Bounty Oil & Gas NL Annual General Meeting

27 November 2013

CEO’s Report Philip F Kelso

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Highlights Australia

• Bounty has successfully delineated and de-risked the Azalea Prospect in AC/P 32 (BUY 100%) Timor Sea, ready for farmout

• Azalea contains 511 million barrels of oil (MMbo) in place in the Puffin Sand reservoir up dip from Proven oil in the well Birch 1

• Bounty conservatively estimates that 113 MMbo are recoverable, making this one of the largest potential oil pools in the area

• Bounty is also working on some significant acquisitions within Australia

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Highlights Tanzania

• The Kiliwani North gas field (But 10%) is now scheduled for production in early 2015

• Bounty will produce 364 barrels of oil equivalent (boe) per day from this well

• Planning to drill the 500 BCF gas Fanjove prospect in early 2014 (BUY 5%)

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Year on Year Comparison

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Total Assets Net Assets Current Assets Petroleum Sales Cashflow

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Financials

2013 2012 2011

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Bounty Reserves and Resources

Discovered MMboe

Proved Producing P90 P50 P10

Utopia 0.226 0.582 1.210 Nacccowlah 0.046 0.150 0.286 Total Proved Producing 0.272 0.732 1.496

Proved Non-Producing Kiliwani North 0.820 0.820 Downlands 0.020 0.360 0.360 Total Proved Non-Producing 0.020 1.180 1.180

Total Proved 0.292 1.912 2.676

Contingent Utopia 0.612 1.490 2.816 South Surat 0.044 0.069 0.102 North Surat 0.000 0.950 0.040 Total Contingent 0.655 2.509 2.958

Total Discovered Reserves and Resources 0.948 4.421 5.633

Undiscovered MMboe

Prospective P90 P50 P10

South Surat 0.1 0.2 0.4 North Surat 0.0 0.5 0.0 AC/P 32 16.0 75.5 143.3 Nyuni Block 15.4 24.7 45.2 PEP 11 10.7 128.8 0.0 Total Undiscovered 42.1 229.7 188.9

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Proved P50 Contingent Prospective

Reserve Categories Year on Year Comparison

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Project Review

What are we going to review? • Strategy

• Performance

• Way Forward 2014 – 15

• Bounty Projects Overview

• SW Queensland Oil Production

• Kiliwani North Gas Commercialisation

• Nyuni Block Stratigraphic Gas Leads

• AC/P 32 Timor Sea 500 MMboip Azalea Prospect – Major Component of Bounty’s Future

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Strategy

Oil Business

Drill prospect inventory in Surat Basin, pursue further prospects with 3D seismic and continue development and near field exploration drilling in SW Queensland

Fiscal Stability

Gas Business

1. Bring on stream 10% owned Kiliwani North (Tanzania) and continue with exploration drilling in this globally significant gas play

2. Renew Surat Basin production from Downlands

Revenue Boost

2014/15

Growth Pursue huge oil targets in AC/P 32 Timor Sea (BUY 100%), and gas in Nyuni PSA, Tanzania

Upside for Shareholders

Sector Operations Objective

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Performance

Oil • Participated in two successful development wells at Utopia

drilled in early 2013, and • In a further 4 successful development and appraisal wells at

Naccowlah and Utopia drilled in the last three months • Maintaining production levels

Gas • Kiliwani North commercialisation progressing with sales

agreement for gas under active negotiation, new government owned gas plant scheduled to be ready by early 2015

• Bounty to net 2 MMcfg/d production (364 boepd)

Growth • Azalea Prospect AC/P 32 (BUY 100%) 511 MMbbl oil in place

Prospect developed and de-risked this year • Additional leads of a similar size being developed • Planning for Drilling 500 BCF gas target at Fanjove in Nyuni

PSA Tanzania (BUY 5%)

0.0010.0020.0030.0040.0050.0060.0070.0080.0090.00

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Bounty Daily Production by Field

