Invictus Energy Limited provided an update on the Mukuyu-1 well that is currently being drilled in its 80% owned SG 4571 licence in Zimbabwe's Cabora Bassa Basin. Since the last update, the drill string was rigged up to conduct fishing operations to attempt to retrieve the wireline formation testing tool. The drill string with the overshot was run in hole to the casing shoe to commence installation of the side entry sub to allow for allow wireline operations through drill pipe without interference from the rig's top drive system.

However, during the installation process the T Bar clamp broke and operations were suspended until a replacement T Bar could be sourced from a regional supply base resulting in several days of delays. Following the arrival of a replacement T Bar clamp the side entry sub was successfully installed and fishing operations resumed. The wireline cable was successfully freed, however the wireline formation testing tool became stuck against the borehole wall during the intervening period.

The tool was successfully engaged with the overshot but required significant force (approximately 50,000 foot-pounds) to break the tool free and the tool is unsuitable for use until it can be assessed and repaired. Following mechanical disconnection of the wireline cable, the tool was successfully retrieved to the surface. Wireline log interpretation calculated porosity of up to 15% and gas saturation of up to 90% in selected potential pay zones but are yet to be calibrated with fluid and core data and subsequently subject to wide margins of error.

The primary and backup wireline formation testing tools are currently non-functional and the duration to repair or replace parts is unknown. The logging conditions evidenced by tool and drillpipe sticking and significant overpull observed during fishing operations also render conditions unsuitable to make further attempts to obtain a fluid sample even with functioning wireline tools. Subsequently further attempts to obtain a fluid sample are not feasible and the Company will conclude operations on Mukuyu-1 and ST1 and demobilise the well services equipment and personnel.

Rig 202 will be warm stacked at the Mukuyu-1 well location to allow for maintenance and upgrades prior to recommencing drilling at either Mukuyu-2 or Baobab-1 in 2023 following sourcing of required long leads and tendering of well services and equipment. Laboratory analysis of sidewall cores acquired during logging and drill cuttings and mudgas samples acquired whilst drilling will provide further calibration of the wireline and the geological model once completed. Invictus and Exalo Drilling S. A ("Exalo") have executed a contract amendment for Rig 202 to remain in the Cabora Bassa Basin in Zimbabwe for up to 12 months to enable the drilling of future wells in the basin.

The highly encouraging results from the initial Mukuyu-1 and side track well have provided the Company with the confidence to keep Rig 202 warm stacked at the Mukuyu-1 location whilst preparations are made for the future drilling campaign for at least one firm well in 2023, with further wells to be agreed. During the rig stacking period Exalo will perform maintenance and upgrades to Rig 202 in preparation for drilling to recommence.