Renaissance Oil Provides Additional Information On Awarded Blocks

January 5, 2016 – Vancouver, BC – Renaissance Oil Corp. (the “Company” or “Renaissance”) (TSX-V: ROE) is pleased to provide additional information on the three petroleum blocks awarded to the Company on December 17, 2015 in Call 3 of Round 1 Mature Field Auction in Mexico.

The three blocks, Mundo Nuevo, Topén and Malva, were the Company’s top three choices in the auction and are in close proximity to each other in the State of Chiapas, which will allow operational efficiencies. The blocks collectively comprise 74.2 km2 (18,335 acres) and currently have gross production of approximately 650 barrels of medium to light oil and natural gas liquids per day. Renaissance believes that untested upside exists on all three properties to allow significant increases to future production levels.

Renaissance won the blocks by very small differentials of less than 2.5% above each of the second place bid values in a well-attended auction process that saw over 40 companies vying to be the first onshore operators in Mexico’s historic privatization of the energy sector. In total, all 25 blocks for auction were awarded. Additional information on the auction results and awarded blocks can be found here.

According to Comisión Nacional de Hidrocarburos (“CNH”) of Mexico with information provided publically for the Mature Field Auction, these three blocks collectively contained original volumes in place of approximately 140 million barrels of oil and natural gas liquids and have collectively produced approximately 46 million barrels of oil and natural gas liquids, as at January 1, 2015. The volume estimates publically disclosed by CNH were not prepared by a qualified reserves evaluator in accordance with the Canadian Oil and Gas Evaluation Handbook (“COGEH”) or National Instrument 51-101 Standards of Disclosure for Oil and Gas Activities (“NI 51-101”). Renaissance will have a third party evaluation conducted on each block this year by a qualified reserves evaluator and will provide the results publically when available.

The acquisitions are expected to be finalized in the second quarter of 2016 at which time Renaissance will post a performance bond of approximately USD$16 million entitling the Company to three (3) license contracts with terms of 25 years each and the potential for two 5 year extensions per license area.  As a component of the winning bids, Renaissance committed to certain minimum work programs for each block designed to enhance current field production which can include the drilling of new wells, workovers of existing wells, acquisition and interpretation of seismic data and other analyses. The initial appraisal stage is expected to last up to two years and estimated costs of the minimum work programs over the three (3) licenses are expected to be within the USD$16 million required bond.

The Company currently has over USD$26 million in cash and restricted cash, therefore has sufficient financial resources to satisfy the required performance bonds and to fund the expenditures of the work program for each block.

“We are in an advantageous position with the ability to complete the minimum work programs for the blocks awarded to Renaissance, having the financial resources and ample time to meet the required commitments,” stated Craig Steinke, Chief Executive Officer of Renaissance. “Upon finalizing the license contracts, Renaissance will be one of the first independent producers and operators in Mexico’s historical energy privatization. Our bidding success is already providing greater access to additional material business development opportunities.”

Mundo Nuevo
The Mundo Nuevo block is located 70 km southwest of the city of Villahermosa, Tabasco with an areal extent of 27.7 km2 (6,845 acres). The Mundo Nuevo field, a middle Cretaceous fractured carbonate reservoir, was discovered in 1977. This field was developed by PEMEX through the drilling of 14 wells, reaching a peak production of over 15,000 barrels per day (bbls/day) of natural gas liquids, in the early 1980’s. This field is currently producing approximately 130 bbls/day of natural gas liquids, with an average reservoir depth of 3,580 meters. With the advantage of 3D seismic data, acquired since the original wells were drilled, Renaissance has identified numerous potential new development well locations. In order to satisfy the minimum work commitment for Mundo Nuevo, the Company is required to drill one development well. Renaissance was awarded the Mundo Nuevo block with an additional royalty amount of 80.69%. According to information publicly released by CNH during the auction process and as of yet unconfirmed by the Company’s own qualified reserves evaluators in accordance to COGEH and NI 51-101, the Mundo Nuevo field was estimated to have contained original volumes in place of 86 million bbls of natural gas liquids and has had cumulative production of 35 million bbls of natural gas liquids, as at January 1, 2015. Renaissance sees significant opportunity for additional value creation in new well locations as well as application of innovative re-completion technologies.

Topén
The Topén block is located 80 km southwest of the city of Villahermosa, Tabasco with an areal extent of 25.3 km2 (6,251 acres). The Topén field, an upper Cretaceous fractured carbonate reservoir, was discovered in 1978. This field was developed by PEMEX through the drilling of 5 wells, reaching a peak production of over 1,500 barrels bbls/day of medium crude oil, in the mid 1980’s. This field is currently producing approximately 280 bbls/day of oil, with an average reservoir depth of 3,300 meters. The Topén field is delineated with 3D seismic data acquired since the original wells were drilled. Renaissance has identified numerous new development well locations and potential for significant field extensions as well as a previously untested area which is supported by seismic amplitude analysis. In order to satisfy the minimum work commitment for Topén, the Company is required to drill one development well. Renaissance was awarded the Topén block with an additional royalty amount of 78.79%. According to information publicly released by CNH during the auction process and as of yet unconfirmed by the Company’s own qualified reserves evaluators in accordance to COGEH and NI 51-101, the Topén block was estimated to have contained original volumes in place of 40 million bbls of oil and has had cumulative production of 8 million bbls of oil, as at January 1, 2015. Renaissance sees significant opportunity for additional value creation in new well locations as well as application of innovative re-completion technologies.

Malva
The Malva block is located 95 km southwest of the city of Villahermosa, Tabasco with an areal extent of 21.2 km2 (5,239 acres) The Malva field, an upper Cretaceous limestone reservoir, was discovered in 2003. This field was developed by PEMEX through the drilling of 4 wells, reaching a peak production of over 2,000 barrels bbls/day of light crude oil, in the late 2000’s. This field is currently producing approximately 270 bbls/day of light oil, with an average reservoir depth of 2,680 meters. The Malva field is delineated with 3D seismic data. Renaissance used high tech seismic technology and advanced structural interpretation to identify a number of untested potential hydrocarbon amplitudes and new well locations and field optimization opportunities in the existing producing area. In order to satisfy the minimum work commitment for Malva, the Company is required to drill two wells. Renaissance was awarded the Malva block with an additional royalty amount of 57.39%. According to information publicly released by CNH during the auction process and as of yet unconfirmed by the Company’s own qualified reserves evaluators in accordance to COGEH and NI 51-101, the Malva block was estimated to have contained original volumes in place of 13 million bbls of oil and has had cumulative production of 3 million bbls of oil, as at January 1, 2015. Renaissance sees significant opportunity for additional value creation in new well locations as well as application of innovative re-completion technologies.

Focused in Mexico, Renaissance has, through this licensing round, firmly established a high quality entry position and is working to further develop a diversified portfolio of lower risk mature fields and unconventional exploration and development opportunities. Mexico’s Energy Reform, now solidly underway, provides Renaissance with unprecedented opportunity to become a major player in a world-class resource base.

RENAISSANCE OIL CORP.
Per:
Craig Steinke
Chief Executive Officer

For further information contact:

Craig Steinke, Chief Executive Officer
Tel: 604-536-3637

Kevin J. Smith, Vice President, Business Development
Tel: 403-200-9047