 8FE) (Brookside or the Company) is pleased to provide shareholders and investors with an update on operations in preparation for the drilling of Brookside’s second well in the SWISH Area of Interest (AOI) in the world-class Anadarko Basin, the high-impact Rangers 36-25 SXH 1 Well (Rangers Well) (Figures 2 & 3).

Brookside is pleased to announce that its controlled subsidiary, Black Mesa Energy, LLC (Black Mesa) has executed an IADC Drilling Bid Proposal and Daywork Drilling Contract with Bakersfield, California based Kenai Drilling (Kenai). Kenai, a large drilling contractor in the United States, operates a modern rig fleet with a significant focus on the mid-content via their Oklahoma City office. The contract is to supply and operate Kenai Rig 18 for the drilling of the Company’s second well being its first well in the Rangers DSU, the Rangers Well, under the supervision of the Black Mesa team.

The Company took the opportunity to secure Kenai Rig 18, a newer generation rig than that used to drill the Jewell Well, when presented with the chance to do so. Kenai Rig 18 has been operating extensively in the Southern Scoop area, drilling horizontal wells for some of the large privately held operators that are active in the area.  Kenai Rig 18 is currently drilling in the SWISH area and the Company is working with Kenai to align the drilling slot with the availability of related well services and materials that the Company is in the process of securing in anticipation of the upcoming well spud.

Kenai Rig 18 is a new generation modern top-drive rig with a Canrig Model 1250 AC-681, 500-ton Top Drive Drilling System, American Block Drawworks, powered by a Joliet 1,500 HP AC drilling motor. The rig has a drilling range of 23,000 feet and is powered by 4-MTU,12V-4000 (1,482 HP each) diesel engines, driving 4-Hyundai 1,100 KW Generators. Kenai Rig 18 meets and exceeds the specifications required to drill the Rangers Well on time and on budget while complying with all HSE requirements.

Figure 1. Kenai Drilling modern top-drive rig

(photo courtesy of Kenai Drilling)

Commenting on the announcement, Brookside Managing Director, David Prentice said:

“We are delighted to have the opportunity to work with the team at Kenai Drilling to maintain our operating momentum in the SWISH AOI.  Through its decades of experience, and modern rig fleet they are a great partner for Brookside to work with as we kick-off our second well in our SWISH AOI drilling campaign.

“With a large focus on the mid-continent and considerable experience drilling in the Anadarko Basin, Brookside will benefit from Kenai’s local experience, personnel, and equipment.”

“With the rig now secured and the pad works proceeding to schedule, the Black Mesa team are working diligently to lock down agreements with other key service providers and we are looking forward to providing further updates in this regard shortly.”

Figure 2. Location map showing Brookside’s three operated SWISH AOI DSU’s and the location of the Rangers Well

Background

Brookside is developing its “core of the core” acreage position in the SWISH AOI located in the highly sought-after Sycamore-Woodford trend in the southern SCOOP Play in the world-class Anadarko Basin. Brookside has embarked on a potential 5-year, 20-plus well development drilling program across its three operated development areas / DSUs (Jewell, Flames, Rangers) that the Company controls in the SWISH AOI to develop a conservatively estimated 11,606,000 net BOE Prospective Resource1 (best estimate, unrisked).

Prospective Resources Cautionary Statement

The estimated quantities of petroleum that may potentially be recovered by the application of future development projects relate to undiscovered accumulations. These estimates have both an associated risk of discovery and a risk of development. Further appraisal and evaluation is required to determine the existence of a significant quantity of potentially moveable hydrocarbons.

Initial wells drilled in the SWISH AOI will be targeting one of two primary producing formations in the SWISH AOI, the Sycamore formation. The Sycamore formation continues to deliver outstanding sustained productivity in nearby offsetting wells. To date, the Continental Resources, Inc. (Continental) (NYSE: CLR) operated Flash 1-8-5MXH well has produced ~580,000 BOE in approximately 19-months.

Future wells will also target the Woodford formation, which just like the Sycamore formation continues to deliver outstanding sustained productivity in nearby offsetting wells. To date, another Continental operated well, the Courbet 1-27-22XHW well, has produced ~430,000 BOE in approximately 14-months.

