North Energy ASA - operational update Oslo,

Oslo, 13 October 2017   - Subsidiary North E&P AS currently under liquidation has filed tax return for 2017 With reference to the stock exchange notice published 7th of July 2017 where it was announced that North E&P AS will discontinue the petroleum activities on the Norwegian Continental Shelf, North E&P has now filed the tax return for 2017 with the Norwegian government and requested for an early tax settlement. The net cash position of North E&P AS, including the effect of closing costs and completion of the sale of PL 805, is approximately NOK 240 million, which is in line with the figure presented as of Q2 2017. The final proceeds received from the liquidation, as well as the timing of receipt of proceeds, is dependent on the final assessment by the Norwegian Oil Taxation Office.    - Investment in Phoenix Global Resources has been realised Earlier this year North Energy ASA announced the sale of Interoil bonds for a consideration of USD 2 million and 7.5 million shares in Andes Energia PLC ("AEN"). The AEN share traded at a price of 0.58 GBP per share at the time of the transaction. The company Andes Energia has later gone through a business combination with Trefoil Holdings (part of the Mercuria Energy group) followed by a name change to Phoenix Global Resources ("PGR"). During the last months, North Energy Capital AS has gradually sold all of its 7.5 million shares in PGR for an average price of 0.62 GBP per share resulting in a small additional gain of GBP 0.3 million.     For further information, please contact: Knut Sæberg, CEO, North Energy ASA (+47) 918 00 720 | Email:  knut.saeberg@northenergy.no

This information is subject to the disclosure requirements pursuant to section 5 -12 of the Norwegian Securities Trading Act.