Orca Energy Group Announces Operational Update - Seite 2

• Facilities Management
  The Company continues to carry out studies to identify opportunities to improve the efficiency of operations at the Songas plant. The Company will install positive chokes in all wells in early Q1-2024 to reduce bottlenecking on the gas flow path. At a cost of $77,000, this is expected to increase production, initially by 2 – 3 MMcfd.

• Well SS-7 Intervention – An intervention in offshore well SS-7 remains in the plan to take place in 2024, subject to the availability of United States dollars ("USD") and Board approvals. Based on expected supplier mobilization timelines, operations are now expected to take place in the 2^nd quarter of 2024. Following the negotiation of commercial terms with service providers, the total expected cost of the project has increased to $13.3 million. The work program is designed to shut off water production which caused the shut in of the well in 2019. The cause of the water production is interpreted to be a failed cement bond outside the production liner which created a flow path for water into the well when it was on production. If successful, SS-7 is expected to increase field deliverability by 20-25 MMcfd primarily from the non-producing southern compartment.
• Production Logging – The production logging program remains planned in conjunction with the SS-7 intervention and will take place early in the 2^nd quarter of 2024. The total estimated cost is $1.1 million. This work program will provide detailed reservoir information, in addition to annual pressure surveys, which enables improved accuracy of forecasting future reservoir performance. Key targeted wells under the program include SS-3, SS-5, SS-7 and SS-10.
• Common Inlet Manifold ("CIM") – Front end engineering continues on CIM in order to optimise gas flow across the Songas gas plant and the national gas plant, both of which are supplied with gas from the Songo Songo gas field. Project construction and installation are expected to occur in Q4 2024, with commissioning in Q1 2025, subject to final investment decision ("FID") and Government of Tanzania ("GoT") approvals, at an estimated cost of $5-6 million.

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