Panoro Signs Heads of Terms for the drilling of first well offshore Sfax
Oslo, 31 October 2018 - Panoro Energy (the "Company" or "Panoro" with OSE
Ticker: PEN) is pleased to announce that its fully owned subsidiary Panoro
Tunisia Exploration AS ("Panoro Tunisia") has just signed a Heads of Terms with
Compagnie Tunisienne de Forage ("CTF"), the Tunisian state-owned drilling
contractor, for the use of the CTF-4, a 2,000-horsepower onshore rig, or
equivalent drilling rig, for the drilling of the Salloum West-1 well ("SAMW-1")
located in the Sfax Offshore Exploration Permit ("SOEP"). The spud date of the
SAMW-1 well is anticipated to be in the first half of 2019 and is subject to the
entry into a second renewal period of the SOEP for a period of 3 years, and the
subsequent approval of the final drilling program and budget by ETAP. Advanced
discussions for the renewal are ongoing with the Tunisian Authorities.

The announcement to spud the SAMW-1 well, to be directionally drilled from the
shore as a deviated well, comes only 3 months after the closing of the
acquisition of DNO Tunisia AS.

The primary objective of the SAMW-1 well is the Bireno formation, at
approximately 3,200 metres vertical depth, where the Company has identified,
based on 2D and 3D seismic data, what it believes to be an extension of the
Salloum structure to the west. The SAMW-1 well will target an independent fault
compartment up-dip from the Salloum-1 well which was drilled by British Gas in
1992 and tested the Bireno formation at a rate of 1,846 bopd.

The objective of the SAMW-1 well is to prove up additional resources in the
vicinity of the Salloum-1 well and subsequently fast-track the development of
Salloum through a tie-in to existing adjacent oil infrastructure.

The decision to drill this new well is supported by rig availability, cost
-savings due to drilling equipment for the well already being owned and stored
in Panoro's Sfax warehouse, existing 2D and 3D seismic covering the SAMW-1
location, close proximity to the Salloum-1 discovery well, the existing adjacent
oil infrastructure, and a high chance of success.

The expenditure on SAMW-1 well will be funded from Panoro's existing financial
resources. The well costs will also be an added to the existing substantial cost
pool of SOEP which will be fully recoverable against future revenues through the
cost oil mechanism.

John Hamilton, Chief Executive Officer Panoro Energy said: "We are excited to
have signed this drilling Heads of Terms with CTF only 3 months after our entry
in Tunisia and to expand our working relationship with our esteemed partner
ETAP. SAMW-1 represents a low cost and attractive risk-reward drilling
opportunity which could enable a fast-track development of the Salloum oil
discovery located on the Sfax Offshore Exploration Permit".

Enquiries

John Hamilton, Chief Executive Officer

Tel: +44 203 405 1060
Email: investors@panoroenergy.com

About SOEP

SOEP is operated by Panoro Tunisia Exploration AS and Panoro's current interest
in the license is 87.5%. SOEP covers an area of 3,228 km2 within the
historically prolific oil and gas producing region offshore the city of Sfax.
There are three oil discoveries on the permit, Salloum, Ras El Besh, and
Jawahra, with gross recoverable oil estimated by the former operator of 20
million barrels. In addition to these discoveries there is considerable
exploration potential in the Permit, and the previous operator's P50 unrisked
gross estimate was 250 million barrels. In the vicinity of SOEP area are
numerous existing producing fields with infrastructure and spare capacity in
pipelines and facilities.

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, exploration and development assets in Africa, namely the Dussafu
License offshore southern Gabon, OML 113 offshore western Nigeria and Sfax
Offshore Exploration Permit and the Ras El Besh Concession, offshore Tunisia.