PetroEnergy posts strong 180% profit growth in 1H 2017

Publicly-listed energy company, PetroEnergy Resources Corporation (PERC)

reported a 180% increase in consolidated net income of US$6.55 MM in the first half of
2017 compared to US$2.34 MM in the same period last year. This translates to 401%
increase in net income attributable to the equity holders of the Parent Company
(PERC).

PERCs strong performance was largely driven by higher income contribution

from its renewable energy projects: 20MW Maibarara Geothermal Power Project in
Batangas, 36MW Nabas Wind Power Project in Aklan, and the 50MW DC Tarlac Solar
Power Project in Tarlac. Total electricity exported from the three plants rose to 174,810
MWh in the first half of 2017 compared with 152,898 MWh in same period last year.

Our renewable energy facilities are showing good results in terms of energy
yield and operational efficiencies. We are optimistic that if we are able to sustain this
performance, we will be on-track in achieving our full year targets, said PERCs
President Milagros V. Reyes. PERCs subsidiary, Maibarara Geothermal, Inc. (MGI), is
also expecting to start the commercial operations of its 12MW Maibarara-2 expansion
before the end of 2017. Earlier this month PERC disclosed that it obtained the
environmental clearance for its Puerto Princesa Solar Power Project (PPSP) which will
be the first utility-scale green power project in the whole of Palawan.

Slightly higher average crude oil prices also contributed to the profit increase,
with average price reaching US$50.38 per barrel for the first half of 2017 compared to
US$35.59 per barrel in the same period last year. PERCs petroleum asset in Gabon
West Africa produces ~16,000 barrels of oil per day (BOPD) from four (4) producing
fields.
 We continue to develop, under our PetroGreen Energy Corporation (PGEC)
holding unit, a pipeline of modest-sized renewable energy projects in high-demand or
poorly-served areas because we believe this is the fastest way to add much needed
power capacity for the country while ensuring shorter payback period for our
investments, adds PERC Vice President F.G. Delfin Jr. PERCs Maibarara-2
expansion is currently the only active geothermal facility being constructed in the
Philippines. PERC also supplies 8.4% of wind power and 7.1% of solar power
capacities in the entire country.