TOWER RESOURCES PLC — Earnings Release 2014

Aug 19, 2014

Wentworth Resources Limited : Q2 2014 Financial Statements and MD&A

Wentworth Resources Limited : Q2 2014 Financial Statements and MD&A

PRESS RELEASE

19 August 2014

Wentworth Resources Limited

("Wentworth" or the "Company")

Q2 2014 Financial Statements and MD&A

Wentworth Resources Limited, the Oslo Stock Exchange (OSE: WRL) and London Stock

Exchange (AIM: WRL) listed independent, East Africa-focused oil & gas company,

today announces its results for the second quarter and six months ended 30 June

The following should be read in conjunction with the Q2 2014 Management

Discussion and Analysis and Financial Statements which are available on the

Company's updated website at http://www.wentworthresources.com.

Q2 2014 Highlights

·       Commenced Tembo-1 exploration drilling operations onshore Mozambique.

·       Re-mobilized seismic crew to complete acquisition of conventional 2D

seismic over prospective areas of the Mnazi Bay concession in Tanzania, expected

to be completed in Q3 2014.

·       Continued to make progress with the Mnazi Bay Concession partners and

Attorney General's office of the Tanzanian government towards finalisation of a

gas sales agreement ("GSA").

·       Construction of the gas pipeline and processing facilities by a third

party contractor on behalf of the Tanzanian government remains on schedule for

completion and commissioning during Q1 2015.

·       Conditionally secured $26 million in credit facility to fund development

operations in Tanzania and to repay the existing loan. Access to funds subject

to a customary conditions precedent and the finalisation of the GSA.

·       Second quarter and six months capital expenditures of $4.0 million and

$9.2 million respectively compared to $1.0 million and $3.7 million respectively

during the same period in 2013.

·       Loss from operating activities for the quarter of $2.5 million compared

with a similar loss of $2.5 during the same period in 2013.

·       General and administrative expenses are 24.2% lower compared to same

period of 2013 due to implementation of cost-saving measures during 2014.

·       Cash and cash equivalents and short-term investments totalled $20.8

million at June 30, 2014 compared to $37.7 million on hand at December 31, 2013.

·       Working capital at June 30, 2014 was $29.9 million compared to $38.4

million at December 31, 2013.

Outlook

·       On June 19, 2014 drilling operations commenced on the Tembo-1

exploration well in the Rovuma Onshore Concession in northern Mozambique. The

Tembo-1 well is targeting Cretaceous and Jurassic sands which, if successful,

could open up a significant play fairway in the Rovuma Onshore Block.  Drilling

operations have encountered start-up and equipment challenges resulting in a

delay of approximately 45 days in drilling the Tembo-1 well.  The Company plans

to update shareholders on the drilling results once drilling operations are

complete.

·       Following completion of drilling the Tembo-1 exploration well, plan to

mobilize the drilling rig to the second well, Kifaru-1, located in the northern

section of the Onshore Rovuma Block, adjacent to and 12 kilometres south of the

Company's Mnazi Bay Concession in Tanzania.

·       The Company and the Mnazi Bay Concession partners continue to work

towards finalizing and signing the GSA with the Tanzanian government.

·       Acquisition of 315km of conventional 2D onshore seismic data over the

prospective areas of the Mnazi Bay Concession Tanzania expected to be completed

in Q3.   Processing and interpretation of this new seismic data during 2014 is

expected to support future appraisal, development and exploration drilling which

is anticipated to commence in 2015.

·       Wentworth is fully funded for the 2014 high impact exploration drilling

program in Mozambique, completion of 2D seismic acquisition in Tanzania and

administrative activities. Additional field infrastructure and a planned

development well in Mnazi Bay to be financed from $26 million credit facility.

Geoff Bury, Managing Director, commented:

"We are very pleased with the progress being made with construction of the

government sponsored pipeline project which is on track to be completed and

commissioned during Q1 2015 as planned.

We continue to work with our Mnazi Bay partners and representatives of the

government of Tanzania to finalize the GSA covering natural gas deliveries to

the new pipeline, and while this process has taken much longer than envisioned,

we believe we have made significant progress towards reaching a conclusion in

the best interests of all parties involved. We are unable to say exactly when

the GSA will be finalized and signed, and thank our shareholders for their

continued patience.

Securing the $26 million credit facility is another positive step towards the

future developments at Mnazi Bay, where the funds will be used primarily for

field infrastructure and drilling of one development well.  Pre-planning of

these projects has commenced with full implementation taking place following

signing the GSA to enable us to deliver first gas in Q1 2015".

