Koshekhablskoye Acidisation Programme

JKX OIL & GAS plc ("JKX")

ANNOUNCEMENT OF

Koshekhablskoye Acidisation Programme

JKX Oil & Gas plc ("JKX") is pleased to announce that work has commenced on the hydrochloric acid treatment of three wells on the Koshekhablskoye Field in the Republic of Adygea, Russia. The objective of the programme is to enhance well productivity by improving conditions in the near wellbore and the removal of residual drilling solids in the open-hole sections.

The coiled tubing unit (CTU) is presently setting-up on well-25, the first well in the programme. Operations are expected to start imminently and be completed within seven to ten days. The acid treatment will use a total of 25 cubic metres of 15% hydrochloric acid solution together with inhibitors to regulate the rate of the reaction process. Pump pressure will be maintained well below the formation fracture pressure to ensure that the treatment is kept to the near well-bore area.

The side-track of well-25 was completed in January and flowed during clean-up at a rate of 13 MMcfd with a FWHP of 2,500 psi. Improved stable production rates should result from the current acid treatment.

Following completion of the well-25 operation, the CTU will move to wells 20 and 27 where JKX carried out initial acetic acid treatments in 2012.

JKX Chief Executive, Dr Paul Davies, commented:

"We are pleased to have the hydrochloric acidisation programme underway and look forward to having all three wells in production by mid-March."

JKX is an exploration and production company listed on the London Stock Exchange. The Company has licence interests in Ukraine, Russia, Hungary, Slovakia and Bulgaria.

ENDS

For further information please contact:

Anthony Cardew / Nadja Vetter, Cardew Group 020 7930 0777