Hartshead Resources NL : Appointment of Specialist Energy Advisor

HARTSHEAD RESOURCES NL (ACN 150 624 169)

T [phone]

E [e-mail]

Level I, 89 St Georges Terrace, Perth WA 6000

PO Box Z5187, Perth WA 6831

27 June 2022

Appointment of Specialist Energy Advisor

Following Expressions of Interest in Hartshead's Phase I Gas Development

from Several Potential Industry Partners

Highlights:

• Energy sector specialist, LAB Energy Advisors, have been appointed by Hartshead to advise the Company on the investment process for industry partnering on its Phase I development of the Anning and Somerville gas fields.
• The appointment of LAB Energy Advisors follows growing interest from several industry players in Hartshead's P2607 license area of the UK Southern Gas Basin.
• The process commencement is aimed at selecting an industry partner for the Phase I field development.

Hartshead Resources NL (ASX:HHR) (Hartshead, HHR or the Company) is pleased to announce the appointment of LAB Energy Advisors Limited (LAB Energy), a UK based specialist energy sector advisory company with extensive upstream corporate M&A and asset A&D experience, to advise the Company on industry partnering for its Phase I development of the Anning and Somerville gas fields.

The LAB Energy team have a strong track record in asset divestments and farm-out transactions globally, including the UK and Dutch sectors of the Southern Gas Basin and bring a wealth of transaction experience with clients ranging from the oil & gas majors to independent energy players.

After several approaches from multiple parties, the Company has commissioned LAB Energy to formally launch a process that intends to secure an industry partner for the development stage of the Phase I Anning and Somerville gas fields following Final Investment Decision (FID), which is expected to be completed in early-2023.

The recent progress of the Phase I development project through the development planning process, combined with increasing focus on UK gas import dependency and security of supply, has resulted in growing interest from a number of industry players in Hartshead's P2607 license area of the UK Southern Gas Basin. The appointment of LAB Energy will allow those companies who have shown interest in partnering with Hartshead at the development stage, to enter a structured divestment process as the Company progresses its Phase I development through the FEED stage and prior to the final investment decision.

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The Company is also pleased to announce the release of an updated Corporate Presentation which incorporates the results of the recently announced independent technical and commercial audit of the Anning and Somerville gas fields by ERC Equipoise (ERCE).

CEO of Hartshead, Chris Lewis, commented: "The level of interest in Hartshead's P2607 license from potentially suitable industry partners affirms our confidence in the value of the asset. With the increased interest in investment into UK gas developments and high gas prices, now is an opportune time to engage with suitable industry partners. I am delighted to be working with the highly experienced LAB Energy team, and I am confident this will deliver a successful outcome and value for shareholders."

LAB Energy Advisors Ltd

Llamas and Bannister (LAB) Energy Advisors is a leading independent, specialist energy advisory company. The company was incorporated in 2021 and comprises a technically focussed team with team members having a combination of industry and energy advisory exposure. The founders gained technical experience in Shell and Schlumberger, respectively, whilst exposure to energy advisory mandates resulted from roles within Waterous & Co, Tristone Capital, FirstEnergy, GMP FirstEnergy and Stifel. The team has completed transactions across the globe and has significant North Sea experience including mandates in the UK and Netherlands sectors of the Southern Gas Basin.

Ends-

CONTACTS

The Board of Directors of Hartshead Resources NL authorised this announcement to be given to ASX.

For further information on this announcement, visit www.hartshead-resources.com.auor contact:

Christopher Lewis	Jane Morgan
Chief Executive Officer	Investor and Media Relations
Andrew Matharu	w: [phone]
Chief Financial Officer	e: [e-mail]

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w: [phone]

1. [e-mail]

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Notes to Editors:

Hartshead Resources NL

ASX-listed Hartshead Resources NL is focussed on building a financially, technically and environmentally responsible European Energy business.

Hartshead's goal is to secure and invest in projects where resources can be extracted and delivered to meet Europe's growing energy demand while supporting the transition to a low carbon future.

In progressing this strategy Hartshead is focused on its 100% owned Production Seaward License P2607 comprising of five blocks which contain four existing gas fields in the UK Southern Gas Basin.

Hartshead brings together a highly experienced oil and gas team with specialised knowledge covering subsurface, engineering, commercial, QHSE and capital markets with the required skillsets needed to successfully and safely deliver oil and gas upstream projects.

UK Southern North Sea Production Seaward License P2607 - Reserves, Contingent and Prospective

Resources

Please refer to the qualified person's statement relating to the reporting of reserves on Hartshead Resources Southern North Sea License P2607 in Hartshead's ASX announcements dated 23 June 2022.

Please refer to the qualified person's statement relating to the reporting of contingent and prospective resources on Hartshead Resources Southern North Sea License P2607 in Hartshead's ASX announcements dated 6 April 2022 and 8 March 2022.

The Company is not aware of any new information or data that materially affects the information about the contingent resource or prospective resource estimates included in this announcement and all the material assumptions and technical parameters underpinning those estimates in this announcement continue to apply and have not materially changed.

RESERVES1

							1P	2P	3P
		49/17b	Anning
			Sales Gas (Bcf)	73		145.0	245
						Condensate (MMbbl)	0.081		0.192	0.375
	PHASE I
				Sales Gas (Bcf)	107.0			213
							156.5
		49/17b	Somerville
						Condensate (MMbbl)	0.119		0.208	0.325
						Total (MMboe)	31.2		52.4	79.7

1 Reserves estimates are from ERC Equipoise Limited, Independent Competent Persons Report (CPR) entitled "Hartshead Resources NL Somerville and Anning Competent Persons Report" dated June 2022. See Qualified Persons Statement for reserves reporting notes.

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CONTINGENT RESOURCES2 (BCF)			1C		2C		3C	GCoS
		49/6c, 49/11c	Lovelace	14			39		70	100%
PHASE II
	48/15c	Hodgkin		35			100		387	100%
PROSPECTIVE RESOURCES3 (BCF)			1U		2U		3U	GCoS
		49/17b	Garrod	16			52		125	50%
		49/17b	Ayrton	25			74		146	41%
		49/17b	McLaren	18			27		39	54%
		49/17b	Stephenson	36			47		60	43%
		49/17b	Widdowson East	6			29		79	32%
		49/17b	Widdowson Central	11			21		40	50%
PHASE III		49/17b	Lonsdale		5			16		31	50%
EXPLORATION		49/17b	Anderson		5			12		29	45%
		49/12d	Wenlock Prospect 1		4			19		55	36%
		49/12d	Wenlock Prospect 2		1			5		19	36%
		49/11c	Wenlock Prospect 3		1			5		17	36%
		49/11c	FFs Prospect 1		3			11		26	41%
		49/11c	FFs Prospect 2		8			19		37	35%
		49/11c	FFs Prospect 3		4			9		17	34%

Forward Looking Statements

This document has been prepared by Hartshead Resources NL (HHR). This document contains certain statements which may constitute "forward-looking statements". It is believed that the expectations reflected in these statements are reasonable but they may be affected by a variety of variables and changes in underlying assumptions which could cause actual results or trends to differ materially, including, but not limited to: price fluctuations, actual demand, currency fluctuations, drilling and production results, reserve and resource estimates, loss of market, industry competition,

1. Hartshead management estimates
2. Prospective resources are estimated quantities of petroleum that may potentially be recovered by the application of a future development project(s) and relate to undiscovered accumulations. These prospective resources estimates have both an associated risk of discovery and a risk of development. Further exploration appraisal and evaluation is required to determine the existence of a significant quantity of potentially moveable hydrocarbons.

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