Reabold Resources Regulatory News (RBD)

4 December 2017

REABOLD RESOURCES PLC

"Reabold" or the "Company"

Investment in Danube Petroleum Limited

Reabold Resources Plc (LSE AIM:RBD) is delighted to announce that it has signed an agreement with Danube Petroleum Limited, a wholly owned subsidiary of ASX listed ADX Energy Ltd, (ASX:ADX) to invest a total of £1.5 million for a 29 per cent. interest ("the investment") in Danube Petroleum Limited ("Danube"). Danube is a newly-formed UK private oil and gas company, which upon completion of the transaction, will hold a 50 per cent. interest in the high impact Parta licence ("Parta"), onshore Romania, and a 100% interest in a low-risk appraisal campaign within Parta, comprising of two wells planned in H2 2018 to test 33 BCF prospective and contingent resources.

Highlights - Danube Petroleum Limited's "Parta" Project:

· Parta licence is situated onshore, within a proven and stable hydrocarbon region that benefits from low drilling and operating costs

· The two well Parta appraisal programme will redrill 1980s gas discoveries, including one that flowed gas to surface

· Recently acquired 3D seismic data has delineated considerable untapped gas resources of 33 BCF gross in the primary reservoir targets, with additional upside in other horizons

· Onshore Romania requires very low capital expenditure with nearby infrastructure, which will ensure fast payback following first gas

· Economics are highly attractive based on current gas prices of $6.2/mbtu and the Parta licence is considered profitable at substantially lower gas prices

· The Parta licence includes additional exploration and appraisal upside on the block with the potential for further total un-risked gross prospective resources of approximately 300 BCF of gas and 45 MMbbl of oil respectively identified on existing 2D seismic

· Danube Petroleum Limited gives Reabold a foothold in Eastern Europe, providing the Company the opportunity to consolidate other licences in the area

The investment, which includes the right for Reabold to appoint a director to the Board of Danube, will be formed of an initial 375,940 new shares issued upon completion of the transaction at 1 GBP per share. This will be followed by a further 1,127,819 new shares to be issued upon submission of an Authorisation for Expenditure for the first appraisal well at 1 GBP per share. Reabold has an option of a further 375,940 shares in Danube at 1 GBP per share, which can be actioned at the discretion of the Company within 6 months after completion of the transaction.

The 33 BCF of prospective and contingent resource Parta appraisal project ("Parta") will consist of two low-cost appraisal wells, planned for drilling in 2018. The directors, based on financial modelling of the prospective resources of the Parta appraisal project, estimate an NPV (10) in the success case of up to $86 million gross for a multi-well development across the two appraisal projects.

Stephen Williams Co-CEO of Reabold, commented:

"We are delighted by today's announcement, which is the second investment in line with Reabold's strategy. The investment into the Parta licence gives Reabold a foothold into the prolific eastern European onshore oil and gas space, giving the Company the opportunity to consolidate other licences in the area."

Sachin Oza, Co-CEO of Reabold, commented:

"We are highly encouraged by the success we have had so far in the implementation of our strategy to invest in low-risk, high impact upstream oil and gas projects. With a portfolio that now contains the Parta and Colter appraisal campaigns drilling in 2018, and with a number of other projects currently under review, Reabold shareholders can look forward to an exciting 2018."

Glossary:

MMbbl - Million barrels

BCF - Billion Cubic Feet

Mbtu - Million British Thermal Units

Contingent Resource - those quantities of petroleum estimated, as of a given date, to be potentially recoverable from known accumulations, but the applied project(s) are not yet considered mature enough for commercial development due to one or more contingencies.

Prospective Resource - those quantities of petroleum which are estimated, on a given date, to be potentially recoverable from undiscovered accumulations .

Note: All resource figures are taken from the ADX Energy Ltd announcement of 8 August 2017 on the ASX.

For further information please contact:

Notes to Editors

Reabold Resources is an investor in upstream oil & gas projects with an aim to create value from each project by investing in undervalued, low-risk, near-term upstream oil & gas projects and by identifying a clear exit plan prior to investment.

Reabold's long term strategy is to re-invest capital made through its investments into larger projects in order to grow the Company. Reabold aims to gain exposure to assets with limited downside and high potential upside, capitalising on the value created between the entry stage and exit point of its projects. The Company invests in projects that have limited correlation to the oil price.

Reabold has a highly-experienced management team, who possess the necessary background, knowledge and contacts to carry out the Company's strategy. Management believes the current distress in the oil & gas industry presents an opportune time to deploy capital in undervalued assets with huge potential.