Flow rate of Goudron well GY-670 exceeds 1,000bopd

For Immediate Release

15 December 2014

LGO Energy plc

("LGO" or the "Company")

Flow rate of Goudron well GY-670,

exceeds 1,000 bopd

LGO is pleased to announce that its most recently completed well, GY-670, at the Goudron Field in Trinidad was perforated on 12 December over a 177-foot interval of oil pay in the C-sands and is now flowing at a stabilized, but highly restricted, rate of 1,085 barrels of oil per day ("bopd") of 37 degree API water-free oil through a 9/32" choke with a well-head flowing pressure of 1,290 psi. Over the last 48 hours the well has flowed at an average rate of 1,104 bopd. The initial open-hole flow rate calculated for the well exceeds 6,000 bopd.

Neil Ritson, LGO's Chief Executive, commented:

"The first of the three wells on Pad-3, and the sixth completion in the eight wells we have drilled in 2014 has provided our best initial oil rate to date. Higher reservoir pressures in this area of the field combined with further improvements in drilling and completion techniques have given us the highest flow rate ever seen in the Goudron Field. Two further wells, GY-671 and GY-699, have yet to be placed on production on Pad-3."

Khalid M. Hassanali, Petrotrin President, commented:

"The Petroleum Company of Trinidad and Tobago Limited ("Petrotrin"), Trinidad and Tobago's State oil company has an alliance with LGO at the Goudron Field and welcomes this excellent well result from GY-670 and congratulates LGO on their 2014 drilling campaign that has resulted in significant oil production from Goudron."

Competent Person's Statement:

The information contained in this announcement has been reviewed and approved by Neil Ritson, Chief Executive Officer and Director for LGO Energy plc, who has over 35 years of relevant experience in the oil industry. Mr. Ritson is a member of the Society of Petroleum Engineers (SPE), an Active Member of the American Association of Petroleum Geologists (AAPG) and is a Fellow of the Geological Society of London.

Enquiries:

LGO Energy plc

Beaumont Cornish Limited

Old Park Lane Capital Plc

Pelham Bell Pottinger

Glossary:

API: American Petroleum Institute

C-sand: Sandstone reservoirs below the pre-Mayaro unconformity and above the pre-Lower Cruse unconformity encompassing sandstones of equivalent age to both the Gros Morne and the Lower Cruse formations.

calculated

open-hole flow

rate: A mathematically derived theoretical maximum flow rate that a well could deliver with zero back-pressure at the middle of the perforated interval

pay: A reservoir or portion of a reservoir formation that contains economically producible hydrocarbons. The overall interval in which pay sections occur is the gross pay; the portion of the gross pay that meets specific criteria such as minimum porosity, permeability and hydrocarbon saturation are termed net pay.

psi: pounds per square inch