Kinetiko Energy Limited announced to update on the interpretation of its third aeromagnetic survey. Kinetiko flew aeromagnetic surveys across three areas identified by the company's geologist as having the potential to contain similar dolerite-enclosed compartments as focused drilling to-date has proven to be gas rich. This equated to a total of 12,610 line km flown across the project bringing the total area of aeromagnetic flown to-date to 32,204 km since 2014 all with landowner approvals.

The study was focused on obtaining broad information of parts of Exploration Rights 270 and 272 and used the following parameters: Line spacing: 50m; Tie line spacing: 500m; Line orientation: 135°/315° - ER 270 North 0°/180°; Tie line orientation: 45°/225° - ER 270 North 90°/270°; Flying Height: 35m Mean Terrain Clearance above ground level. Interpretation of the results was based on: Magnetic intensity reduced to pole images. Magnetic signature dominated by dolerite dykes and sills, with some cultural interference (powerlines, railway lines, etc.).

Identification of dolerite dykes. Priority areas identified within compartments bounded by dykes ­ dykes form barriers for migration of gas. Compartments of high magnetic intensity avoided as indication of high dolerite (sill) content and consequently reduced potential reservoir volume.

Resulting analysis indicates that a total of 42 new compartments, measuring collectively over 264 km 2 and fit for investigation, have been discovered in the survey areas. This adds to the extant 37 compartments already identified by previous aeromagnetic surveys and provides the Company with 79 potentially viable sites. ER270N: 12 compartments totaling 43.86 km2.

ER270S: 19 compartments totaling 85.25 km2. ER270N: 11 compartments totaling 135.06 km2.