TOWER RESOURCES PLC — Earnings Release 2015

Aug 13, 2015

PRESS RELEASE 13 August 2015

Wentworth Resources Limited

("Wentworth" or the "Company")

Q2 2015 Financial Statements and MD&A

Wentworth Resources Limited, the Oslo Stock Exchange (OSE: WRL) and AIM (AIM: WRL) listed independent, East Africa-focused oil & gas company, today announces its results for the second quarter and six months ended 30 June 2015.

The following should be read in conjunction with the Q2 2015 Management Discussion and Analysis and Financial Statements which are available on the Company's updated website at http://www.wentworthresources.com.

Q2 2015 HIGHLIGHTS

Corporate

• Continued working with our Mnazi Bay joint venture partners and the gas purchaser, Tanzania Petroleum Development Corporation, to finalise payment guarantee documentation in support of the Gas Sales Agreement ("GSA") for natural gas deliveries to the new government owned pipeline. Discussions are at an advanced stage with delivery of first gas on schedule for Q3 2015, in line with expectations.
• On July 1, 2015 successfully completed a private placement (the "Private Placement") and issued 15,412,269 new common shares for cash consideration of \$0.50 (GBP0.315 or NOK3.88) per share for total gross proceeds of \$7.64 million (GBP4.9 million or NOK59.7 million).

Financial

• Drew \$4.36 million of a credit facility to fund operator cash calls for Mnazi Bay development expenditures. An amount totalling \$5.16 million remains undrawn on the credit facility at June 30, 2015.
• Net loss for the second quarter of \$1.81 million, compared to a \$1.36 million in 2014.
• Revenue for the quarter of \$0.29 million, up 15% from Q2 2014.
• Second quarter exploration and development capital expenditures of \$2.31 million and \$7.04 million, respectively, compared to \$3.69 million and \$0.30 million, respectively, in 2014.
• Cash and cash equivalents on hand of \$2.22 million at June 30, 2015 (prior to receipt of the net proceeds from the Private Placement) compared with \$5.49 million on hand at December 31, 2014.
• Working capital was \$5.77 million compared to \$15.84 million at December 31, 2014.

Operational

Mnazi Bay Block, Tanzania

• Completed drilling of the MB-4 development well in the Mnazi Bay Concession. MB-4 was drilled to a total depth of 2,788 meters penetrating the Miocene gas reservoirs with net pay of 24 meters (Upper Mnazi Bay) and 43 meters (Lower Mnazi Bay) for a total net pay of 67 meters.
• Continued construction of field infrastructure to connect the Mnazi Bay gas fields to the new transnational government owned natural gas pipeline project.

Rovuma Onshore Block, Mozambique

• Continued consultation with the Rovuma Onshore Block joint venture partners on the potential appraisal of the Tembo-1 gas discovery.

Geoff Bury, Managing Director, commented:

"The recent successful equity raise completed on July 1 demonstrates confidence in our long-term investment strategy in East Africa. These new funds further secure the Company's balance sheet in advance of generating cash flow from natural gas sales to the new government owned transnational pipeline in Tanzania. The positive MB-4 development well results augment the independent reserve estimates within our Mnazi Bay gas fields. With discussion in regards to the payment guarantee agreement at an advanced stage, the Company looks forward to bringing gas on stream in the weeks ahead. We wish to thank shareholders for their continued support during this exciting period in the Company's history."

-Ends-

Enquiries:
Wentworth	Lance Mierendorf, Chief Financial Officer	lance.mierendorf@wentworthresources.com +1 403 680 8773
	Katherine Roe Head of Investor Relations & Corporate Communications	katherine.roe@wentworthresources.com +44 7841 087 230
Swedbank First Securities	Broker(Norway) Ove Gusevik Jarand Lønne	+47 23 23 80 00
Crux Kommunikasjon	Investor Relations Adviser (Norway) Jan Petter Stiff Carl Bachke	+47 995 138 91
Stifel Nicolaus Europe Limited	AIM Nominated Adviser and Broker (UK) Callum Stewart Ashton Clanfield	+44 (0) 20 7710 7600
FirstEnergy Capital	Broker (UK) Travis Inlow	+44 (0) 20 7448 0200
FTI Consulting	Investor Relations Adviser (UK) Edward Westropp Tom Hufton	+ 44 (0) 20 3727 1000

