Panoro Energy ASA

Regulatory Filings • May 4, 2016

PANORO ENERGY ANNOUNCES FIRST OIL PRODUCTION AT AJE

PANORO ENERGY ANNOUNCES FIRST OIL PRODUCTION AT AJE

Oslo, 4 May 2016 - Panoro Energy ASA ("the Company" or "Panoro" with OSE ticker:

"PEN"), the independent E&P company with assets in Nigeria and Gabon, notes the

recent announcement made by its partner, the Operator of OML 113 Yinka Folawiyo

Petroleum Company Limited, and is pleased to announce that the first oil

production from the Aje field, offshore Lagos, commenced yesterday 3 May 2016.

Subsea installation activities had been underway at Aje since January and were

completed in early March ready for the hook-up of the Front Puffin FPSO, which

arrived in Nigeria on the 16th of March.

Oil produced from the Aje field will be stored on the Front Puffin which has

production capacity of 40,000 barrels of oil per day and storage capacity of

750,000 barrels.

Flow rates will be provided in Panoro's next operations update, following a

period of commissioning and well stabilisation.

Panoro's Chief Executive Officer, John Hamilton, said: "We are extremely pleased

to announce the start of first oil production at Aje. This is a transformational

milestone for Panoro and represents a great achievement by the Aje project

teams. It is also a key building block in our strategy to become a full cycle

E&P company focused on West Africa. The commencement of production at Aje is

also significant for Nigeria as it is the first commercial production for the

country in the emerging Dahomey Basin."

Aje is an offshore field located in OML 113 in the western part of Nigeria in

the Dahomey Basin. The field is situated in water depths ranging from 100 to

1,000 metres about 24 km from the coast. The Aje Field contains hydrocarbon

resources in sandstone reservoirs in three main levels - a Turonian gas

condensate reservoir, a Cenomanian oil reservoir and an Albian gas condensate

reservoir.   As previously disclosed, AGR TRACS International calculated the

gross Cenomanian oil Proved plus Probable Reserves estimate associated the Aje-4

and Aje-5 wells, and the gross Contingent Resources estimate associated with the

future drilling of Aje-6 and Aje-7 wells.  At that time AGR TRACS International

calculated these as 23.4MMbbl and 15.7MMbbl respectively (on a gross basis),

indicating a mid-case expected ultimate recovery of 39.1MMbbl from the

Cenomanian Oil Reservoir once all four wells have been drilled.   AGR TRACS

International also calculated the Turonian gas and condensate/oil best estimate

gross contingent resource as 163 MMboe.

For further information about this press release, please contact:

John Hamilton, Chief Executive Officer

Tel: +44 (0) 203 405 1061

email: info@panoroenergy.com

About Panoro Energy

Panoro Energy ASA is an independent E&P company based in London and listed on

the Oslo Stock Exchange with ticker PEN. The Company holds high quality

production, development, and exploration assets in West Africa, namely OML 113

offshore western Nigeria and the Dussafu License offshore southern Gabon. In

addition to discovered hydrocarbon resources and reserves, both assets also hold

significant exploration potential. For more information, please visit the

Company's website at www.panoroenergy.com.