Enquiries:

Wentworth Lance Lance.mierendorf@wentworthresources.com

Mierendorf, +1 403 680 8773

Chief

Financial

Officer

Katherine Roe, Katherine.roe@wentworthresources.com

Head of +44 7841 087 230

Investor

Relations and

Corporate

Communications

Swedbank First Securities Broker(Norway) +47 23 23 80 00

Ove Gusevik

Jarand Lønne

Crux Kommunikasjon Investor +47 995 138 91

Relations

Adviser

(Norway)

Jan Petter

Stiff

Fredrik Eeg

Panmure Gordon AIM Nominated +44 (0) 20 7886 2500

Adviser and

Broker (UK)

Callum Stewart

Adam James

Tom Salvesen

FirstEnergy Capital Broker (UK) +44 (0) 20 7448 0200

Majid Shafiq

Travis Inlow

Investec Broker (UK) +44 (0) 20 7597 4000

Chris Sim

Instinctif Partners Investor +44 (0) 20 7457 2020

Relations

Adviser (UK)

David Simonson

Catherine

Wickman

Harry Cameron

Financial Statements

The following primary statements have been extracted from the Q2 2014 unaudited

consolidated financial statements which are located on the Company's website at

www.wentworthresources.com.

WENTWORTH RESOURCES LIMITED

Unaudited Condensed Consolidated Interim Statement of Financial Position

United States $000s, unless otherwise stated

June 30, December 31,

2014 2013

---------------------------

ASSETS

Current assets

Cash and cash equivalents 16,813 14,501

Short-term investments - term deposits 4,013 23,176

Trade and other receivables 2,634 1,845

Prepayments, deposits and advances to partners 2,450 1,674

Current portion of long-term receivables 5,459 658

---------------------------

31,369 41,854

---------------------------

Non-current assets

Long-term receivables 26,640 28,661

Exploration and evaluation assets 59,107 50,636

Property, plant and equipment 18,983 18,498

---------------------------

104,730 97,795

---------------------------

Total assets 136,099 139,649

---------------------------

LIABILITIES

Current liabilities

Trade and other payables 1,485 3,487

---------------------------

1,485 3,487

---------------------------

Non-current liabilities

Long-term loans 4,034 3,816

Other long-term liabilities 2,594 2,836

Decommissioning provision 734 685

---------------------------

7,362 7,337

---------------------------

Equity

Share capital 404,225 403,998

Equity reserve 24,303 23,903

Accumulated deficit (301,276) (299,076)

---------------------------

127,252 128,825

---------------------------

Total liabilities and equity 136,099 139,649

---------------------------

WENTWORTH RESOURCES LIMITED

Unaudited Condensed Consolidated Interim Statement of Comprehensive Loss

United States $000s, unless otherwise stated

Three months ended June Six months ended June

30, 30,

2014 2013 2014 2013

--------------------------------------------------

Total revenue 253 235 489 451

Operating expenses

Production and operating (800) (601) (1,172) (754)

General and administrative (1,490) (1,965) (3,299) (3,939)

Share based compensation (323) (32) (477) (154)

Depreciation and depletion (156) (128) (291) (262)

Gain from sale of office 32 - 55 -

assets

--------------------------------------------------

Loss from operating (2,484) (2,491) (4,695) (4,658)

activities

Finance income 1,411 1,548 3,051 2,762

Finance costs (282) (249) (556) (443)

Gain on derivative financial - 393 - 393

liability

--------------------------------------------------

Net loss and comprehensive (1,355) (799) (2,200) (1,946)

loss

--------------------------------------------------

Net loss per ordinary share

Basic and diluted (0.01) (0.01) (0.01) (0.02)

(US$/share)

--------------------------------------------------

WENTWORTH RESOURCES LIMITED

Unaudited Condensed Consolidated Interim Statement of Changes in Equity

United States $000s, unless otherwise stated

Number of Share Equity Accumulated Total

shares capital reserve deficit  equity

$ $ $ $

--------------------------------------------------------------

Balance at 82,503,940 361,675 21,996 (289,087) 94,584

December

31, 2012

Net loss and - - - (1,946) (1,946)

comprehensive

loss

Share based - - 154 - 154

compensation

Issue of share 85,000 108 (37) - 71

capital

--------------------------------------------------------------

Balance at June 82,588,940 361,783 22,113 (291,033) 92,863

30, 2013

--------------------------------------------------------------

Balance at 153,872,700 403,998 23,903 (299,076) 128,825

December

31, 2013

Net loss and - - - (2,200) (2,200)

comprehensive

loss

Share based - - 477 - 477

compensation

Issue of share 250,000 227 (77)   150

capital

--------------------------------------------------------------

Balance at June 153,122,700 404,225 24,303 (301,276) 127,252

30, 2014

--------------------------------------------------------------

WENTWORTH RESOURCES LIMITED

Unaudited Condensed Consolidated Interim Statement of Cash Flows

United States $000s, unless otherwise stated

Three months ended June 30, Six months ended June

30,

2014 2013 2014 2013

---------------------------------------------

Operating activities

Net loss for the period (1,355) (799) (2,200) (1,946)

