Issue of Equity

Cadogan Petroleum Plc

("Cadogan" or the "Company")

Issue of Equity

 Payment of CEO’s 2015 and 2016 bonus

Cadogan Petroleum plc (“Cadogan” or the “Company”) announces that it has issued 4,637,588 Ordinary shares of £0.03 each, (“New Ordinary Shares”) in the capital of the Company for cash on the basis of £0.0825 per share to the CEO, Mr Guido Michelotti.

Cadogan confirms that the payment for the New Ordinary Shares  in the Company was satisfied in full, by using the entire amount of the 2015 and 2016 bonuses due to the CEO, Mr Guido Michelotti (but which had not yet been paid), totalling €431,000 (2015: €231,000  and 2016: €200,000).

The number of shares allocated was calculated using the prevailing market value of such shares on the 19^th September 2017, being the date that the bonuses were deemed to be paid.

In addition, the Company confirms that Mr Michelotti has agreed to fund the income tax due on both the 2015 and 2016 bonuses from his own resources.  Therefore there is no immediate need for any of the above shares to be sold to fund the tax liability arising on the bonuses.  Also, as a consequence, there will be no cash outflow for the Company arising from the award of the bonuses, with the exception of any related social security contributions that fall due following the payment of the bonuses.  In addition, Mr Michelotti has undertaken not to sell the shares for a period of three years from the date of subscription.

Save for the undertaking not to sell the shares for three years, this is as set out in the ‘Annual Report on Remuneration’ on page 33 of the Company’s 2016 Annual Financial Report and in the ‘Explanatory Notes on the resolutions – attachment to notice of 2016 AGM’ on page 7 of the Notice of AGM Circular sent to shareholders on 26 May 2017.

Application has been made for the new Ordinary Shares to be admitted to trading on the London Stock Exchange (the "Admission"), and dealings in the new Ordinary Shares are expected to commence on or around 28^th September 2017.

Following the issue of the New Ordinary Shares the total number of Ordinary Shares in issue is 235,729,322. There are 66 Ordinary Shares held in treasury. Therefore, the total number of voting rights in the Company is 235,729,256. This figure may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest under the Disclosure and Transparency Rules.  

About

 Cadogan is an independent oil and gas company. Cadogan operates exploration and production licenses in Ukraine, conducts gas trading operations, and provides services to E&P companies.

For further information, please contact:

Cadogan Petroleum plc

Guido Michelotti, Chief Executive Officer

[phone]

Ben Harber, Company Secretary

[phone]

Cantor Fitzgerald Europe

David Porter

Sarah Wharry

[phone]

Appendix

The notification detailed above and summarised in the table below is made in accordance with the requirements of the EU Market Abuse Regulations as follows:

• Guido Michelotti , CEO purchased 4,637,588 shares at 0.0825pence per share on 20^th September 2017

1.	Details of PDMR/ person closely associated with them (‘PCA’)
a)	Name	Guido Michelotti
2.	Reason for the notification
a)	Position/status	Chief Executive Officer
b)	Initial notification / Amendment	Initial notification of purchase of shares
3.	Details of the issuer, emission allowance market participant, auction platform, auctioneer or auction monitor
a)	Name	Cadogan Petroleum plc
b)	LEI	213800JIBKL29FAK1213
4.	Details of the transaction(s): section to be repeated for (i) each type of instrument; (ii) each type of transaction; (iii) each date; and (iv) each place where transactions have been conducted
	Description of the financial instrument, type of instrument Identification code	Ordinary shares of 3 pence each GB00B12WC938
b)	Nature of the transaction	Purchase of ordinary shares
c)	Price(s) and volume(s)	Price(s)                                     Volume(s) 0.0825p                                    4,637,588
d)	Aggregated information Aggregated volume   Price	4,637,588 0.0825p
e)	Date of the transaction	20th September 2017
f)	Place of the transaction	XLON