Various – Central Australia

Company overviewCentral Petroleum is a publicly listed Australian oil and gas company with both producing assets and exploration projects across two highly prospective basins in central Australia.ASX: CTP Market capitalisation: A$42.5 million at 19 May 2016 Number of shares: 433,197,647 at 31 March 2016 Website: www.centralpetroleum.com.au Resource: Conventional and shale petroleum

Contact detailsCentral PetroleumRichard CotteeManaging Director/CEOT: +61 7 3181 3800E: richardcottee@centralpetroleum.com.au

Australia Northern Territory Government Department of Mines and Energy Investment Attraction DivisionMs Fiona Park Director Investment Attraction T: +61 8 8999 1385 E: Fiona.park@nt.gov.au For more information on this project or others available in the Northern Territory, visit www.core.nt.gov.au

Project overviewCentral Petroleum is advancing several separate projects across what is regarded as the biggest package of proven and prospective oil and gas acreage in central Australia, located near to existing infrastructure.Producing assets include the Surprise oil field, averaging 160 BOPD with continuous production since April 2014, the Palm Valley gas field and the newly commissioned Dingo gas field. Once in full operation, the total sales of gas from Palm Valley and Dingo should reach over 3.3 PJ per year providing an operating profit before interest and taxes of over A$5 million annually. The company also holds a world class exploration acreage portfolio, predominantly gas-prone, with tenements possessing proven source rocks and active hydrocarbon systems. Key exploration programs include the Amadeus Joint Venture (with Santos), the Southern Georgina Exploration Program (with TOTAL), and Central Petroleum’s own Amadeus Basin program. Central Petroleum has secured preferred bidder status over other large areas in the Amadeus and Wiso Basins in the central Australian region of the Northern Territory. These are being progressed through negotiations with Traditional Owners, and will provide additional exploration opportunities. This spread of assets gives Central Petroleum multiple options for growth and development across several projects.

Geology and exploration activity to dateThe Amadeus Basin is a large intracratonic sedimentary basin that was initiated as part of the Central Australian Superbasin and was substantially affected by intraplate tectonics. Numerous conventional discoveries exist in the Amadeus Basin, and the wells of the Palm Valley and Dingo fields have been hydraulically fractured to enhance production. Unconventional resources could include shale oil, shale gas and tight gas. The most prospective reservoir units are Stairway Sandstone-hosted shales, Horn Valley Siltstone and Pacoota Sandstone-hosted shales. Best estimate recoverable resources for the Horn Valley Formation are 16 TCF dry gas. Central Petroleum’s Amadeus Joint Venture (operated by Santos), is a staged exploration program aiming to identify large structures to mature into drillable prospects. Since October 2012 stage 1 of the Amadeus Joint Venture project acquired 1586 km of 2D seismic to identify structures and play types in the Southern Amadeus Basin, and Mt Kitty 1 was announced as a discovery of hydrocarbons and helium. A further of 346 km 2D seismic was acquired over the north-west Mereenie sub-block of EP 115. In July 2014 Santos announced its intention acquire a further 1300 km of 2D seismic as part of stage 2 of the project, so as to delineate drillable prospects that could result in drilling of wells in stage 3.Unconventional oil and gas play potential exists over large areas of the southern Georgina Basin. The Arthur Creek Formation is currently being investigated as a potential shale oil or tight gas reservoir. Two horizontal wells (Baldwin 2 HST1 and MacIntyre 2H) in the lower Arthur Creek Formation encountered heavy gas readings. Owen 3H, another horizontal well, demonstrated potential for shale oil from the same interval. Central Petroleum’s Southern Georgina Exploration Program (SGEP) for unconventional gas is a joint venture with international oil and gas company TOTAL. Central Petroleum is the operator of the project and is responsible for all activities during the four-year exploration progress evaluation of a continuous shale gas resource over a large area. To date 974 km 2D seismic have been acquired, the Gaudi 1 well was fully cored and logged, and legacy wells were analysed and included to progress exploration. Future drilling is planned at Whiteley and other locations.

KATHERINE

Surprise

Palm Valley Dingo

0 100 km

RailwayMajor road

Major townGas pipeline

TENNANT CREEK

ALICESPRINGS

DARWIN

InfrastructureCentral Petroleum holds an extensive package of prospective acreage of over 270,000 km2 in central Australia, predominantly in the Northern Territory and Queensland. The company’s producing assets and its Amadeus Joint Venture exploration project are based around the town of Alice Springs, and existing company-owned pipelines enable domestic oil and gas contract sales to customers in the town, including the Northern Territory Government-owned power generation company.

Business overview• Central Petroleum is a supporter of the Northern Territory

Government’s proposal to build the North East Gas Interconnect pipeline (NEGI) which would connect the Northern Territory’s existing gas pipelines to the Australian east coast gas market. If this project proceeds, its target of being operational in 2018 would open a significant new market for Central Petroleum’s petroleum products, enabling the company to reduce production costs by increasing volume. Australia is facing a gas supply shortfall in the order of 700PJ (BCF) from 2017.

• In anticipation of the NEGI pipeline, Central Petroleum has signed a non-binding heads of agreement with Incitec Pivot for gas sales of up to 15 PJ of gas per annum.

• To position it for the higher volumes that would be required following the construction of the NEGI pipeline, Central Petroleum plans deep drilling around Palm Valley in 2015, in order to test the deeper Arumbera Sandstone which is an established gas bearing reservoir in the Dingo gas field some 100 km eastwards.

Project status and development timeline• May 2015 gas sales commence from the newly commissioned

Dingo project• Palm Valley deep drilling to increase reserves in 2015• Completion of phase 1 of the Southern Georgina Basin Joint

Venture (with Total) following exploration expenditure of approximately $90 million - 2016

Investment soughtCentral Petroleum would welcome discussions with companies willing to support the next stage of its exploration programs.

Resource estimates2P Reserves for gas at Central Petroleum’s operations include 26 BCF at Palm Valley and 29 BCF at Dingo. 2P Reserves of oil at Surprise total 6.42 MMbbl. Mean Undiscovered Prospective Resources for shale gas and basin-centred gas in the Amadeus Basin tenements is estimated at 26.2 TCF.

Disclaimer: This document includes information provided by third parties. The information is general in nature and is for information purposes only. The Northern Territory Government makes no representation about the veracity or accuracy of information provided by third parties. You must rely on your own due diligence before proceeding. You should consider seeking independent professional advice.

© Northern Territory Government May 2016