Adjustments for:

Share based compensation 323 32 477 154

Depreciation and depletion 156 128 291 262

Finance income, net (1,129) (1,299) (2,495) (2,319)

Gain from sale of assets (32) - (55) -

Gain on derivative financial - (393) - (393)

liability

Change in non-cash working (3,898) 95 (3,916) (1,247)

capital

---------------------------------------------

Cash used in operating activities (5,935) (2,236) (7,898) (5,489)

---------------------------------------------

Investing activities

Additions to evaluation and (3,690) (620) (8,471) (3,255)

exploration assets

Additions to property, plant and (295) (400) (776) (421)

equipment

Conversion of term deposits to 8,838 - 19,163 -

cash

Interest income 35 1 75 19

Net reduction/(increase) of long- 91 328 192 127

term receivable

Change in non-cash working - 723 - 1,375

capital

---------------------------------------------

Cash provided by/(used in) 4,979 32 10,183 (2,155)

investing activities

---------------------------------------------

Financing activities

Issue of share capital 150 71 150 71

Net proceeds from long-term loan - 3,922 - 3,922

Repayment of long-term loan - (299) - (599)

Interest paid (89) (133) (178) (270)

Proceeds from sale of office 32 - 55 -

assets

Decrease of other long-term - (169) - (326)

liabilities

---------------------------------------------

Cash provided by financing 93 3,392 27 2,798

activities

---------------------------------------------

Net change in cash and cash 3,175 (6,034) 2,312 (4,846)

equivalents

Cash and cash equivalents, 14,501 9,352 14,501 9,352

beginning of the period

---------------------------------------------

Cash and cash equivalents, end of 17,676 3,318 16,813 4,506

the period

---------------------------------------------

About Wentworth Resources

Wentworth Resources is a publicly traded (OSE:WRL, AIM:WRL), independent oil &

gas company with: natural gas production; midstream assets; a committed

exploration and appraisal drilling programme; and large-scale gas monetisation

opportunities, all in the Rovuma Delta Basin of coastal southern Tanzania and

northern Mozambique.

Gerold Fong, Vice President of Exploration (BSC Geophysics, 1982) who has 31

years of experience in the exploration and production industry, has read and

approved the technical disclosure in this regulatory announcement.

Cautionary note regarding forward-looking statements

This press release may contain certain forward-looking information.  The words

"expect", "anticipate", believe", "estimate", "may", "will", "should", "intend",

"forecast", "plan", and similar expressions are used to identify forward looking

information.

The forward-looking statements contained in this press release are based on

management's beliefs, estimates and opinions on the date the statements are made

in light of management's experience, current conditions and expected future

development in the areas in which Wentworth is currently active and other

factors management believes are appropriate in the circumstances. Wentworth

undertakes no obligation to update publicly or revise any forward-looking

statements or information, whether as a result of new information, future events

or otherwise, unless required by applicable law.

Readers are cautioned not to place undue reliance on forward-looking

information. By their nature, forward-looking statements are subject to numerous

assumptions, risks and uncertainties that contribute to the possibility that the

predicted outcome will not occur, including some of which are beyond Wentworth's

control.  These assumptions and risks include, but are not limited to: the risks

associated with the oil and gas industry in general such as operational risks in

exploration, development and production, delays or changes in plans with respect

to exploration or development projects or capital expenditures, the imprecision

of resource and reserve estimates, assumptions regarding the timing and costs

relating to production and development as well as the availability and price of

labour and equipment, volatility of and assumptions regarding commodity prices

and exchange rates, marketing and transportation risks, environmental risks,

competition, the ability to access sufficient capital from internal and external

sources and changes in applicable law.  Additionally, there are economic,

political, social and other risks inherent in carrying on business in Tanzania

and Mozambique. There can be no assurance that forward-looking statements will

prove to be accurate as actual results and future events could vary or differ

materially from those anticipated in such statements. See Wentworth's

Management's Discussion and Analysis for the year ended December 31, 2013,

available on Wentworth's website, for further description of the risks and

uncertainties associated with Wentworth's business.

Notice

Neither the Oslo Stock Exchange nor the AIM Market of the London Stock Exchange

has reviewed this press release and neither accepts responsibility for the

adequacy or accuracy of this press release.

This information is subject of the disclosure requirements pursuant to section

5-12 of the Norwegian Securities Trading Act.

[HUG#1849616]