Southern Woodbine Oil Project

Sun Resources NL (“Sun”) announced on the 1 August 2014 that the Company had secured 100% working interest (WI) in oil and gas leases covering approximately 1,980 net acres at a price of less than US$1,000 per net acre. The project is located in Southern Leon County, targeting the Lower Woodbine Formation. Each lease has rights to all depths and all formations, with an initial three-year term plus a two-year option. Sun as operator provides the Company substantial flexibility on the forward work programme, including partnership opportunities. As at the 31 March 2017, Sun held 2,045 net acres.

Sun's primary target is the rapidly developing Lower Woodbine Formation, on the prolific Eagle Ford Shale oil fairway in East Texas, but other targets above and below also have potential for containing recoverable oil resources.

The Southern Woodbine Oil Project is adjacent to and on trend with the rapidly developing Lower Woodbine Oil Play, which includes Sun’s existing 'Normangee' and 'SW Leona' Oil Project areas. EOG Resources Inc., one of the biggest and most successful Independent oil companies in the US, has recently been actively leasing acreage in close proximity.