Real Energy Update on Tamarama Well

* Real Energy well placed to unlock significant value from its Cooper Basin acreage – taking advantage of growing demand for gas in the Eastern States of Australia
  * Encouraging performance of Diagnostic Fracture Injection Test (DFIT) undertaken at Tamarama-1 well further validates well simulation model
  * Five stage Fracture Stimulation program at Tamarama-1 to commence mid-April 2016
  * Program designed to test Toolachee & Patchawarra formations below 2,300 metres

Sydney, 11 March 2016, Cooper Basin focused oil & gas exploration company, Real Energy Corporation Limited stated that the Diagnostic Fracture Injection Test (DFIT) program in the Tamarama – 1 well, located in the Windorah Gas Project in ATP 927P, Cooper Basin, Queensland, has been completed. Interpretation of the DFIT data indicates the closure pressures and reservoir data for frac model are in line with expectations.

The Company now expects to commence fracture stimulation program at Tamarama – 1 well, in mid April 2016 following advice from the main contractor Halliburton Australia that its Australian crew are yet to complete an existing job. Real Energy expects to commence the five-stage fracture stimulation program in the Toolachee & Patchawarra formation sections at depth below 2,300m in Tamarama – 1.

Real Energy’s Managing Director, Scott Brown, commented: “We are very pleased with the encouraging results of the DFIT undertaken at Tamarama-1, as it significantly improves the Company’s technical and operational understanding of the project.

"Real Energy remains strongly positioned to capitalise on the growing demand for gas in the Eastern States of Australia and we look forward to provider our shareholders with further operational updates in the near term.”