Invictus Energy : Cabora Bassa Project Investor Update

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Invictus Energy Ltd (ASX: IVZ) (OTCQB: IVCTF)

Cabora Bassa Project Investor Update

Scott Macmillan

Managing Director

15 December 2021

Disclaimer

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This document is for information purposes only. It is not a prospectus, disclosure document or offering document under Australian law or under any other law and does not constitute an offer or invitation to apply for securities. In particular, this document is not an offer of securities for subscription or sale in the United States of America or any other jurisdiction in which such an offer or solicitation is not authorized or to any other person to whom it is unlawful to make such an offer or solicitation. The information in this document is an overview and does not contain all the information necessary to make an investment decision. To the extent permitted by law, no representation or warranty, express or implied, is made as to the accuracy, adequacy or reliability of any statements, estimates or opinions or other information contained in this document, any of which may change without notice. Neither Invictus Energy Limited (Invictus), nor any other person warrants the future performance of Invictus or any return on any investment made in Invictus. Some of the information contained in this document constitutes forward- looking statements that are subject to various risks and uncertainties, not all of which may be disclosed. These statements discuss future objectives or expectations concerning results of operations or financial condition or provide other forward-looking information. Invictus' actual results, performances or achievements could be significantly different from the results or objectives expressed in, or implied by, those forward-looking statements. Prospective investors should make their own independent evaluation of an investment in any securities. The material contained in this document does not take into account the investment objectives, financial situation or particular needs of any individual investor. Invictus does not make any recommendation to investors regarding the suitability of any securities and the recipient must make its own assessment and/or seek independent advice on financial, legal, tax and other matters, including the merits and risks involved, before making any investments.

COMPETENT PERSON'S STATEMENT The information in this document relating to petroleum resources and exploration results is based on information compiled by Mr Scott Macmillan. Mr Macmillan is a Reservoir Engineer and has a Bachelor of Chemical Engineering and an MSc in Petroleum Engineering from Curtin University. He is a member of the Society of Petroleum Engineers (SPE) and has over 15 years experience in the industry in exploration, field development planning, reserves and resources assessment, reservoir simulation, commercial valuations and business development. Estimated resources are unrisked and it is not certain that these resources will be commercially viable to produce.

HYDROCARBON RESOURCE ESTIMATES The Prospective Resource estimates for Invictus' SG 4571 permit presented in this report are prepared as at 26 June 2019. The estimates have been prepared by the Company in accordance with the definitions and guidelines set forth in the Petroleum Resources Management System, 2018, approved by the Society of Petroleum Engineer and have been prepared using probabilistic methods. The Prospective Resource estimates are unrisked and have not been adjusted for both an associated chance of discovery and a chance of development. The Company confirms that there have not been any material changes to the resource estimate since the release of the updated Prospective Resource Estimate on 1 July 2019. For further details on the Prospective Resource refer to the 1 July 2019 ASX announcement the Company is not aware of any new information and that all material assumptions and technical parameters underpinning prospective resource estimate continue to apply and have not materially changed.

#Cautionary Statement: The estimated quantities of petroleum that may be potentially recovered by the application of a future development project relate to undiscovered accumulations. These estimates have both an associated risk of discovery and a risk of development. Further exploration, appraisal and evaluation are required to determine the existence of a significant quantity of potentially movable hydrocarbons. Prospective Resource assessments in this release were estimated using probabilistic methods in accordance with SPE-PRMS standards.

Rig secured for high impact basin opening drilling campaign expected May 2022 for up to 2 wells

Infill seismic survey completed and showing encouraging early results and target rich environment

The first mover in the under-exploredCabora Bassa Basin, Zimbabwe, one of the last undrilled Oil & Gas basins in Africa

Muzarabani Prospect is the largest undrilled conventional oil and gas prospect onshore Africa and one of the largest globally

8.2Tcf + 247 million barrels of conventional gas-condensate1 (~1.6 billion boe) independently verified#

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ersonal#Cautionary Statement: The estimated quantities of petroleum that may be potentially recovered by the application of a future development project relate to undiscovered accumulations. These estimates have both an associated

risk of discovery and a risk of development. Further exploration, appraisal and evaluation are required to determine

the existence of a significant quantity of potentially movable hydrocarbons. Prospective Resource assessments in this r l ase were estimated using probabilistic methods in accordance with SPE-PRMS standards. See Independent Prosp ctive Resource Estimate on 1 July 2019 and statement on previous page

SG 4571 Zimbabwe

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Invictus Snapshot

2018 WA

Listed Headquartered

Elephant scale		Rapidly developing &
prospective Oil & Gas		supportive jurisdiction
resource, defined by		of Zimbabwe
high quality data set

Multiple offtake
agreements in place		Multiple downstream
for up to 1.2 Tcf over		supply opportunities
20 years

$64.4m	~$7.3m
Market Cap		Net Cash
@$0.11		31 Sept 2021

High quality		Significant Southern
surrounding		African Energy
infrastructure		shortage

Low valuation in		Highly experienced
comparison to Sub-		Board &
Saharan Oil & Gas		Management
peers

Project Funding Strategy

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Invictus is progressing multiple strategies for the commercialisation of the Cabora Bassa Project

Cluff Energy		Additional farm-in		Full Ownership &
Africa farm in Option		options in negotiation		Operation

ersonal use OwnershipProject Funding Overview

Recently signed farm-in option agreement for 2 well

exploration campaign

Results in 33% of 2 x well costs being funded by CEA (Approximately US$9.0m but uncapped in the event of overrun)

Additional recoup of significant amount of historical

back costs (a proportion of US$12m+)

CEA to obtain 25% interest in Cabora Bassa Project -

resulting in IVZ maintaining 55% interest &

operatorship

Board & Management are progressing multiple	Invictus will also consider funding its operations by a
additional farm-in options	combination of equity and/or debt

Potential for increase in funding and/or promote by

alternative farm in partnersIVZ would fund all costs associated with the exploration campaign and operation of the project

Additional funding of historical back costs

Potential for comparatively lower interests to be
granted to other parties - results in IVZ maintaining		Results in IVZ maintaining its full 80% ownership and
larger ongoing interest in the project or lower		operatorship in the Cabora Bassa Project
funding requirement

Invictus Board & Management will make a final decision on the optimum path forward for shareholders once all strategic funding options

have been fully progressed

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