Figure 3. SWISH AOI activity map showing the location of Brookside DSUs

– ENDS –

Authority:

This announcement has been authorised for release by the Board of Directors of Brookside Energy Limited

For further information, contact:

David Prentice

Managing Director

Brookside Energy Limited

Tel: (+61 8) 6489 1600

david@brookside-energy.com.au

Omar Taheri

Founder

SparkPlus

Tel: +65 8111 7634

omar@sparkplus.org

Gracjan Lambert

Executive General Manager Commercial

Brookside Energy Limited

Tel: (+61 8) 6489 1600

gl@brookside-energy.com.au

Eliza Gee

Director

ASX Investor

Tel: +61 432 166 431

eliza@asxinvestor.com.au

Forward-Looking Statements and Other Disclaimers

This announcement may include forward-looking statements. Forward-looking statements are only predictions and are subject to risks, uncertainties, and assumptions, which are outside the control of Brookside Energy Limited (“Brookside Energy”, or “the Company”).  These risks, uncertainties and assumptions include commodity prices, currency fluctuations, economic and financial market conditions in various countries and regions, environmental risks and legislative, fiscal, or regulatory developments, political risks, project delay or advancement, approvals, and cost estimates.  Actual values, results or events may be materially different to those expressed or implied in this announcement. Given these uncertainties, readers are cautioned not to place reliance on forward-looking statements.  Any forward-looking statements in this announcement speak only at the date of issue of this announcement. Subject to any continuing obligations under applicable law and the ASX Listing Rules, Brookside Energy does not undertake any obligation to update or revise any information or any of the forward-looking statements in this announcement or any changes in events, conditions, or circumstances on which any such forward looking statement is based.

This announcement does not constitute investment advice.  Neither this announcement nor the information contained in it constitutes an offer, invitation, solicitation, or recommendation in relation to the purchase or sale of shares in any jurisdiction.   Shareholders should not rely on this announcement. This announcement does not consider any person's particular investment objectives, financial resources or other relevant circumstances and the opinions and recommendations in this announcement are not intended to represent recommendations of investments to persons. All securities transactions involve risks, which include (among others) the risk of adverse or unanticipated market, financial or political developments.

The information set out in this announcement does not purport to be all-inclusive or to contain all the information, which its recipients may require to make an informed assessment of Brookside Energy.  You should conduct your own investigations and perform your own analysis to satisfy yourself as to the accuracy and completeness of the information, statements and opinions contained in this announcement.

To the fullest extent permitted by law, the Company does not make any representation or warranty, express or implied, as to the accuracy or completeness of any information, statements, opinions, estimates, forecasts, or other representations contained in this announcement. No responsibility for any errors or omissions from this announcement arising out of negligence or otherwise is accepted.

ABOUT BROOKSIDE ENERGY LIMITED

Brookside Energy is a Perth-based ASX, and Frankfurt listed company that generates shareholder value by developing oil and gas plays in the United States, specifically the Anadarko Basin in Oklahoma. The Anadarko Basin is a proven Tier One oil and gas development province with significant existing oil and gas gathering and transportation infrastructure, a competitive and highly experienced oil and gas service sector, and a favourable regulatory environment. Brookside is executing a “Real Estate Development” approach to acquiring prospective acreage in the Anadarko Basin and adding value to it by consolidating leases and proving up oil and gas reserves. The Company then has the option of selling the revalued acreage or maintaining a producing interest. The Company is now set to scale-up its activities and asset base significantly with its operated- interests in the SWISH AOI.

Web http://brookside-energy.com.au

ABOUT BLACK MESA ENERGY, LLC

Black Mesa Energy, a Brookside Energy controlled subsidiary, is a Tulsa-based oil & gas exploration and production company focused on profitable development of petroleum properties located in the Mid-Continent oil province of the United States. Our lean and highly specialized technical and operations team is committed to providing attractive returns for our investors and shareholders by generating and drilling high quality oil and gas prospects. The founders of Black Mesa have worked together for over 30 years at companies they previously founded, including Medallion Petroleum, InterCoast Energy and Brighton Energy.  Over the course of their careers, the Black Mesa team has drilled hundreds of horizontal wells and thousands of vertical wells in numerous mid-continent oil and gas basins. In addition to the financial backing from the Black Mesa shareholders, Black Mesa partners with outside investors on larger-scale projects by offering non-operated direct working interest participation.

Web http://www.blkmesa.com

GLOSSARY