PPC.L Regulatory News (PPC)

10 May 2021

PRESIDENT ENERGY PLC

("President" or the "Company")

 Operations and prices update

President Energy (AIM: PPC), the energy company with a diverse portfolio of production and exploration assets focused primarily in South America, provides an operational update with regard to certain activities in the Rio Negro Province, Argentina and an update as to the evolution of oil and gas prices in that country

Highlights

EV-1002

This new gas well at the Estancia Vieja field has been successfully drilled, logged and cased on time and budget. The electric logs, reflecting the muds logs while drilling, show approximately 14m of net pay in the Vaca Muerta and Catriel formations subject to petro-physical analysis with good porosity of some 25%. An RFT logging suite (Repeat Formation Test) was also run and demonstrated original pressure in both Vaca Muerta and Catriel formations, opening up potential development opportunities in this formation in the northern fault block of Estancia Vieja.

The results are in line with expectations and after the current ongoing work at the new well EV-1001 the well will be completed rigless using the coiled tubing unit. The drilling rig will now be demobilised back to its base whilst we review the initial test production and pressure data of these newly drilled wells.

New well LB-1002

This well has now been placed on production and is performing better than pre-drilling expectations. During the initial period various choke sizes will be used to ensure optimum production levels whist minimising the risks of coning. Currently the well is producing over 48,000 MM3/d (1.7 MMsft/d or 282 boepd) with an 8 mm choke from the secondary reservoir the Centenario 5 and 6. The primary target the Centenario 3 reservoir, has been left for a future workover after depletion of the currently producing reservoirs.

New well EV-1001

This new gas well has now been successfully completed and is currently cleaning up under test with results projected after testing to be in line with expectations.

Oil and Gas prices update

The average oil prices realised by President for the first five month of 2021 are running 35% higher than average for the full year 2020.

The average gas prices realised by President for the first five months of 2021 are running 40% higher than for the same period in 2020. Spot gas as at today of US$5 per MMBtu is 100% higher than at the same time last year.

With the price volatility, it is worthy of note that the price President receives for its Salta oil has in May reached parity with that received for its Rio Negro production, a significant positive change from that previously.

Peter Levine, Chairman, commented

"This concludes the initial three well drilling programme in Rio Negro where we now turn to optimising production and making the most of robust oil and gas prices

"President does not take this continued success for granted. As I have said, it's the product of hard work and careful planning in a country still hard hit by the pandemic

"President continues to pursue strategic options for growth whether in our core business or through our recently formed green energy businesses. Whilst detailed due diligence is currently being conducted on a number of prospects, there is nothing concrete that President is able to announce. Notwithstanding this and for the avoidance of doubt what we can state is that in respect of the prospects currently being considered, it is not currently envisaged that funding by way of equity issuance would be required

"As always, we extend our appreciation and thanks to the Rio Negro Provincial authorities, and our partner in Rio Negro, the provincial energy company, Edhipsa

"We expect a continued flow of further announcements both on operations and on strategic initiatives during the course of this quarter".

Glossary

Bopd means barrels of oil per day

Boepd means barrels of oil and gas equivalent

MMBtu means million standard cubic feet of gas

Mmsft/d means Million standard cubic feet of gas per day

M3/d means million of cubic metres of gas per day

Contact:

Notes to Editors

President Energy is an oil and gas company listed on the AIM market of the London Stock Exchange (PPC.L) primarily focused in Argentina, with a diverse portfolio of operated onshore producing and exploration assets.

The Company has operated interests in the Puesto Flores, Estancia Vieja, Puesto Prado and Las Bases Concessions, and Angostura exploration contract, all of which are situated in the Rio Negro Province in the Neuquén Basin of Argentina and in the Puesto Guardian Concession, in the Noroeste Basin in NW Argentina. Alongside this, President Energy has cash generative production assets in Louisiana, USA and further significant exploration and development opportunities through its acreage in Paraguay and Argentina.

The Group is also actively pursuing value accretive acquisitions of high-quality production and development assets capable of delivering positive cash flows and shareholder returns. With a strong strategic and institutional base of support, including the international commodity trader and logistics company Trafigura, an in-country management team as well as the Chairman whose interests as the largest shareholder are aligned to those of its shareholders, President Energy gives UK investors access to an energy growth story combined with world class standards of corporate governance, environmental and social responsibility.

This announcement contains inside information for the purposes of article 7 of Regulation 596/2014