Bowleven : Preliminary Results for the Year Ended 30 June 2020.

5 November 2020

Bowleven plc ('Bowleven' or 'the Company')

Preliminary Results

Bowleven, the Africa focused oil and gas exploration group traded on AIM, today announces its preliminary unaudited results for the year ended 30 June 2020.

HIGHLIGHTS

Operational

Etinde, offshore Cameroon

• Front End Engineering Design (FEED) contract awarded to Technip in Q1 2020. Commencement was delayed until 1 July 2020 due to the impact of the COVID-19 pandemic. This contract focuses on the design and engineering of the onshore gas processing facility, the IM well head platform and the appropriate production and sales pipeline infrastructure.
• FEED is expected to complete in November 2020 and is currently on time and within budget.
• Work is also progressing on the sub-surface development plan, including location, number and type of wells required to produce wet gas from IM reservoirs.

Financial

• The loss for the financial year was $2.6 million.
• Bowleven closed the year with $9.1 million of cash and a financial investment of $2.0 million, giving a total value of funds of $11.1 million.
• Having assessed the forecast cash expenditure to Financial Investment Decision (FID) and the receipt of $25 million on FID from the JV partners, the Company believes the Group has sufficient funds to continue in operation for the foreseeable future until at least FID, which is expected in 2021.

Corporate

• Bowleven and New Age Ltd (New Age) have jointly appointed a lead financial adviser, Cofarco, to manage raising investment finance for the Etinde development.
• The Etinde JV partners are in discussion with Société Nationale des Hydrocarbures (SNH) and various other commercial parties in respect of the sale of gas, Liquified Petroleum Gas (LPG) and condensate.
• The Group commenced closing its Employee Benefit Trust during the year following the cessation of the Group's long-term incentive plan (LTIP) and employee share option schemes.

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• E&Y resigned as auditor during the year. Following a tender process, BDO was appointed to the role of auditor in the interim and will be nominated to be reappointed at the forthcoming annual general meeting (AGM).

Outlook

Key objectives are to deliver on a revised strategy in FY2021 which include:

• Working with JV partners on FEED, Commercial and Finance matters in respect of the Etinde development options with the aim of Etinde project FID in 2021.
• The JV partners propose to address the Etinde Exclusive Exploitation Agreement (EEEA) licence duration as part of the FID process regulatory submission to the Government of Cameroon. The risk of the Etinde licence potentially expiring in January 2021 is considered low to medium at the current time.
• Disciplined capital management to secure progress towards FID and thereafter explore funding options regarding development capital.

Eli Chahin, Chief Executive Officer of Bowleven plc, said:

"Our focus in 2021 will be to work with all of our stakeholders to ensure FID is achieved and underpinned by a compelling development plan, which is suitably robust to secure future capex funding. This combined with a disciplined approach to capital management will ensure that we are able to deliver maximum value for the Company's shareholders."

As previously announced, Bowleven intends to host a conference call for shareholders to go through

the Company's 2020 Preliminary Results. This is now planned for 12pm on Monday 9 November

2020.

If you would like to participate in the call, please contact Ollie Mills at Celicourt Communications

via email atOMills@celicourt.uk.

This announcement may include statements that are, or may be deemed to be "forward-looking statements". These forward-looking statements can be identified by the use of forward-looking terminology, including the terms "believes", "estimates", "anticipates", "projects", "expects", "intends", "may", "will", "seeks" or "should" or, in each case, their negative or other variations or comparable terminology, or by discussions of strategy, plans, objectives, goals, future events

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or intentions. These forward-looking statements include all matters that are not historical facts. They include statements regarding the Company's intentions, beliefs or current expectations concerning, amongst other things, the results of operations, financial conditions, liquidity, prospects, growth and strategies of the Company and its direct and indirect subsidiaries (the "Group") and the industry in which the Group operates. By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the future. Forward-looking statements are not guarantees of future performance. The Group's actual results of operations, financial conditions and liquidity, and the development of the industry in which the Group operates, may differ materially from those suggested by the forward-looking statements contained in the announcement. In addition, even if the Group's results of operations, financial conditions and liquidity, and the development of the industry in which the Group operates, are consistent with the forward-looking statements contained in the announcement, those results or developments may not be indicative of results or developments in subsequent periods. In light of those risks, uncertainties and assumptions, the events described in the forward-looking statements in the announcement may not occur. Other than in accordance with the Company's obligations under the AIM Rules for Companies and the Market Abuse Regulations, the Company undertakes no obligation to update or revise publicly any forward-looking statement, whether as a result of new information, future events or otherwise. All written and oral forward-looking statements attributable to the Company or to persons acting on the Company's behalf are expressly qualified in their entirety by the cautionary statements referred to above and contained elsewhere in the announcement.