Naccowlah bopd

Utopia bopd

Downlands Boped

Azalea Prospect Puffin Sands

(golden hues)

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Way Forward 2014 - 15

Oil • Ongoing development and appraisal drilling at Naccowlah (SW Qld) • Ongoing development and appraisal drilling at Utopia (SW Qld) • Appraisal Drilling PL 2, Surat Basin Qld • Production and testing of oil leg at Downlands, Surat Basin Qld

Gas • Finalise sale agreement and bring Kiliwani North (BUY 10%) into production at 2 MMcfg/d net to BUY for 6

years. Will lift BUY production from ~70 boepd to 434 boepd early 2015

Growth • Drill 500 BCF target at Fanjove (Nyuni PSA BUY 5%) early 2014, and acquire 3D over deep water prospects • Farmdown 100% interest in 500 MMbbl oil in place Azalea Prospect for drilling FY 2014/15, this project

provides a major upside for Bounty’s shareholders

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Bounty Projects Overview

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SW Queensland Oil Production

• Utopia 14 drilled early 2103 proved the eastern extension of the Utopia Field, confirmed by the step out well Utopia 16 just completed

• Follow up wells Irtalie East 4 and 5 and NFE well Cooroo North 1 drilled in September 2013 all intersected good reservoir in the target Basal Birkhead/Hutton and also established new pools in the Westbourne Fmn. and Basal Jurassic

• Ongoing successful development and appraisal drilling has offset natural decline and kept production relatively steady

Irtalie East and Cooroo North West

Utopia Field East Pool Depth Structure

0.0010.0020.0030.0040.0050.0060.0070.0080.00

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Naccowlah bopd Utopia bopd

SW Qld Production 2012/13

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Kiliwani North Gas Commercialisation – BUY 10%

• The new Tanzanian Government gas plant and pipeline to shore to be adjacent to Kiliwani North well head

• Joint Venture will produce from the 45 BCF Kiliwani North gasfield at a rate of 20 million cubic feet per day in early 2015 (2 MMcfg/d or 364 boepd net to BUY)

• Fanjove prospect 7 km southeast of Kiliwani North well head is a 500 BCF Pmean target in the same Neocomian Sands as host Kiliwani North and Songo Songo Gas Fields

• JV is currently considering drilling this in early 2014. Drilling involves a land rig located on Fanjove Island. Well to test the target within the Nyuni PSA and BUY will contribute 5%.

• Tanzania Government keen for new resources to fill pipeline

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Nyuni Block Stratigraphic Gas Leads – BUY 5%

• Recent Exploration by ENI, Anadarko, BG and others offsore Tanzania and Mozambique has discovered over 130 Tcf of gas in structural/stratigraphic traps in deep water turbidite sands, sourced from adjacent river deltas

• Bounty has several significant leads in the same units within the Nyuni PSA which are marked by strong seismic amplitude anomalies and other direct indicators of hydrocarbons with targets of 2.6 TCF gas.

• The deeper water off the shelf edge (dark blue) within the Nyuni PSA will be explored with around 600 km2 of 3D seismic. The JV is planning to acquire it in 2014.

BCF Gas

P90 P50 P10 Pmean

Lead 3 Pande East 220 792 2840 1303

Other Leads 1054 1375 1495 1317

Total 1274 2167 4335 2620

Stratigraphic Targets

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AC/P 32 High Impact Oil Exploration 500 MMboip – BUY 100%

• AC/P 32 is located in the Vulcan Sub-basin in Ashmore and Cartier Territory, Timor Sea

• The basin is oil prone and the permit is surrounded by oil fields with substantial production

• It is located only 25 km from the Montara/Skua/ Swallow project currently operated by PTTEP Australia

• Bounty has this year developed the 511 MMboip Azalea Prospect, which lies in the Puffin Formation up dip from proven oil in Birch 1 to the west of the permit.

