Beacon Energy. Regulatory News (BCE)

3 January 2023

Beacon Energy plc

("Beacon Energy" or the "Company")

Transaction and Corporate Update 

Beacon Energy plc (AIM:BCE), the energy company seeking growth through acquisition or farm-in to interests in discovered upstream projects, is pleased to provide the following update on the proposed transaction to acquire the entire issued and to be issued share capital of Rhein Petroleum GmbH as announced by RNS on 16 December 2022 (the "Proposed Transaction"):

· The Company has received notification that the shareholders of Tulip Oil Holding B.V. have approved the Proposed Transaction, a condition precedent for the Proposed Transaction to proceed

· The Company has today published on its website a Competent Person's Report ("CPR") prepared by SGS Nederland B.V, relating to the Rhein Petroleum assets. The CPR outlines:

o  2P net reserves of 3.85 mmbbl and 2C net contingent resource base of 22.96 mmbbl, located across the four core assets within the Rhein Petroleum portfolio

o  NPV10 valuation of €52.8 million related to the 2P reserve base

o  Cumulative free cash flow of €95.0 million forecast in relation to the 2P reserve base

· Proposed appointment of Stewart MacDonald as an Executive Director and Chief Financial Officer of the Company, subject to Completion of the Proposed Transaction

· Tulip Oil has nominated Leo Koot as its representative Non-Executive Director, subject to Completion of the Proposed Transaction and completion of due diligence by the Company's Nominated Adviser, in accordance with the terms of the share purchase agreement announced on 16 December 2022

In addition, the Company notes that it intends to provide private and other qualifying investors the opportunity to participate in the Company's proposed forthcoming equity fundraise outlined in the RNS issued on 16 December 2022 through PrimaryBid, full details of which be provided in due course.

As announced on 22 December 2022, the Company will host a live investor presentation relating to the Proposed Transaction via the Investor Meet Company platform on 5 January 2023 at 10:30am GMT. Investors can sign up to the Investor Meet Company platform for free and 'add to meet' BEACON ENERGY PLC via the following link:

https://www.investormeetcompany.com/beacon-energy-plc/register-investor

Further details on the Proposed Directors

Stewart MacDonald has over 20 years of energy industry and investment banking experience. Previously, Stewart was an Executive Director and Chief Financial Officer of Rockhopper Exploration plc for 8 years from March 2014. Prior to joining Rockhopper, Stewart was a director of Rothschild's global Energy and Power investment banking group, where he spent 12 years advising clients in the sector on a range of M&A transactions as well as debt and equity financings. He was also previously a non-executive Director of United Oil & Gas plc.

Leo Koot is a Dutch national with over 30 years of international experience in the Energy & Power sector. Leo's previous roles include Drilling Engineer at Shell plc, Managing Director UK then President Iraq for TAQA, Executive Chairman of Columbus Energy Resources plc, and Independent Non-Executive Director for Sterling Energy plc. Leo is currently Executive Chairman of Tulip Oil Holdings B.V., Joint MD at Rhein Petroleum GmbH and partner at Concordia Capital Partners (MENA GULF).

Beacon Energy Non-Executive Chairman, Mark Rollins, said:

"We look forward to Stewart and Leo's prospective appointments to the Company's Board.

"Stewart has been instrumental in the Proposed Transaction over the last 6 months, where his background and experience of M&A and financing has been invaluable, and those skills will further support our ambitions to grow Beacon Energy into a material business.

"Leo's knowledge of the Rhein Petroleum portfolio and experience in the German [oil & gas] sector will be essential as we integrate the business, pursue the near-term drilling and actively engage in in-country business development. The Company will also benefit for Leo's extensive sector experience as we continue to grow Beacon Energy for the benefit of all shareholders.

"We are delighted that the transaction continues to progress as planned and look forward to providing further updates in due course."

Enquiries:

For further information, please visit www.beaconenergyplc.com and @BeaconEnergyPlc on Twitter

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The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulation (EU) No. 596/2014 as it forms part of United Kingdom domestic law by virtue of the European Union (Withdrawal) Act 2018.