Jackson-2 Well Drilled to TD & Free Gas Confirmed

§ Jackson-2 well successfully drilled to total depth ("TD") of 1,232ft (375m) measured depth ("MD") with free gas confirmed by wireline logs

§ Well flowed naturally during drilling and at TD, demonstrating good reservoir communication

§ The well encountered 73ft (22m) gross pay of high-quality (22-26% porosity based on petrophysics from offset wells JXSN-1,-2,-3,-4 and Sate-16), gas-saturated sands in the Upper Lyons Sandstone Formation

§ Samples sent to laboratory for analyses of helium and CO2 concentrations

§ Well head being installed ahead of surface pressure readings and flow testing

Lorna Blaisse, Chief Executive Officer, commented:

"This has been a very successful development campaign to date, and Jackson-2 is the fifth well to have been drilled. Based on these wells coming in as expected, with consistently good flow rates and helium concentrations across the Galactica project, we will continue with the campaign and drill the sixth and final well of this campaign at State-9, which is expected to commence shortly.

Blue Star are assessing the overall programme in order to determine the timing of the next phase, which will include installation of the processing facilities and the tie-in of the wells."

Jackson-2 Well Drilling and Initial Flow Test Results

The Jackson-2 L4 3154 development well encountered the Lyons Sandstone Formation at a depth of 1,159ft (353m) MD and was completed 73ft (23m) into the Upper Lyons Sandstone Formation at 1,232ft (375m). The well exhibited strong natural flow during drilling and at TD, in line with the recent Jackson-27, Jackson-29, Jackson-31 and Jackson-4 wells.

Significantly, no water was encountered during drilling of the Lyons Sandstone Formation and wireline logs confirmed this. Based on offset wells, it is likely that the entire Upper Lyons Sandstone Formation, and a significant portion of the Lower Lyons Sandstone Formation will be gas saturated. Jackson-2 targeted the highest quality sandstone at the top of the Upper Lyons Sandstone Formation, which is connected to the entire gas column.

It is anticipated that, upon successful testing at Jackson-2, the well will be completed, ready to be tied-in to production facilities.

The rig is planned to be mobilised to the State-9 SWSE 3054 well location next, the sixth and final well in this current campaign, where pad construction will commence shortly.

Galactica/Pegasus Development

The Galactica project forms part of the broader Galactica/Pegasus development, discovered by Blue Star in 2022. This large-scale project offers multiple potential product streams. Blue Star is advancing the Galactica project in joint venture with Helium One Global Ltd. Under the farm-in agreement, Helium One will fund the first US $450,000 of this well.