Upland Resource Regulatory News (UPL)

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This announcement is not an offer for sale, or a solicitation of an offer to acquire, securities in any jurisdiction, including in or into the United States, Canada, Australia, or Japan. Neither this announcement nor any part of it shall form the basis of or be relied on in connection with or act as an inducement to enter into any contract or commitment whatsoever.

Date 25th October 2022

UPLAND RESOURCES LIMITED

("Upland" or the "Company")

Capital Raise to Progress Sarawak Initiatives

Upland Resources Limited (LSE: UPL), the oil and gas company with a portfolio of attractive upstream assets and opportunities in Sarawak, the UK North Sea and Tunisia is pleased to announce that it has raised £310,000 (before expenses) via a placing of new ordinary shares of no par value in the Company. The fundraise was completed at zero discount to the closing bid price on 25th October 2022 and was arranged by Optiva Securities Limited. One director (Bolhassan Di) and management have subscribed for a total of £50,000 in the fundraise.

These funds will be used to progress activities in Sarawak on Block SK334 including completion of the Joint Technical Study aimed at de-risking petroleum system elements and upgrading understanding of the prospectivity of Block SK344 where Upland recently entered into, through its wholly owned local subsidiary, a Joint Technical Study Agreement with local upstream oil consultancy Big Oil Ventures Sdn Bhd and the Sarawak state owned oil and gas exploration company Petroleum Sarawak Berhad ("PETROS").

Block SK334 with a size of approximately 6,685 km2, is located in the northern region of Onshore Sarawak, Malaysia. Sedimentary basins in Sarawak are proven prolific hydrocarbons bearing basins with continuing recent discoveries. Block SK334 is bordering discovered oil fields across the border with Brunei and share similar geological settings. Oil production in this sedimentary basin has occurred for many decades and is still producing (e.g the billion-barrel Seria Field).

Bolhassan Di, Upland Resources Chairman, commented:

"Our work with Petros and Big Oil Ventures on block SK344 in Sarawak has attracted the attention of several market participants and we were recently approached by investors who wished to invest on attractive terms; given recent capital market weakness the Upland Board decided that it would be prudent to progress to strengthen the Company's balance sheet, with proceeds from the fundraise to be predominately allocated to progressing work in Sarawak and the joint technical study on Block SK344. The Company continues to be run as a relatively low-cost operation, this fundraise more than covers our commitments to the Joint Technical Study and adds to existing capital to maintain other commitments.

Work has begun now in Sarawak and a joint venture office has now been set up, and a kick-off meeting and initial technical workshop have also been conducted; all those involved are very encouraged about the potential of significant hydrocarbons present in the study area (Block SK334) and we hope to be updating further in due course."

Details of the Fundraise:

The Company will issue 124,000,000 new ordinary shares of no par value at 0.25p per share pursuant to the Placing. 62,000,000 warrants will also be issued as part of the Placing (1 warrant for every 2 new ordinary shares). Each warrant will be exercisable into 1 new ordinary share of no par value in the Company at an exercise price of 0.40p. The warrants will be issued by the Company simultaneously with the Placing, however they may not be exercised until a period of 6 months from the date of the Warrant Certificate. All warrants expire 18 months from the date of issue.

As part of the Placing and Subscription, Bolhassan Di ,Chairman, has subscribed for 12,000,000 shares in the placement with 6,000,000 warrants and two PDMRs have subscribed for 8,000,000 shares in aggregate with 4,000,000 warrants

Total Voting Rights and Admission 

Following Admission, the Company will have 810,768,853 shares of no par value in issue, each with one vote per share(none of which are held in treasury). The total number of voting rights in the Company is therefore 810,768,853 which may be used by shareholders in the Company as the denominator for calculations to determine if they have a notifiable interest in the share capital of the Company under the Disclosure Guidance and Transparency Rules, or if such interest has changed.

Applications will be made to the Financial Conduct Authority ("FCA") for the new ordinary shares to be admitted to listing on the Official List (standard listing segment) of the FCA and to the London Stock Exchange for the new ordinary shares to be admitted to trading on the London Stock Exchange's main marker for listed securities (together "Admission"). Admission of the Placing and Subscription Shares is expected to occur the week of 31 October 2022.

Following Admission, Bolhassan Di, Chairman, will hold 28,634,620 shares in the capital of the Company, equating to 3.55 % of the Company's issued shares.

This announcement contains inside information for the purposes of Article 7 of the Regulation (EU) No 596/2014 on market abuse

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