Deutsche Rohstoff AG: Q1 Oil Production 80% hedged
Value of Oil- and Gas reserves increases at year end 2019

Mannheim/Denver. The companies of Deutsche Rohstoff Group have hedged 80% of their expected oil production for Q1/2020. The hedged price amounts to USD 57.48 per barrel. For the full year 2020, the expected hedging ratio is approximately 55% at a minimum price of 57.12 USD/barrel, for the first half of 2020 at 60% with a minimum price of 57.04 USD/Barrel.

The annual recalculation of oil and gas reserves of the four US subsidiaries of Deutsche Rohstoff AG brought the following results:

- Present value of reserves: 196.2 million USD¹ (previous year: 186.3 million USD)

- Proven and probable reserves: 29.0 million BOE (previous year; 32.8 million BOE)

- Expected cashflow: 353.1 million USD (previous year: 420,42 million. USD)

Overall, the proven and probable reserves were slightly lower than in the previous year, as Cub Creek and Elster produced part of the reserve. Salt Creek's and Bright Rock's proved reserves have increased by over 50% to the current level of 3.5 million BOE. Bright Rock also has possible reserves of approximately 4 million BOE. The increase at Bright Rock and Salt Creek is in line with Deutsche Rohstoff's strategy to significantly expand its activities in Utah and North Dakota and to develop them in the medium term to a similar size as the production in Colorado.

The increase in the present value of the reserves compared to the previous year is mainly due to lower operating costs at Cub Creek, as we realized them in the last 12 months.

The calculation of revenues and cashflow is based on the NYMEX forward curve as of 31 December 2019 with an average oil price of USD 53.11 per barrel (previous year: USD 51.44 per barrel).

A detailed list of reserves will be available shortly on the website of Deutsche Rohstoff AG.

Mannheim, 28 February 2020

¹ Discounted Cash-Flow 10%

Deutsche Rohstoff identifies, develops and sells attractive raw material deposits in North America, Australia and Europe. The focus is on the development of oil and gas deposits in the USA. Metals such as gold, copper, rare earths, tungsten and tin complete the portfolio. Further information can be found at www.rohstoff.de

Contact
Deutsche Rohstoff AG
Dr. Thomas Gutschlag, CEO
Phone +49 621 490 817 0
[email protected]