Genel Energy PLC: Acquisition of stakes in Chevron operated blocks in the KRI

21 January 2019

Genel Energy plc

Acquisition of stakesin Chevron operated blocksin the KRI

GenelEnergy plc ('Genel' or 'the Company')is pleasedto announce that the Company has reached agreement to acquire stakes in the Chevronoperated Sartaand Qara Dagh blocks, in the Kurdistan Region of Iraq.

Genel will acquire 30% equity in the Sarta licence by paying a 50% share of ongoing field development costsuntil a specific production target is reached,together with a success fee payable on achievement of a production milestone. Chevronwillretaina 50%interest in the Sarta licence andthe Kurdistan Regional Government will hold the remaining 20%. Genel's estimate of its total spend up to end-2020 is c.$60 million.

Drilling began on the first appraisal well, Sarta-3,in Q4 2017. The wellwas successfully completed and tested during the second quarter of 2018. Both that and the Sarta-2 well individually tested at rates of c.7,500 bopd. The first phase of development is expected to see these wells placed on production.

Genel will acquire 40% equity of the Qara Dagh appraisal licence and become the operatorthrough a carry arrangement. Chevron will retain 40% of the equity, with the KRG holding the remaining 20%. The Qara Dagh-2 well isset to be drilled in 2020. The Qara Dagh-1 well, completedin 2011,tested oil in two zones from the Shiranishformation.

Closing issubject to approval from the Kurdistan Regional Government.

Murat Özgül, Chief Executive of Genel, said:

'We are delighted to have been chosen as a partner to Chevron. The agreement provides access to a phased development opportunity with significant growth potentialat Sarta, and an exciting appraisal opportunity at Qara Dagh. The additions to our portfolio are an important step inour diversification strategy, offering afurtheropportunity for near-term production and cash-generation.'

-ends-

For further information, please contact:

Genel Energy Andrew Benbow, Head of Communications	[phone]
Vigo Communications Patrick d'Ancona	[phone]

Notes to editors:

Genel Energy is an independent oil and gas exploration and production company listed on the main market of the London Stock Exchange (LSE: GENL, LEI: 549300IVCJDWC3LR8F94). The Company, with headquarters in London and offices in Ankara and Erbil, is one of the largest London-listed independent oil producers, and is the largest holder of reserves and resources in the Kurdistan Region of Iraq. Through its Bina Bawiand Miranfields, the Company is positioned to be a cornerstone provider of KRI gas to Turkey under the KRI-Turkey Gas Sales Agreement. Genel also continues to pursue further growth opportunities. For further information, please refer towww.genelenergy.com.