Karoon Gas Updates on Poseidon North‐1 Well

Karoon Gas Australia said that at Poseidon North‐1 well, the hole was at a depth of 2,459 metres and preparations were being made to install the BOP and riser prior to drilling ahead in the 12‐1/4” hole section.

Since spudding on 19 March 2014, the 17‐1/2” hole section was drilled to 2,459 meters at which point the 13‐3/8”casing was run and cemented in place at a depth of 2,453 meters.

Poseidon North‐1 is the fifth well in the Browse Basin Phase 2 exploration drilling campaign. The well is located 6.5 kilometers north‐east of Poseidon‐1 in permit WA‐315‐P, on the crest of a large, tilted fault block. The well is targeting the Plover and Montara formations and has the potential to add significantly to the already discovered Greater Poseidon area resource.

The six well Browse Basin Phase 2 exploration drilling campaign will continue through calendar year 2014 using the ‘Transocean Legend’ semi‐submersible rig. Four of the six wells have been completed so far. The well location for the last exploration well of the campaign will be announced upon joint venture approval. The principal objective of the campaign is to better define the size and quality of the hydrocarbon resource within the exploration permits which contain the Greater Poseidon trend.

ConocoPhillips is the operator of the WA‐315‐P Browse Basin permit in which Karoon Gas Australia Ltd currently holds 40%.