diff --git a/resource_customizations/projectcontour.io/ExtensionService/health.lua b/resource_customizations/projectcontour.io/ExtensionService/health.lua
new file mode 100644
index 0000000000..1a2b105a1b
--- /dev/null
+++ b/resource_customizations/projectcontour.io/ExtensionService/health.lua
@@ -0,0 +1,27 @@
+-- Status reporting information detailed here
+-- ExtensionService status conditions api information here: https://projectcontour.io/docs/v1.18.0/config/api/#projectcontour.io/v1alpha1.ExtensionServiceStatus
+
+hs = {
+  status = "Progressing",
+  message = "Waiting for status",
+}
+
+if obj.status then
+  if obj.status.conditions then
+    for _, cond in ipairs(obj.status.conditions) do
+      if obj.metadata.generation == cond.observedGeneration then -- This must match so that we don't report a resource as healthy even though its status is stale
+        if cond.type == "Valid" and cond.status == "True" then -- Contour will update a single condition, Valid, that is in normal-true polarity.
+          hs.status = "Healthy"
+          hs.message = cond.message
+          return hs
+        elseif cond.type == "Valid" and cond.status == "False" then
+          hs.status = "Degraded"
+          hs.message = cond.message
+          return hs
+        end
+      end
+    end
+  end
+end
+
+return hs
\ No newline at end of file
diff --git a/resource_customizations/projectcontour.io/ExtensionService/health_test.yaml b/resource_customizations/projectcontour.io/ExtensionService/health_test.yaml
new file mode 100644
index 0000000000..c0827f0ca5
--- /dev/null
+++ b/resource_customizations/projectcontour.io/ExtensionService/health_test.yaml
@@ -0,0 +1,17 @@
+tests:
+- healthStatus:
+    status: Healthy
+    message: "Valid ExtensionService"
+  inputPath: testdata/healthy.yaml
+- healthStatus:
+    status: Progressing
+    message: 'Waiting for status'
+  inputPath: testdata/progressing.yaml
+- healthStatus:
+    status: Degraded
+    message: 'At least one error present, see Errors for details'
+  inputPath: testdata/degraded.yaml
+- healthStatus:
+    status: Progressing
+    message: 'Waiting for status'
+  inputPath: testdata/generation.yaml
\ No newline at end of file
diff --git a/resource_customizations/projectcontour.io/ExtensionService/testdata/degraded.yaml b/resource_customizations/projectcontour.io/ExtensionService/testdata/degraded.yaml
new file mode 100644
index 0000000000..5c920df012
--- /dev/null
+++ b/resource_customizations/projectcontour.io/ExtensionService/testdata/degraded.yaml
@@ -0,0 +1,30 @@
+apiVersion: projectcontour.io/v1alpha1
+kind: ExtensionService
+metadata:
+  generation: 1
+  name: example
+spec:
+  circuitBreakerPolicy:
+    maxConnections: 102400
+    maxPendingRequests: 1024000
+    maxRequests: 102400
+    maxRetries: 102400
+  protocol: h2c
+  services:
+  - name: doesnt-exist
+    port: 9091
+  timeoutPolicy:
+    response: 1s
+status:
+  conditions:
+  - errors:
+      - message: 'Spec.Routes unresolved service reference: service "doesnt-exist" not found'
+        reason: ServiceUnresolvedReference
+        status: "True"
+        type: ServiceError
+    lastTransitionTime: '2024-08-08T16:53:29Z'
+    message: At least one error present, see Errors for details
+    observedGeneration: 1
+    reason: ErrorPresent
+    status: 'False'
+    type: Valid
\ No newline at end of file
diff --git a/resource_customizations/projectcontour.io/ExtensionService/testdata/generation.yaml b/resource_customizations/projectcontour.io/ExtensionService/testdata/generation.yaml
new file mode 100644
index 0000000000..7d7a983d79
--- /dev/null
+++ b/resource_customizations/projectcontour.io/ExtensionService/testdata/generation.yaml
@@ -0,0 +1,25 @@
+apiVersion: projectcontour.io/v1alpha1
+kind: ExtensionService
+metadata:
+  generation: 2
+  name: example
+spec:
+  circuitBreakerPolicy:
+    maxConnections: 102400
+    maxPendingRequests: 1024000
+    maxRequests: 102400
+    maxRetries: 102400
+  protocol: h2c
+  services:
+  - name: grpc-server
+    port: 9091
+  timeoutPolicy:
+    response: 1s
+status:
+  conditions:
+  - lastTransitionTime: '2024-08-08T16:53:29Z'
+    message: Valid ExtensionService
+    observedGeneration: 1
+    reason: Valid
+    status: 'True'
+    type: Valid
\ No newline at end of file
diff --git a/resource_customizations/projectcontour.io/ExtensionService/testdata/healthy.yaml b/resource_customizations/projectcontour.io/ExtensionService/testdata/healthy.yaml
new file mode 100644
index 0000000000..b76792a516
--- /dev/null
+++ b/resource_customizations/projectcontour.io/ExtensionService/testdata/healthy.yaml
@@ -0,0 +1,25 @@
+apiVersion: projectcontour.io/v1alpha1
+kind: ExtensionService
+metadata:
+  generation: 1
+  name: example
+spec:
+  circuitBreakerPolicy:
+    maxConnections: 102400
+    maxPendingRequests: 1024000
+    maxRequests: 102400
+    maxRetries: 102400
+  protocol: h2c
+  services:
+  - name: grpc-server
+    port: 9091
+  timeoutPolicy:
+    response: 1s
+status:
+  conditions:
+  - lastTransitionTime: '2024-08-08T16:53:29Z'
+    message: Valid ExtensionService
+    observedGeneration: 1
+    reason: Valid
+    status: 'True'
+    type: Valid
\ No newline at end of file
diff --git a/resource_customizations/projectcontour.io/ExtensionService/testdata/progressing.yaml b/resource_customizations/projectcontour.io/ExtensionService/testdata/progressing.yaml
new file mode 100644
index 0000000000..c2c68b382e
--- /dev/null
+++ b/resource_customizations/projectcontour.io/ExtensionService/testdata/progressing.yaml
@@ -0,0 +1,17 @@
+apiVersion: projectcontour.io/v1alpha1
+kind: ExtensionService
+metadata:
+  generation: 1
+  name: example
+spec:
+  circuitBreakerPolicy:
+    maxConnections: 102400
+    maxPendingRequests: 1024000
+    maxRequests: 102400
+    maxRetries: 102400
+  protocol: h2c
+  services:
+  - name: grpc-server
+    port: 9091
+  timeoutPolicy:
+    response: 1s
\ No newline at end of file