ADX Energy Ltd. has entered into a Letter of Intent through its 100% owned Austrian subsidiary, ADX Energy GmbH, with Siemens Energy and RED Drilling & Services GmbH (RED) to build a well test site in Austria utilising geothermal power generation technology. The Pilot Project is expected to commence during the third quarter of 2021. ADX's role in the project will be to provide overall project management, as well as responsibility for execution of all subsurface aspects of the project, including engineering, geological analysis, operational planning and implementation. ADX will also be responsible for obtaining all necessary regulatory permits. Initial discussions with the relevant Austrian authorities in relation to the project have been positive. Siemens Energy will provide necessary thermodynamic engineering, process efficiency analysis and plant parameters to evaluate the system in a geological reservoir setting. RED has several decades of drilling, testing and workover experience in Austria and Central Europe. It has drilled many of the wells which may be suitable for conversion into geothermal power generation sites. As a result of an outstanding safety and environmental record, RED is a preferred contractor and enjoys high acceptance within the communities it operates in. Its' large operational base in Austria allows a very efficient deployment of experienced drilling staff and well performance monitoring which ADX already utilises for well design. Geothermal power generation in the appropriate geological setting is capable of providing potentially cheap, constant and reliable carbon free energy. ADX's role as the operator, subsurface geotechnology adviser and license holder, is an extension of ADX's current oil and gas production and exploration activities in Austria. The execution of this Pilot Project in cooperation with highly competent parties provides a unique opportunity for ADX to enhance its knowledge, capability and experience in anticipation of participation in commercial scale geothermal power generation projects in the near future. ADX has a number of potential commercialisation opportunities within its existing portfolio including its existing Upper Austria exploration licenses which are located in the proven geothermal setting of the Molasse Basin, and the Pannonian Basin of Romania (where ADX operates the Parta license). ADX has also identified a number of other locations in Central Europe which provide an ideal geological setting for geothermal power generation. In addition to the already announced Vienna Basin Green Hydrogen Project, geothermal power generation has the potential for the profitable and integrated transition to green energy production, while preserving and enhancing the value and lifespan of its existing oil and gas assets.