Grand Gulf Energy Ltd. announced it has received approval of the Permit to Drill from the Utah Division of Oil, Gas and Mining (UDOGM) for the potentially company-making second pure-play helium well, Jesse-2, at the Red Helium project. The Company is now in a position to conduct drilling in early First Quarter 2023 with advanced negotiations with multiple rig operators indicating availability over First Quarter 2023. Jesse Discovery: The forthcoming drilling of the Jesse-2 well follows the highly encouraging Jesse discovery (Jesse- 1A well) which included a >200 foot logged gross gas column (with 101 feet of independently audited net pay) and exceptional helium concentrations of up to 1% returned to surface, exceeding pre-drill expectation.

The Jesse-1A well also encountered a productive and strongly pressured reservoir at 2,465 psi. Jesse-2 Location: Jesse-2 is located 1.5 miles east-south-east of the Jesse-1A discovery well and was selected as the best of three mature prioritised locations on the Jesse structure. The locations were derived from an extensive review of data from six historic wells and Jesse-1A including calibrated 2D seismic to target a structural high location on the Jesse feature to maximise the thickness of the gas pay zone.

Based on analogue performance, the Jesse discovery has the potential to support in excess of 20 wells within the areal extent of the closure, given the >200-foot column intersected at Jesse-1A. Jesse-2 Drilling Program Jesse-2 will exclusively target the gas pay zone(s) to minimize the risk of water production, with the planned total well depth terminating at least 50 feet above the identified gas/water contact at Jesse-1A. The drilling program incorporates managed pressure drilling through the primary Leadville formation minimising formation damage.

The program allows enhanced mud-gas returns and real- time monitoring of reservoir gas flow and gas compositions using mass spectrometry. On identification of significant helium inflow, a bottoms-up flow test will be conducted to characterise the reservoir.