REG - Petro Matad Ltd - Signature of Oil Sales Agreement

Petro MatadAnnouncement

Mon 07:00

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RNS Number : 3938G  Petro Matad Limited  28 April 2025

THE INFORMATION CONTAINED WITHIN THIS ANNOUNCEMENT IS DEEMED BY PETRO MATAD
LIMITED TO CONSTITUTE INSIDE INFORMATION AS STIPULATED UNDER THE UK VERSION OF
THE MARKET ABUSE REGULATION (EU) NO. 596/2014 AS IT FORMS PART OF UNITED
KINGDOM DOMESTIC LAW BY VIRTUE OF THE EUROPEAN UNION (WITHDRAWAL) ACT 2018
("UK MAR"). ON THE PUBLICATION OF THIS ANNOUNCEMENT VIA A REGULATORY
INFORMATION SERVICE ("RIS"), THIS INSIDE INFORMATION IS NOW CONSIDERED TO BE
IN THE PUBLIC DOMAIN.

Petro Matad Limited

('Petro Matad' or the 'Company' or the 'Group')

Signature of Oil Sales Agreement for Block XX Production

LONDON, 28 April 2025: Petro Matad Limited, the AIM quoted Mongolian oil
company is pleased to announce the signature of an Oil Sales Agreement for
Block XX crude oil.

On 28 April 2025, Petro Matad and PetroChina Daqing Tamsag, the operator of
neighbouring Block XIX, signed the Oil Sales Agreement covering storage,
processing, transport and export of Block XX crude oil production. Petro
Matad's invoices for the production from the Heron 1 well for the period 24
October 2024 to 31 March 2025 have been submitted and, under the agreement,
will be processed for payment during the month of May.

Point forward, Petro Matad is required to submit an invoice for each month's
production on or before the tenth day of the subsequent month and payment will
be made during the last week of the month based on the average benchmarked
price of Daqing crude oil for the month of production. Custody transfer of
Block XX oil takes place at the Block XIX processing facilities and PetroChina
is responsible for processing, transport and export of the crude to the buyers
in China.

Mike Buck, CEO of Petro Matad, said:

"We are delighted to have signed the oil sales agreement for the
commercialisation of Block XX production. This involved a number of firsts for
Mongolia and whilst the process was slow, we are grateful to the Mongolian
authorities and to PetroChina for their support. We look forward to
establishing a cooperative routine in the sales process in the same way that
the field crews in Blocks XIX and XX have done in the production operations
over the last 6 months and to receiving payment for all the oil produced to
date during the month of May."

Further operational updates will be provided in due course.

- Ends -

Further information please contact:

 Petro Matad Limited
 Mike Buck, CEO                                 +976 7014 1099 / +976 7575 1099

 Shore Capital (Nominated Adviser and Broker)
 Toby Gibbs                                     +44 (0) 20 7408 4090

 Harry Davies-Ball

 Zeus (Joint Broker)                            +44 (0) 20 3829 5000

 Simon Johnson

 Louisa Waddell

 FTI Consulting (Communications Advisory Firm)
 Ben Brewerton                                  +44 (0) 20 3727 1000

 Christopher Laing

 

About Petro Matad

Petro Matad is the parent company of a group focused on oil exploration,
development and production in Mongolia. Currently, Petro Matad holds a 100%
working interest and the operatorship of the Matad Block XX Production Sharing
Contract with the government of Mongolia. Block XX has an area of 214 square
kilometres in the far eastern part of the country. The Company also holds a
100% working interest and operatorship of the Borzon Block VII Production
Sharing Contract with an area of 41,141 square kilometres in southern central
Mongolia.

 

Petro Matad Limited is incorporated in the Isle of Man under company number
1483V. Its registered office is at Victory House, Prospect Hill, Douglas, Isle
of Man, IM1 1EQ.

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