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Angus Energy receives OGA approval for the drilling of Lidsey-X2 development well

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Oilfield Technology,

The company has received permission from the Oil and Gas Authority (OGA) to drill and then produce the Lidsey-X2 horizontal production well at its Lidsey production oil field, license PL 241.

The company now has all regulatory consents to drill and produce Lidsey-X2.

Today’s announcement follows the required approvals already received from the West Sussex CountyCouncil (“WSCC”) and the Environmental Agency (“EA”) as stated in the Company’s RNS of 18 April and 2 May 2017.

The Lidsey Oil Field is located near Bognor Regis in the south of the United Kingdom. Lidsey-X2production will target the upper crest of the producing Great Oolite reservoir. It passes through the Kimmeridge layers allowing for the detailed logging and sampling of drill cuttings. This data will be analysed and compared to the encouraging results Angus encountered at Brockham-X4Z.

The company notes its timeline for Lidsey-X2 to re-commence production from Lidsey may now be delayed by a few weeks due to the extension of BDF Rig 28’s current work obligations for an unrelated third party. These modified operations have postponed the equipment mobilisation date to the Lidsey oilfield.

The cause of this delivery delay of the necessary equipment is wholly unrelated to Angus Energy and the Company’s operations. The delay will not have any material impact on Angus Energy.

The company expects an operating window of approximately six weeks from the rescheduled mobilisation date, once confirmed, to actual production from Lidsey-X2. A further announcement will be made in due course.

Paul Vonk, Angus Energy’s Managing Director, commented:

"The development of the Lidsey-X2 production well aligns with our business plan of providing long term, cost efficient, low geological risk, conventional oil production.

Delays are inevitable in conventional oil production. It is our standard practice to budget and plan for these type of events. We remain focused on providing value to our shareholders and look forward to this next milestone in the very near future."

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