Notes to Editors:

Bowleven plc is an African focused oil and gas group, based in London and traded on AIM. It is dedicated to realising material shareholder value from its asset in Cameroon, whilst maintaining capital discipline and employing a rigorously selective approach to other value- enhancing opportunities.

Bowleven holds a strategic equity interest in the offshore, shallow water Etinde permit (operated by NewAge) in Cameroon.

CHAIRMAN & CEO STATEMENT

A STRONG CASE FOR DEVELOPMENT

2020 was a pivotal year for our company and we are well positioned to be a leading Cameroon oil and gas producer. Whilst we still have some work to do, our field is expected to prove worthy of its world class title.

Dear Shareholders,

2020 has been a milestone year, both for society and for our industry. The onset of COVID-19 resulted in widespread global medical and economic issues. Coupled with the Opec oil price war, further pressure was made on an already tight oil price environment. We expect to see continued pressure as more developed economies focus on adopting to a lower carbon future.

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At an industry level, the short-term environment remains uncertain and turbulent, with the absence of any meaningful market equilibrium leading to significant challenges to our thinking as executives. This market dislocation was very publicly illustrated when, in April this year, WTI contracts traded at negative prices for the first time in history.

Several difficult-to-judge demand and supply catalysts remain precariously poised to contribute to continued market volatility in the near term. In these circumstances, final investment decisions are being delayed/deferred and the sanctioning of higher-cost projects remains under significant pressure. Today's underinvestment will invariably lead to a future rebalancing of the oil and gas market and we remain confident that shareholder patience will be rewarded. Given Etinde will produce natural gas and condensates, from an environmental and oil price volatility perspective, we continue to believe there is strong investment rationale for developing the asset. The Company continues to place great importance on addressing environmental, social and governance issues and is pleased to update on these matters further, later in the document.

At an operational level, we, along with our partners, have adapted to the current impact of the pandemic. We placed the welfare of our employees at the top of the list of priorities and implemented work-from-home practices to keep our workforce safe. As a result of the travel bans, office closures and 'social distancing' measures, the Etinde JV, which included our FEED contractor Technip, effectively started running its processes and projects entirely virtually - meaning remote management presentations, virtual due diligence and online question and answer forums. So far that approach has been relatively successful, although some slippage in the Etinde timetable was inevitable, as the various parties adjusted to remote ways of working. With no physical data rooms and communal workstations to verify seismic and geological data, the absence of face-to-face negotiations was always going to give rise to delays. Further, as we enter commercial negotiations with our various stakeholders the need to finalise the incremental development and phasing of development on the Etinde Permit is our pressing priority.

In February 2020, we were very pleased to see the signing of a non-binding Letter of Intent (LOI) between Victoria Oil & Gas Plc (AIM: VOG) and New Age, for the supply of gas from the Etinde Field. This LOI has the potential to lead to a Gas Supply Agreement (GSA) further down the line, as the project evolves. This event marks a considerable step forward regarding the commercialisation of the licence.

During March 2020, Technip was appointed to the role of Front End Engineering Design (FEED) contractor, to lead the onshore and offshore elements of the first phase of the field development programme. The reservoir engineering and sub-surface development aspects of the wider FEED process continue to be undertaken by our partner, New Age, as Operator. We are also fortunate to benefit from the extensive support provided by LUKOIL and our host Government of Cameroon. The initial phase of the development concept proposed by the JV partners comprises an onshore gas processing, storage and export facility linked to an unmanned well head platform with associated pipeline infrastructure.

On the financial side, Bowleven continues to benefit from a robust balance sheet, with a cash balance of $7.4 million as at 30 October 2020. The Company also continues to operate in a lean fashion, with a very low G&A spend compared with its peers in the space. Also, it is important to note that we will receive a payment of $25 million from the JV partners once FID is achieved, which, as before, we now expect to be in 2021.

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