Issue of Equity, TVR and Rule 2.10 Announcement

For Immediate Release 14 December 2015

LGO ENERGY PLC

("LGO" or the "Company")

Issue of Shares, TVR

and Rule 2.10 Announcement

Issue of Shares

Further to the Settlements with Various Creditors announcement released on 4 December 2015, the Company confirms that on 11 December 2015 the Board approved allotment of 43,668,470 new ordinary shares of 0.05p each (the "New Ordinary Shares") to be issued on 14 December 2015 to Zenith Energy Limited at the mid-market closing price on 10 December 2015 of 0.275p in payment of £120,088 outstanding fees.

Application is being made for the New Ordinary Shares, which rank pari passu with all existing ordinary shares, to be admitted to trading on AIM. It is expected that trading in these shares will commence on 18 December 2015. The New Ordinary Shares represent 1.34 per cent. of the enlarged share capital of the Company. 

Total Voting Rights

Following the issue of the New Ordinary Shares, the Company's issued share capital consists of 3,264,999,958 ordinary shares with a nominal value of 0.05p each, with voting rights ("Ordinary Shares"). The Company does not hold any Ordinary Shares in Treasury. Therefore the total number of Ordinary Shares in the Company with voting rights is 3,264,999,958.

Rule 2.10

In accordance with Rule 2.10 of the City Code on Takeovers and Mergers (the "Code"), LGO therefore confirms that, as of the date of the announcement, it has in issue 3,264,999,958 ordinary shares of 0.05p each. The International Securities Identification Number ("ISIN") of the ordinary shares is GB00B1TWX932. LGO's ordinary shares are listed on the Alternative Investment Market of the London Stock Exchange ("AIM").

Enquiries:

Disclosure requirements of the Code

Under Rule 8.3(a) of the Code, any person who is interested in 1% or more of any class of relevant securities of an offeree company or of any securities exchange offeror (being any offeror other than an offeror in respect of which it has been announced that its offer is, or is likely to be, solely in cash) must make an Opening Position Disclosure following the commencement of the offer period and, if later, following the announcement in which any securities exchange offeror is first identified. An Opening Position Disclosure must contain details of the person's interests and short positions in, and rights to subscribe for, any relevant securities of each of (i) the offeree company and (ii) any securities exchange offeror(s). An Opening Position Disclosure by a person to whom Rule 8.3(a) applies must be made by no later than 3.30 pm (London time) on the 10th business day following the commencement of the offer period and, if appropriate, by no later than 3.30 pm (London time) on the 10th business day following the announcement in which any securities exchange offeror is first identified. Relevant persons who deal in the relevant securities of the offeree company or of a securities exchange offeror prior to the deadline for making an Opening Position Disclosure must instead make a Dealing Disclosure.

Under Rule 8.3(b) of the Code, any person who is, or becomes, interested in 1% or more of any class of relevant securities of the offeree company or of any securities exchange offeror must make a Dealing Disclosure if the person deals in any relevant securities of the offeree company or of any securities exchange offeror. A Dealing Disclosure must contain details of the dealing concerned and of the person's interests and short positions in, and rights to subscribe for, any relevant securities of each of (i) the offeree company and (ii) any securities exchange offeror(s), save to the extent that these details have previously been disclosed under Rule 8. A Dealing Disclosure by a person to whom Rule 8.3(b) applies must be made by no later than 3.30 pm (London time) on the business day following the date of the relevant dealing.

If two or more persons act together pursuant to an agreement or understanding, whether formal or informal, to acquire or control an interest in relevant securities of an offeree company or a securities exchange offeror, they will be deemed to be a single person for the purpose of Rule 8.3.

Opening Position Disclosures must also be made by the offeree company and by any offeror and Dealing Disclosures must also be made by the offeree company, by any offeror and by any persons acting in concert with any of them (see Rules 8.1, 8.2 and 8.4).

Details of the offeree and offeror companies in respect of whose relevant securities Opening Position Disclosures and Dealing Disclosures must be made can be found in the Disclosure Table on the Takeover Panel's website at www.thetakeoverpanel.org.uk, including details of the number of relevant securities in issue, when the offer period commenced and when any offeror was first identified. You should contact the Panel's Market Surveillance Unit on +44 (0)20 7638 0129 if you are in any doubt as to whether you are required to make an Opening Position Disclosure or a Dealing Disclosure.

In accordance with Rule 26.1 of the Code, a copy of this announcement will be published, subject to certain restrictions relating to persons in any restricted jurisdiction, at www.lgo-energy.com.