Caspian Sunrise PLC

("Caspian Sunrise", the "Company" or the "Group")

Operational Update and Dividend Declaration

The Board of Caspian Sunrise are pleased to update the market on operations, the creation of a new oil trading division and the declaration of the Company's maiden dividend.

Operations

BNG

Deep Wells

The Company remains encouraged by the strong oil shows from Deep Well 802. Following an extensive cementing exercise we are now preparing to drill a side-track from a depth of 2,416 meters to a depth of 3,900 meters to target the first interval of interest from which the oil encountered to date has flowed. If successful and based on current timings we expect to test the well before the end of the year.

Once the rig in use at Deep Well 802 becomes available it will be used at Deep Well A5 to seek to remove the remaining stuck pipe and then to drill a side-track from a depth of 3,970 meters targeting the oil-bearing interval at a depth of 4,335 which previously produced at the rate of in excess of 1,000 barrels of oil per day (' bopd')..

Work is also planned to resume drilling at Deep Well A7 from a depth of 2,175 meters as rigs and crews become available.

Work using horizontal drilling which has proved successful at several of the MJF shallow wells is planned for the New Year at existing Deep Wells A6 and 801 at a depth of approximately 4,400 meters.

At Deep Well A8 the intention is that the well be plugged and abandoned.

Shallow wells

Work to bring wells 141 and 142 back into production is expected to resume in Q1 2023.

A new shallow well, Well 155, is expected to spud before the end of the year with a planned Total depth of 2,500 meters, once again use a horizontal drilling approach.

Work is also planned in H1 2023 to drill the first shallow well at the South Yelemes structure since it was awarded a full production licence.

Production

Production continues at the rate of approximately 2,400 bopd.

As wells 141 and 142 come back into production the near-term production expectations are that production volumes return to levels seen earlier in the year.

Prices

The $25-30 per barrel discount for oil sent through Russian pipelines together with taxes still set at the full Brent price makes selling oil to the international market less attractive than selling domestically and to direct to local refineries, where the net price achieved is approximately $35 per barrel. Consequently, all output is currently being sold domestically.

Oil trading

The Group has also formed a wholly owned oil trading subsidiary to take advantage of changes in the regulations, which become effective from 1 January 2023, and which for the first time will allow the Group to sell its own production direct to international and domestic buyers. This is expected to increase the net price received by between $5 and $10 per barrel.

Dividends

The Board is pleased to announce the declaration of the Company's first dividend.

It has been long held objective that the Group commences regular dividend payments.  This

initial dividend will total $1.13 million (£1 million) and will be paid as follows:

Dividend:                      0.0444 pence/share

Ex-Dividend Date:       17 November 2022

Record Date:                18 November 2022

Payment Date:             16 December 2022

The size of the first dividend is indicative of the levels to be expected in the future. The Board intends that the future dividends will be paid on a monthly basis, based on the higher of £1 million per month or a pay-out ratio of broadly 35-40% of free cashflows.

Qualified person

Mr. Assylbek Umbetov, a member Association of Petroleum Engineers, has reviewed and approved the technical disclosures in this announcement.

Contacts

Caspian Sunrise PLC

Clive Carver

Executive Chairman                                                                                        +7 727 375 0202

WH Ireland, Nominated Adviser & Broker

James Joyce                                                                                                       +44 (0) 207 220 1666

James Bavister

Andrew de Andrade

This announcement has been posted to: www.caspiansunrise.com/investors

This announcement contains inside information for the purposes of Article 7 of the UK version of Regulation (EU) No 596/2014 which is part of UK law by virtue of the European Union (Withdrawal) Act 2018, as amended ("MAR"). Upon the publication of this announcement via a Regulatory Information Service, this inside information is now considered to be in the public domain.