Block Energy P. Regulatory News (BLOE)

15 February 2021

Block Energy plc

("Block" or the "Company")

Exercise of Options

Block Energy plc, the development and production company focused on Georgia, announces that a former employee/director has exercised nil-cost options ("Options") to acquire 557,450 ordinary shares of 0.25 pence each.

The Options had been acquired as a result of the Company's salary and fees sacrifice scheme that was announced on 7 April 2020 whereby directors and employees of the Company agreed to receive 40% of their salaries/fees in nil-cost options in lieu of cash.

376,735 of the shares held in the Block Energy plc Employee Benefit Trust ("EBT") will be used to satisfy some of the exercise. Following the exercise of the Options, the remaining number of shares held by the EBT will be 37,595,406, representing 6.10 per cent of the current total issued share capital.

To satisfy the remainder of the exercise, on 15 February 2021, the Company allotted 180,715 ordinary shares of 0.25p each. Application will be made for the admission to trading on AIM ("Admission") for the 180,715 ordinary shares. The ordinary shares will rank pari passu in all respects with the existing ordinary shares of the Company. Admission is expected at 8.00 a.m. on or around 19 February 2021.

Total Voting Rights

Following Admission, the Company's issued share capital will comprise 615,578,279 ordinary shares with one voting right each. As the Company does not hold any shares in Treasury, the total number of voting rights in the Company is also 615,578,279 and this figure of ordinary shares may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the share capital of the Company under the FCA's Disclosure Guidance and Transparency Rules.

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION AS STIPULATED UNDER THE UK VERSION OF THE MARKET ABUSE REGULATION NO 596/2014 WHICH IS PART OF ENGLISH LAW BY VIRTUE OF THE EUROPEAN (WITHDRAWAL) ACT 2018, AS AMENDED. ON PUBLICATION OF THIS ANNOUNCEMENT VIA A REGULATORY INFORMATION SERVICE, THIS INFORMATION IS CONSIDERED TO BE IN THE PUBLIC DOMAIN.

-Ends-

For further information please visit http://www.blockenergy.co.uk/ or contact:

Notes to editors

Block Energy plc is an AIM-listed independent oil and gas company focused on production and development in Georgia, applying innovative technology to realise the full potential of previously discovered fields.

Block has recently acquired a 100% working interest in Georgian onshore licence blocks IX and XIB. Licence block XIB is Georgia's most productive block, with 2P oil and gas reserves of 64 million boe and historic production of over 180 MMbbls of oil from the Middle Eocene, peaking in the mid-1980s at 67,000 bopd.

The Company has a 100% working interest in the highly prospective West Rustavi onshore oil and gas field with multiple wells that have tested oil and gas from a range of geological horizons. The field has so far produced 50 Mbbls of light sweet crude and has 0.9 MMbbls of gross 2P oil reserves in the Middle Eocene. It also has 38 MMbbls of gross unrisked 2C contingent resources of oil and 608 BCF of gross unrisked 2C contingent resources of gas in the Middle, Upper and Lower Eocene formations (Source: CPR Gustavson Associates: 1 January 2018).

Block also holds 100% and 90% working interests respectively in the onshore oil producing Norio and Satskhenisi fields.

The Company offers a clear entry point for investors to gain exposure to Georgia's growing economy and the strong regional demand for oil and gas.

Glossary

1. bbls: barrels. A barrel is 35 imperial gallons.

2. boe: barrels of oil equivalent.

3. bopd: barrels of oil per day.

4. boepd: barrels of oil equivalent per day.

5. Mbbls: thousand barrels.

6. MMbbls: million barrels.

7. BCF: billion cubic feet.