Petrominerales has entered into an agreement with Fortress Energy Inc. whereby Petrominerales has acquired a 75 percent interest in Alvopetro S.A. Extração de Petroleo e Gás Natural, a qualified Class C Brazilian operating entity that owns the licenses for three marginal fields and seven exploration contracts covering over 40,000 acres in the Recôncavo Basin, onshore Brazil (the "Brazilian assets").

The benefits of the acquisition of the Brazilian assets include:

• 10 blocks covering over 40,000 acres; • Large, unconventional resource with, undiscovered petroleum initially-in-place ("UPIIP") of over 1 billion barrels; • Over 100 potential development locations; • 60 barrels of oil equivalent per day and associated proved plus probable reserves of over 400,000 barrels; • Attractive fiscal regime; • Close proximity to existing infrastructure; and • Complementary to our existing high impact exploration portfolio.

Petrominerales has acquired a 75 percent working interest in the Brazilian assets noted below for total consideration of US$36.9 million.

Tags: Petrominerales Ltd.