Strategic GIP & OIP Approach (Prospectus Excerpt)

DeXentra adopts a strategic and systematic approach to identify and secure leases in both various jurisdictions and geological formations, aiming to diversify and strengthen the company’s portfolio.

The contemplated activities of the issuer may include:

• Developing a strategic roadmap to guide lease acquisition in line with corporate goals.

• Comprehensive evaluating of potential leases, examining factors such as historical production data, existing infrastructure, bypassed pay potential, Enhanced Oil Recovery (EOR) applicability and long-term output potential, ensuring alignment with the strategic roadmap.

• In the framework of a due diligence, pre-acquisition, assessing of leases as to their value and upside potential by reviewing available field data.

• Analysis and evaluating of historical production data of the leases to assess their past performance and future potential. This analysis assists in identifying assets with a proven track record and those that offer promising opportunities for enhancement.

• Assessing of recoverable oil and gas volumes in order to focus on the suitability to implement state-of-the-art EOR techniques, such as CO2/N2 injections, to maximize oil recovery and extend the productive life of the wells.

• Ensuring of clear and unencumbered titles to the leases thorough legal scrutiny to confirm clear titles, mitigating legal and operational risks associated with lease ownership.

• Negotiating rights to specific leases through various contractual agreements, such as escrow agreements, purchase and sale agreements and joint ventures, at highly competitive prices.

• In cases where, for example, Joint Venture Agreements are pursued, seeking of partners who share a commitment to innovative production methods and environmental stewardship. These partnerships are structured to ensure mutual benefits, with a focus on leveraging each party's strengths to enhance production efficiency and sustainability.

• Emphasizing on vetting and working with highly skilled operators to ensure that all operational aspects, from drilling to production, are executed with expertise and efficiency.

• Ensuring that the selected leases and the planned EOR methods comply with all relevant environmental regulations and industry standards. This includes obtaining necessary permits and approvals for the implementation of EOR techniques.

• Conducting rigorous quality management and monitoring and reserve audits by independent third parties to maintain high standards of operation, efficiency and performance of the implemented technologies.

• Where possible, selling of the extracted natural gas and crude oil to local refineries, prioritizing regional consumption to reduce the carbon footprint associated with transportation. This localized supply chain approach aligns with OilXCoin's commitment to environmental stewardship and sustainable practices.

• Periodic evaluating of the economics of each asset to make informed divestiture decisions. If underperforming assets can be turned around, it may be more valuable to the company to divest at high multiples and purchase new underdeveloped assets at lower multiples.

Tokens held by DeXentra may also serve as collateral for scenarios where DeXentra intends to directly secure oil and gas leases through funds provided from select third party investors as opposed to revenues derived from the execution of the business model. Said select investors would participate in a model whereby they benefit from the token’s value appreciation or are entitled to a fixed interest rate or a combination of both components. This model is to be implemented restrictively and focuses on direct investments exceeding USD 1 million.

In due course, DeXentra will explore opportunities to acquire leases in further countries which have a similar positive disposition, robust legal system and commercial environment to facilitate the diversification of the portfolio. Leases and projects within the United States will, due to the above described situation, continue to hold an overweighted position in the DeXentra portfolio in the coming years.

DeXentra will also deploy cutting-edge EOR (enhanced oil recovery) technologies, radial drilling and nano-surfactants to increase recovery factors from existing wells. Wells reaching the end of their productive life in their currently completed pay horizons will be assessed for bypass pay potential. This evaluation focuses on the possibility of recompleting existing wells to access oil and gas in zones that have not yet been exploited and thus reduces costs associated with new exploration. This phenomenon often exists as hydrocarbon-bearing zones were not tapped during the initial drilling operations, often because they were either unnoticed or deemed non-commercial at that time and through the use of advanced proprietary technologies like improved seismic imaging, drilling techniques, and enhanced recovery methods, to which DeXentra has access, can make previously bypassed pay zones viable targets.

These technologies are expected to not only provide a competitive advantage in asset development and create opportunities to do so whilst optimizing the environmental impact, it will also allow more rapid evaluation of potential acquisitions.