• Using very conservative parameters, Bounty estimates that there could be over 100 MMbo recoverable from this prospect. If recovery is similar to some nearby fields this could double

• As the number of wells with oil shows but no pools indicates, structural traps in this area have a high risk factor to cap rock integrity and breaching, whereas Bounty’s stratigraphic prospects are in many ways lower risk than many Timor Sea plays

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Azalea Prospect Fundamentals

• This Accoustic impedance view of the seismic clearly shows the Puffin Sands in the Azalea Prospect with identical low impedance (light blue) to the excellent Upper sands encountered in Birch 1 (Av. Porosity 25%), and the corresponding higher impedance (green red) in the thin, discontinunous, oil bearing (Lower) sands

• The trap occurs where the sands pinchout up dip just west of Wisteria 1 • The stratigraphic nature of the trap and the proven oil in Birch 1 minimises the risks associated with the timing, generation and

migration of oil &

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Azalea Prospect Sand Body

• The low impedance (high porosity) sands show up clearly (golden hues) and define the extent of the Azalea prospect

• The brown and blue tones show where the sand quality is deteriorating and shale increasing, white = sand absent

• Bounty has identified three potential targets from lowest to highest uncertainty (each volume is constrained down dip by a closing contour): – Volume A – this is defined up dip and laterally by

pinchout of the sand horizon. Bounty estimates the P50 target at 135 MMboip (30 MMmbo recoverable)

– Volume B – this is defined to the north and up dip by pinchout , to the south by sand quality and increased shale . Bounty estimates the P50 target at 511 MMboip (113 MMbo recoverable)

– Volume C – This represents the full extent of the high porosity sands within AC/P 32. Bounty estimates the P50 target at 934 MMboip (210 MMbo recoverable)

• The risks associated with reservoir quality and seal integrity have been minimised

&

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Azalea Prospect – Charge

• In this part of the Timor Sea Hydrocarbon Related Diagenetic Zones (HRDZ) caused by gas accumulating in shallow reservoirs is a common feature of commercial hydrocarbon pools, for example the 30 MMbbl Skua Field.

• The HRDZ at Skua are closely related to a younger set of faults and cover a similar area to the underlying oil field

• A similar feature is observed at the edge of the Azalea Prospect • The Shallow Gas/HRDZ zone is controlled by a similar set of Faults to

those at Skua, but not nearly as widespread • This is strong evidence of a hydrocarbon charge at Azalea, and suggests

that the top seal may be more efficient than at Skua, a proven commercial field &

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Azalea Prospect - Summary

• Bounty has considerably de-risked this prospect through its seismic reprocessing and inversion work

• The 511 MMboip Prospect is anticipated to be in excellent, highly porous and permeable sands and is located at 1800 metres depth in shallow water suitable for a jack up type rig

• This is a very substantial project for Bounty, and well supported by leading edge science and analysis.

• Drilling Azalea in AC/P 32 would provide a large increase in shareholder value

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Disclaimer/Competent Person

This presentation contains forward looking statements that are subject to risk factors associated with the oil and gas industry. It is believed that the expectations reflected in these statements are reasonable but they may be affected by a range of variables which could cause actual results or trends to differ materially, including but not limited to: product price fluctuations, actual demand, currency fluctuations, geotechnical factors, drilling and production results, oil and gas commercialisation, development progress, operating results, engineering estimates, reserve estimates, loss of market, industry competition, environmental risks, physical risks, legislative, fiscal and regulatory developments, economic and financial markets conditions in various countries, approvals and cost estimates.

All references to dollars, cents or $ in this document are Australian currency, unless otherwise stated

[The information in this report that relates to or refers to petroleum or hydrocarbon reserves, is based on information and reports prepared by , reviewed and/or compiled by the CEO of Bounty Oil & Gas NL Mr Philip F Kelso. Mr Kelso is a Bachelor of Science (Geology) and has practised geology and petroleum geology for in excess of 20 years. He is a member of the Petroleum Exploration Society of Australia and a Member of the Australasian Institute of Mining and Metallurgy. He consents to the reporting of that information in the form and context in which it appears.]