Drilling Update

26 October 2020

PRESIDENT ENERGY PLC

("President" or the "Company")

 Drilling Update

President Energy (AIM: PPC), the energy company with a diverse portfolio of production and exploration assets, provides an update in relation to the newly drilled well LB-1001, Las Bases field, Rio Negro, Argentina.

Key points

· Net gas pay re-calculated at an increased 70 metres (230 feet) over several intervals

· Well has been completed by workover rig and tested

· Testing successful, validating pre-drill estimates of 100,000 m3/d (588 boepd) initial gas production

· Results identified good potential for new workover for the shut in well, LB-1 now to be performed before year end, and a new follow on well to be considered for drilling next year

· Rig now has moved off to next workover and well will be tied in and placed on production by end November

· This will also coincide with the bringing into production of an estimated further 75,000 m3/d (440 boepd) from the workovers of wells in the Estancia Vieja field

Commentary

After independent expert analysis of the suite of electric logs run in open hole before the newly drilled LB-1001 well was cased, it is now estimated that net gas pay of the well spread over several intervals has increased by 32% to 70 metres (230 feet) from 54 metres (185 feet).

The well has now been completed by the workover rig and testing has been concluded.

The first interval tested was a thin interval of two metres (6.5 feet) at the bottom of the well. This flowed gas successfully at ranges between 50,000-100,000 m3/d. However as this was only a thin interval and would deplete in a relatively short time, it was considered that the next zone above of some 8 metres (26 feet) offered a better opportunity for longer stable flow. Accordingly the lowest interval was plugged and testing moved to the next section up the hole.

This interval has now been likewise successfully tested and demonstrated that on production it would flow initially at 100,000 m3/d (588 boepd) with good pressure. Accordingly the rig has now moved off site to the next well to be worked over.

LB-1001 will be readied to be placed in production by the end of November to coincide with the coming on line of some 75,000 m3/d (440 boepd) new gas production from the Estancia Vieja field recently finished workovers.

The intervals higher up the well will be targeted in the future as and when this current zone is depleted. However the results of the log analysis of this well have now identified the potential for a workover and perforation of intervals in the shut in well LB-1 in the same field to initiate new, previously untapped gas production. This workover is now scheduled for before the end of the year.

As well as the workover, the results have opened up the potential for a further new development well to be drilled at the Las Bases field. This will be considered for next year.

Thus, by the end of November, from the above wells, President expects some 175,000 m3/d (1,028 boepd) new gas production to be brought onstream. President's intention is to build into its gas portfolio the capacity to reduce or increase production flows to reflect seasonal price variations to optimise profitability and cash flows whilst maintaining a base load of income. The deliberately planned increasing of the number of producing wells in the portfolio to provide flexibility and redundancy as well as good reservoir management is therefore integral to this strategy.

Glossary:

Boepd means barrels of oil equivalent (oil and gas) per day

LB means the Las Bases Concession, Rio Negro

M3/d means cubic metres of production of gas or oil per day (as the case may be)

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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 in Argentina capable of delivering positive cash flows and shareholder returns. With a strong base of shareholder support, including the international commodity trader and logistics company Trafigura, an in-country management team as well as a Board whose interests are aligned to those of its shareholders, President Energy gives UK investors access to the Argentina 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