Indonesia Energy Corporation Limited H.C. Wainwright 28th Annual Global Investment Conference

Take it away. Thank you.

Well, good morning, or I guess just noontime, so good afternoon, everybody here in the East Coast, or good morning in California, and I guess nighttime or good morning in Indonesia. I'm Frank Ingriselli, as mentioned, President of Indonesia Energy, but I'm glad here today we've got James Huang sitting here, who was one of the founders of Indonesia Energy and is a Director of the company and Chief Investment Officer. We also have Charlie Wu, who is the Chief Technology Officer of Indonesia Energy and is a proud Texan, having gotten his PhD at the University of Texas. Good morning, everyone. Here, it's a nice good morning here. You can see the young lady looking out in Sumatra. So, a beautiful place, and I was there just recently. Our cautionary statement. Here, Indonesia Energy.

We went public in December of 2019 on the New York Stock Exchange, a direct IPO. I haven't mentioned this in the most recent presentations, but when we did that IPO on the New York Stock Exchange in December of 2019, then we rang the opening bell on Valentine's Day, February 14th of 2020, then we were hit with COVID, so things happened there. What was interesting is, here we are, Indonesia, and people don't know sometimes a lot about Indonesia. Fourth largest country in the world. When we went public, it was China, India, United States, Indonesia. Now it's actually India, China, United States, Indonesia. Fourth largest country in the world. The number one economy in Southeast Asia, and the seventh largest economy by GDP in the world. So Indonesia isn't just going to Bali on a honeymoon.

Indonesia is a major country operating in the world. Member of the G20, member of BRICS. What have we done since we went public in December of 2019? By the way, first Indonesian company to ever do an IPO on the New York Stock Exchange. First one. A country that's the number one in Southeast Asia, the first company. That's why we had so many dignitaries when we rang that opening bell there. Well, what have we done? We've drilled four successive oil discoveries. They were successful, but not as successful as we wanted. What did we do? We did something that I heard and got a lot of emails, and from investors, and the team did that, "How come you're not drilling any wells?

How come you're not drilling? What we did was something that might be boring to investors, but very important and insightful to the company, which is we went out and we did some 3D seismic. That 3D seismic tried to improve and find better places to drill so that we could be more economically efficient with better production rates moving forward in the company. We did that. We still got delayed in trying to drill these next few wells, but we did start to drill, and as we note here, our 2025, 2026 program, we completed that 3D seismic. But most important is that we commenced new drilling operations in July of 2026. Just less than two months ago, we started to drill that next well, which was our K-29 well.

We successfully completed that well to a total depth of about 3,400 feet, and that well was a discovery. We'll have a picture here later on. Right now, we're in the middle of production operations. I'm not here today to make an announcement of what that production rate is, but keep your eyes posted. We will provide that information. What's happened is that drilling rig has moved from K-29 to our next well site, WK-5. It's just a few kilometers away, and it's moving over there. It's all left the K-29 site. I think as Charlie mentioned to me yesterday here, that it's now being reassembled at the new site a few kilometers away. We'll start drilling that next well.

With those two wells, we should be in a position to really double the cash flow, the production that the company has, or even more than double it where we are right now. I think if I'm right, Charlie, we're about 150 barrels of oil per day is where our production is right now. But we will hopefully blow through that. The other is that we did commence some operations on our 195,000-acre Citarum Block, and I'll talk more about that. That's a 30-year natural gas block on the island of Java. Here are some pictures. Here's the drilling rig at our K-29 well site. Visiting here to the drilling. But here, this is a pipe which shows just a natural seepage of oil coming out from that K-29 well.

That was exciting when we pulled that out and that core sample, and it's just naturally seeping oil. So a very good sign for this well, K-29. Our assets, again, Kruh Block, that's about 65,000 acres on the island of Sumatra. Our Citarum Block, 195,000 acres. By the way, we're here in Manhattan. That's about 15 times the size of Manhattan Island, to give kind of a perspective of size. But we'll talk a little more in particular about our Kruh Block and the 65,000 acres there. Indonesia growth opportunities. I mentioned number one economy in Southeast Asia, seventh largest in the world by GDP. The GDP growth for Indonesia has essentially been above 5% for the last, probably 14 years, and the only dip it took was during COVID, when everything stopped. We couldn't move equipment from island to island. Flights were restricted. Very difficult time.

Indonesia, as I mentioned before, fourth largest country in the world. Official language, while it's Indonesian, English is the main spoken language. Our contracts are all in English. It's a very seamless operation to be a public New York Stock Exchange company and be operating in Indonesia. The growth for demand and energy. When you've got a country that's been growing at a clip of over 5% GDP growth for the last 14 years, that's going to drive the demand for energy. Energy demand is growing at a clip of over 5% across the board, whether it be electricity, oil, natural gas, it's all growing at a very large clip. I'll bring that up with one. Actually, I'm going to go to the next slide here. Indonesia isn't in a vacuum in terms of the energy industry.

It's had a rich history, actually 100 years of people investing in the oil industry there. I think the original company was Shell, was the first one, international company operating. You see the logo of every company in the world operating throughout all the different islands, onshore and offshore Indonesia. I'll just bring that up to me personally. I joined Indonesia Energy about a year before its IPO. I worked on trying to make the IPO happen with the rest of the team. My history is I've been 45 years in this industry. Started at Texaco Inc., had positions of President of Texaco International Operations. Left Texaco as President of Texaco Technology Ventures. When I left Texaco 2001, the biggest asset for Texaco in the world was in Indonesia. Number one, biggest producing asset.

Chevron, which took over Texaco, the second biggest asset for Chevron in the world, producing asset, was Indonesia. Together, we were producing 1 million barrels a day. I think from a discussion we had with some analysts today, Indonesia is producing about 600,000 barrels a day. Just our two companies were producing much more. Chevron website will tell you they produce 13 billion barrels of oil, over $1 trillion of cash flow. A very important place. When the bankers called me up and say, "Hey, we want to introduce you to this company, Indonesia Energy," I thought, "Wow, that was the biggest asset when I left as president of Texaco Technology, when I left there in 2001. I'm going to come back." I've never looked back since. A great place to be working. The Kruh Block, our producing cash flow asset.

We've got several wells working now. It shows production here. Actually, our production is higher than what that is right now. Our 65,000, approximately 65,000 acres. What I really want to do is go to. Here are some pictures of doing our 3D seismic time in the field. Let me stop right here. Kruh single well economics. When analysts say, "Are you going to make a projection of what your production is going to be next year? What will your cash flow be?" Or whatever. We're not making projections quarter to quarter where we're going to be. Tell them just to open up this slide, because what this slide tells you is we told the marketplace what we're producing right now, and they can see what our cash flow is.

But what this slide tells you right here is the well we just drilled was about $1.8 million. It is being drilled to 3,000, went to 3,400 feet. If you take a production rate, and this is not making a prediction of what it would be, but it just gives you a snapshot. So an analyst could work when we do give our production numbers. But if you had 125 barrels of oil a day coming from this one well, at $70 a barrel and $80 a barrel, we are priced approximately at Brent with a slight discount. So if you are at $70 a barrel or at $80, let us use $80 since we are above $100 right now. But at $80 a barrel, we would produce net cash flow of over $2 million. So $1.8 million to drill, $2 million back in your net cash.