Galilee Energy : AGM Managing Director’s Presentation 28 November 2018

Annual General Meeting 2018

Managing Director's Presentation

ASX: GLL

• ▪ Brisbane based gas explorer (ASX:GLL).

• ▪ 100% owner of the 2nd largest Contingent Gas Resource in Queensland (excluding the big 3 LNG exporters).

• ▪ Management team has a proven track record of top tier coal seam gas and conventional exploration success.

• ▪ MD formerly of Eastern Star Gas which was sold to Santos for $900m after booking 1520 PJ 2P reserve.

• ▪ Well placed to supply gas into the critically undersupplied Australian east coast gas market. Jemena pipeline option provides clear path to market.

• ▪ ~$90m spent to date on Glenaras Gas project. Major potential value creation phase imminent with step out pilot designed to convert major Resource into a significant Reserve position.

Location of Glenaras Gas Project

(Galilee Basin)

GAS EXPLORER WITH A MAJOR STRATEGIC ASSET

IN THE CRITICAL EAST COAST GAS MARKET

Financial information

Top 5 shareholders

Share price (23 November18)

Number of shares

A$0.58

204M

Market capitalisation

Cash (30 September 18)Debt (Current)

A$118M

A$7.5MNo debt

(as at 23 November 2018)

Morgan Stanley 11.7%

Ecarlate Pty Ltd 9.4%

HSBC 4.0%

JP Morgan 2.9%

Becamal Pty Ltd 2.7%

Directors and management 4.3%

Enterprise Value

A$110.5M

• ▪ 2018 represents an excellent year for company growth.

• ▪ Market cap has grown from $18M in Sep 2017 to over $110M today as a result of:

  • - Successful new pilot programme which has significantly de-risked the project.

  • - Strong capital management and cost control.

  • - Excellent market communication programme.

Galilee Energy Limited 1 Year Share Price and Volume	Volume
	A$ per Share	(m shares)

0.90

0.80

0.70

0.60

0.50

0.40

0.30

0.20

0.10

0.00

Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov 17 17 18 18 18 18 18 18 18 18 18 18 18

9

8

7

6

5

4

3

2

1

0

• • Australian east coast gas thematic continues to be a powerful story for Galilee.

• • East coast market was transformed with the advent of the three LNG projects in Queensland which altered the supply and pricing dynamics.

• • Supply to meet domestic demand has been constrained by these LNG exports with huge east coast gas volumes contracted for export.

• • Gas prices have increased from 2008-2010 levels of as low as $3/GJ to recent highs of over $10/GJ.

• • Galilee's Glenaras Gas Project Contingent

  Resource of 5,300 PJ, if converted to Reserves, is enough to supply the entire domestic east coast market for 8 years. (~650 PJ/year)

Domestic gas prices aligning with international

LNG netback pricing

Source: AEMO Gas Statement of Opportunities for SE Australia March 2017

THE SOLUTION IS NEW SOURCES OF GAS SUPPLY

SUCH AS GALILEE'S GLENARAS PROJECT

• ▪ The Glenaras Gas Project is a mature exploration project with over $90 million spent to date.

• ▪ The resource is clearly defined with over 20 exploration wells, 700km of seismic and two multi well pilots.

• ▪ Importantly, the existing assets include a large water storage facility (450 ML costing over $6 million) and existing production gathering and flare facilities.

• ▪ This expenditure has advanced the Glenaras Gas Project to its significant current +Contingent Resource position:

  Category	Resource Estimate (PJ)
  1C	308
  2C	2,508
  3C	5,314

• ▪ Current multi-lateral pilot program to convert Resources to Reserves is the remaining step for significant value creation.

• ▪ Current pilot is utilizing the existing facilities; a significant cost saving versus a new pilot in a new permit area.

+See ASX Listing Rule 5 Disclosure on slide 12 of this presentation.