Financial Statements

The following primary statements have been extracted from the Q2 2015 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, 2015	December 31, 2014
ASSETS
Current assets
Cash and cash equivalents	2,224	5,487
Trade and other receivables	1,576	2,613
Prepayments, deposits and advances to partners	426	1,418
Current portion of long-term receivables	16,369	14,530
	20,595	24,048
Non-current assets
Long-term receivables	20,647	19,472
Exploration and evaluation assets	43,052	33,762
Property, plant and equipment	94,502	85,035
	158,201	138,269
Total assets	178,796	162,317
LIABILITIES Current liabilities Trade and other payables	13,825	8,204
Current portion of long-term loans	1,000	-
	14,825	8,204
Non-current liabilities
Long-term loans	19,597	5,718
Contingent liability	2,175	2,271
Decommissioning provision	927	782
	22,699	8,771
EQUITY
Share capital	404,225	404,225
Equity reserve	25,374	24,916
Accumulated deficit	(288,327)	(283,799)
	141,272	145,342
Total liabilities and equity	178,796	162,317

WENTWORTH RESOURCES LIMITED

Unaudited Condensed Consolidated Interim Statement of Comprehensive Loss United States \$000s, unless otherwise stated

	Quarter ended June 30,			Six months ended June 30,
	2015	2014	2015	2014
Total revenue	292	253	564	489

Operating expenses
Production and operating	(1,389)	(800)	(1,893)	(1,172)
General and administrative	(1,356)	(1,490)	(2,853)	(3,299)
Share based compensation	(152)	(323)	(458)	(477)
Depreciation and depletion	(122)	(156)	(228)	(291)
Gain from sale of office assets	-	32	-	55
Loss from operating activities	(2,727)	(2,484)	(4,868)	(4,695)
Finance income	1,387	1,411	2,694	3,051
Finance costs	(472)	(282)	(2,354)	(556)
Net loss and comprehensive loss	(1,812)	(1,355)	(4,528)	(2,200)
Net loss per ordinary share Basic and diluted (US\$/share)	(0.01)	(0.01)	(0.03)	(0.01)

WENTWORTH RESOURCES LIMITED Unaudited Condensed Consolidated Interim Statement of Changes in Equity

United States \$000s, unless otherwise stated

	Number of shares	Share capital	Equity reserve	Accumulated deficit	Total equity
		\$	\$	\$	\$
Balance at December 31, 2013	153,872,700	403,998	23,903	(299,076)	128,825
Net loss and comprehensive loss	-	-	-	(2,200)	(2,200)
Share based compensation	-	-	477	-	477
Issue of share capital	250,000	227	(77)	-	150
Balance at June 30, 2014	154,122,700	404,225	24,303	(301,276)	127,252
Balance at December 31, 2014	154,122,700	404,225	24,916	(283,799)	145,342
Net loss and comprehensive loss	-	-	-	(4,528)	(4,528)
Share based compensation	-	-	458	-	458
Balance at June 30, 2015	154,122,700	404,225	25,374	(288,327)	141,272

WENTWORTH RESOURCES LIMITED

Unaudited Condensed Consolidated Interim Statement of Cash Flows

United States \$000s, unless otherwise stated

	Quarter ended June 30,		Six months ended June 30,
	2015	2014	2015	2014
Operating activities
Net income/(loss) for the period	(1,812)	(1,355)	(4,528)	(2,200)
Adjustments for:
Share based compensation	152	323	458	477
Depreciation and depletion	122	156	228	291
Finance loss, net	(915)	(1,129)	(340)	(2,495)
Gain from sale of office assets	-	(32)	-	(55)
Change in non-cash working capital	2,448	(3,898)	2,378	(3,916)
Cash used in operating activities	(5)	(5,935)	(1,804)	(7,898)

Investing activities
Additions to evaluation and exploration assets	(2,306)	(3,690)	(9,290)	(8,471)
Additions to property, plant and equipment	(7,042)	(295)	(9,612)	(776)
Net (increase)/reduction in long-term receivable	(1,411)	91	(1,953)	192
Conversion of term deposits to cash	-	8,838	-	19,163
Interest income	-	35	-	75
Change in non-cash working capital	4,437	-	4,799	-
Cash (used in)/provided by investing activities	(6,322)	4,979	(16,056)	10,183
Financing activities
Issue of share capital	-	150	-	150
Proceeds from long-term loans	4,359	-	14,839	-
Interest paid	(242)	(89)	(242)	(178)
Proceeds from sale of office assets	-	32	-	55
Cash provided by financing activities	4,117	93	14,597	27
Net change in cash and cash equivalents	(2,210)	(863)	(3,263)	2,312
Cash and cash equivalents, beginning of the period Cash and cash equivalents, end of the period	4,434 2,224	17,676 16,813	5,487 2,224	14,501 16,813

About Wentworth Resources

Wentworth Resources is a publicly traded (OSE:WRL, AIM:WRL), independent oil & gas company with: natural gas production; midstream assets; and exploration and appraisal opportunities; all in the Rovuma Delta Basin of coastal southern Tanzania and northern Mozambique.

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, 2014, 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.