Magnolia Petroleum Plc / Index: AIM / Epic: MAGP / Sector: Oil & Gas 20 May 2014 Magnolia Petroleum Plc (Magnolia or the Company) Increase in Credit Facility Magnolia Petroleum Plc, the AIM quoted US onshore focused oil and gas exploration and production company, is pleased to announce the borrowing base limit of its Credit Facility has been increased to US$2.75 million from US$2.1 million.

This follows the recent increase in the value of the Companys net attributable proved and developed producing reserves (PDP) to US$8.416 million.

The Credit Facility, along with revenues generated from production, funds Magnolias drilling activity to prove up the reserves on its leases in proven US onshore formations, such as the Bakken/Three Forks Sanish, North Dakota and the Woodford/Mississippi Lime, Oklahoma. As announced on 22 October 2013, the Company agreed a three year revolving line of credit with a nominal value of US$5 million and interest charged on credit drawn down at Wall Street Journal Prime +1.00%.

An initial borrowing base limit of US$1.6 million was set which, under the terms of the Credit Facility, is reassessed on a six monthly basis and adjusted in line with the level of Magnolias PDP reserves. Rita Whittington, COO of Magnolia, said, "This is the second increase in the borrowing base limit since we secured the Credit Facility in October 2013.

The first was based on the strong trading performance as detailed in the recent full year results which included a 244% jump in revenues to US$2,443,244 and EBITDA of US$975,622; while todays increase is based on the progress made in growing our PDP reserves.

With US$2.75 million available from the Credit Facility and revenues growing strongly, we are well placed to prove up the reserves on our leases, and in the process generate value for shareholders." ** ENDS ** For further information on Magnolia Petroleum Plc visit www.magnoliapetroleum.com or contact the following: Steven Snead Magnolia Petroleum Plc +01 918 449 8750 Rita Whittington Magnolia Petroleum Plc +01 918 449 8750 Jo Turner / James Caithie Cairn Financial Advisers LLP +44 20 7148 7900 John Howes / Alice Lane / Luke Cairns Northland Capital Partners Limited +44 207 382 1100 Lottie Brocklehurst St Brides Media and Finance Ltd +44 20 7236 1177 Frank Buhagiar St Brides Media and Finance Ltd +44 20 7236 1177
Notes Magnolia Petroleum Plc is an AIM quoted, US focused, oil and gas exploration and production company.

Its portfolio includes interests in 142 producing and non-producing assets, primarily located in the highly productive Bakken/Three Forks Sanish hydrocarbon formations in North Dakota as well as the oil rich Mississippi Lime and the substantial and proven Woodford and Hunton formations in Oklahoma. Summary of Wells Category Number of wells Producing 154 Being Drilled / Completed 17 Elected to participate / waiting to spud 48 TOTAL 219
[cid:image002.png@01CECBDD.61F8A860] Frank Buhagiar St Brides Media & Finance Ltd 3 St Michaels Alley, London, EC3V 9DS www.stbridesmedia.co.uk Tel: 0207 236 1177 | Mob: 07788410221 | Twitter: @StBrides1