RMP.L Regulatory News (RMP)

16 February 2015 Red Emperor Resources NL COMPANY UPDATE The Board of Red Emperor Resources NL ("Red Emperor" or the "Company") ispleased to provide the following update to the market. Puntland Further to the Company's recent quarterly report dated 29 January 2015, theCompany's Joint Venture (JV) continues to significantly reduce its presence inBosaso, Puntland and will refrain from any operational activity and associatedexpenditures pending a resolution of the political situation between theRegional Government of Puntland and the Federal Government of Somalia regardingthe legitimacy of oil concession contracts. Given the considerable effortstaken by the JV to date in Puntland (Somalia), the JV has requested a two yearextension to the current exploration period from the Government of Puntland toallow time for these political challenges to be resolved. Red Emperor is optimistic that agreements can be reached to enable the JV toremain in control its two PSCs that provide both exposure and leverage topotentially multiple billion barrels of oil. Georgia With respect to the well obligation that exists on Block VIb under theproduction sharing contract (PSC), Strait Oil & Gas advises that it has nowagreed a drilling programme with the Georgian Oil & Gas Ministry who have alsoconfirmed that a valid drilling license is in place. All technical aspects ofthe well, along with the cost budget, have been approved with a drill rig andall required services on standby. Range Resources remain in negotiations with athird party to reduce their financial exposure associated with the proposedwell and Red Emperor continues to monitor the progress of these discussions. Corporate Red Emperor recently sold its direct equity investment in Highfield ResourcesLimited (ASX: HFR) in accordance with its treasury management strategy. Theshares were sold at price of 80c per share, which netted the Company A$798,279after brokerage, a 66% return on its A$480,000 investment. Red Emperor'scurrent cash position is in excess of A$10m, approx. £5.15m, which equates to3.84c and 1.93p per share. Managing Director, Greg Bandy, commented, "The Board remains committed todelivering shareholder value and is in advanced discussions with a number ofprojects that the Board believes have that potential. The fall in oil priceshas increased the number of opportunities on the market and the Board are nowseeing more realistic farm-in terms offered and lower industry costs. With astrong balance sheet and low cash burn the Company is in a strong position toexploit these opportunities, which would have been unobtainable just six monthsago. In that regard, we are excited by the outlook for the Company." For further information please visit www.redemperorresources.com or contact: Red EmperorGreg Bandy +61 8 9212 0102 Grant Thornton UK LLPPhilip Secrett/Jen Clarke/Jamie Barklem +44 20 7383 5100 Fox-Davies Capital LimitedJonathan Evans +44 20 3463 5010