REG-Cadogan Petroleum: Operations Update

Cadogan Energy SolutionsAnnouncement

30/01/2023 07:15

Press Release
                                                                                                       
              30 January 2023

This announcement contains inside information as defined under the Market
Abuse Regulations n. 596/2014

Cadogan Energy Solutions Plc

(“Cadogan” or the “Company”)

Cadogan Energy Solutions plc (“Cadogan”), the London Stock Exchange listed
independent energy company is pleased to provide the following operational
update post year end.

2022 has been a high challenging year for Cadogan due to the invasion of
Ukraine by Russia and its direct and subsequent consequences on the Ukrainian
economy and infrastructure. The operational activities of the Company in
Ukraine have been directly impacted.

In the first half of 2022, the production was suspended for 3 weeks in March
2022 and was resumed after securing the employees, the assets, the financial
transactions and the sales process.

In the second half of 2022, there have been several production stoppages due
to the reduction of crude oil consumption by oil refineries caused mainly by
the Russian strikes or by power outage due to similar strikes of the
electricity infrastructure.

As a consequence, the net oil production for 2022 was 117,793 bbl and averaged
323 bpd which is 8% below the production of 2021. The Company is currently
analyzing several solutions to overcome these constraints for its crude oil
production in 2023.

In 2022, the Company completed studies and data reprocessing and
reinterpretation of old 2D seismic of Blazhiv field launched at the end of
2021, and received the required data for field skeleton structural and
tectonic modeling.

All activities were executed without LTI or TRI, with a total of over
1,570,000 manhours since the last incident. Besides, the Company has
successfully passed ISO audit whereas ISO 14001 and 45001 certification were
re-validated by respective authority for the new term.

In 2022, the Kyiv Administrative Court and further on the Supreme Court have
not taken into consideration the Company’s arguments regarding the
Bitlyanska license award approval and rejected the claims.

The litigation case with the Ukrainian Tax Administration has been ended in
favor of the position defended by Cadogan.

ENDS

About

Cadogan is an independent, energy company, which operates an exploration and
production license in Western Ukraine, conducts gas trading operations, and
provides services to E&P companies. The aim of the Company is to be a
diversified energy group making investments offering energy solutions and
alternative services with a lower environmental impact.

For further information, please contact:

Cadogan Energy Solutions plc
Fady Khallouf                 Chief Executive
Officer                 f.khallouf@cadogan-es.com
Ben Harber                       Company Secretary
                      +44 0207 264 4366



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