Issue of Convertible Loan Notes

MX Oil / Ticker: MXO / Index: AIM / Sector: Oil & Gas

17 December 2015

MX Oil plc ("MX Oil" or the "Company")

Issue of Convertible Loan Notes

MX Oil plc, the AIM quoted oil and gas investing company, announces, further to the announcement of 16 December 2015, that it has raised £1.3 million through an initial subscription of secured, convertible loan notes ("Loan Notes").

The Loan Notes will pay a coupon of 12 per cent. per annum and are convertible, at the election of holders, into ordinary shares of the Company at a price of 4.5 pence per share. Certain of the Loan Notes may also be converted at the same price per share as the next equity issue by the Company, if any, post the issue of the Loan Notes but prior to their redemption or, on the occurrence of specific events requiring repayment which do not take place, certain of the Loan Notes may be converted into ordinary shares at or around the then prevailing market price. The Loan Notes will be secured and will be redeemable, together with all interest due, on the first anniversary of issue.

Directors' Participation

Directors of the Company have participated in the subscription as follows:

The current issued share capital of the Company consists of 379,295,737 ordinary shares of 1p per share.

Related Party Transaction

Pursuant to Rule 13 of the AIM Rules for Companies, the participation by directors constitutes a related party transaction. The independent directors, having consulted with Cairn Financial Advisers LLP, the Company's nominated adviser, consider that the terms of the transaction are fair and reasonable insofar as the Company's shareholders are concerned.

MX Oil's Chief Executive Officer Stefan Olivier said, "Having secured £1.3 million of debt funding on sensible terms, we are in a strong position to fund our investment in Nigeria and to progress our activities in Mexico. With our two countries of interest providing significant news flow over the next few months, 2016 is set to be a transformational year for the Company."

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For further information please visit www.mxoil.co.uk or contact: