Petro Matad (PRTDF)

[plumo]

Update re. Financing Agreement

Petro Matad, the AIM quoted Mongolian oil explorer, provides an update in relation to the share purchase and convertible security deed (the "Deed") with Bergen Global Opportunity Fund, LP (the "Investor") as announced by the Company on 8 May 2017 (the "May RNS").

In order to provide the Company with an opportunity to minimise dilution to the existing shareholders, effective 14 August 2017, the Deed has been amended and restated by mutual consent of the Company and the Investor, to provide that (a) the approximately monthly schedule of tranche equity investments described in the May RNS will be postponed until 15 October 2017, and (b) in lieu of the monthly funding during that period, the Investor has advanced an amount of US$1,500,000 by way of a 24-month interest-free unsecured convertible instrument with the face value of US$1,500,000 (the "Additional Convertible"), which will be convertible, in whole or in part, into new ordinary shares on the same terms as the US$2,000,000 Convertible referenced as issuable under the Deed in the May RNS (the "May Convertible"). For clarity, the Additional Convertible is being advanced in addition to the May Convertible.