Black Sea Property AS

Declaration of Voting Results & Voting Rights Announcements • May 29, 2018

BLACK SEA PROPERTY AS: CORRECTION - FINAL RESULT OF THE REPAIR ISSUE - MANDATORY NOTIFICATION OF TRADE

BLACK SEA PROPERTY AS: CORRECTION - FINAL RESULT OF THE REPAIR ISSUE - MANDATORY NOTIFICATION OF TRADE

Reference is made to previous stock exchange announcements and the general meeting's decision to resolve a repair issue of minimum 1 and maximum 5,000,000 new shares (the "Repair Issue") in Black Sea Property AS (the "Company").

The subscription period for the Repair Issue ended on 28 May 2018 at 16.30 CET. The subscription price per share in the Repair Issue was NOK 0.40. At the end of the subscription period, the Company had received subscriptions for a total of 6,295,762 shares out of 5,000,000 shares available, implying an oversubscription of 1,295,762 shares.

The Board of Directors of the Company has approved the final allocation of the shares based on the allocation criteria set out by the general meeting and has allocated 5,000,000 shares in total to the subscribers. A total of 2,655,496 shares have been allocated on the basis of exercised subscription rights and 2,344,504 shares have been allocated to subscribers on the basis of oversubscription. The Repair Issue raised gross proceeds of NOK 2 million.

Payment for the shares allocated to the subscribers falls due on 4 June 2018. Letters of allocation will be distributed to investors giving notification of allocated new shares and the corresponding amount to be paid by each subscriber.

Reference is furthermore to the stock exchange notice dated 24 May 2018 regarding subscriptions made by the Company's board members Egil Melkevik and Morten Westergren.

Egil Melkevik has been allocated 528,476 shares in the Repair Issue, and will hold a total of 1,408,194 shares in the Company after issuance of the shares in the Repair Issue. The shares are held both personally and through controlled company MTB Invest AS.

Morten Westergren has been allocated 397,948 shares in the Repair Issue, and has entered into an agreement with board member Kåre Rødningen to transfer 237,948 shares at a price of NOK 0.40 per share. Morten Westergren will hold a total of 309,347 shares in the Company after issuance of the shares in the Repair Issue. The shares are held through wholly owned company MW Earth Holding AS.

Following purchase of shares from Morten Westergren, Kåre Rødningen will hold 1,827,797 shares in the Company. The shares are held through wholly owned company Rødningen Invest AS.

For further information please contact:

Egil Melkevik, Chairman

Tel: +47 90 77 09 76

E-mail: egil.melkevik@imenco.com

About Black Sea Property AS:

Black Sea Property AS is a real estate company with holdings in a real estate project on the Black Sea

coast called Aheloy Beach Resort. Aheloy Beach Resort is a partially-completed project and will upon

completion comprise over 1,000 apartments as well as significant commercial space. Black Sea Property AS owns indirectly 75% of the project. Black Sea Property AS will work to finalize Aheloy Beach Resort, to realize the project's added value through the sale of residential units and hotel operations.