CADOGAN PETROLEUM PLC - Publication of Report on Payments to Governments

London, September 15

Cadogan Petroleum plc (the "Company")

Consolidated report on payments to governments

Cadogan Petroleum plc presents below its consolidated report on payments to governments for the year ended 31 December 2015, for activities related to exploration, development and extraction of oil and gas resources.The report has been prepared in accordance with DTR 4.3A of the Financial Conduct Authority Disclosure and Transparency Rules and in compliance with the Reports on Payments to Governments Regulations 2014 (SI 2014/3209), as amended by the Reports on Payments to Governments (Amendment) Regulations 2015 (SI 2015/1928).

Payment types are disclosed at the level of operational activities governed by a single contract, license or similar legal agreements and form the basis for payment liabilities with a government. The payments are presented on a cash basis, and do not contain interests and penalties on late tax payments or on underpaid tax as all payments were made in due time There were no payments in kind made to a Government during the year.

For the year ended 31 December 2015 the Group disclosed in the report production taxes which are payments to governments in relation to revenue or production generated under license agreements.

Taxes levied on consumption such as value added taxes, personal income taxes, sales taxes, property and environmental taxes have not been included in this report.