Tengasco and Riley Exploration-Permian announce merger agreement

Tengasco and Riley Exploration - Permian have entered into a definitive merger agreement in an all-stock transaction. Tengasco will issue approximately 203 million shares of Tengasco common stock to Riley members at the closing of the transaction. Following the closing of the transaction, members of Riley will own 95% of Tengasco and current Tengasco stockholders will own the remaining 5%. In addition, Riley will become a wholly owned subsidiary of Tengasco. Riley is a private equity backed company focused on developing conventional oil and natural gas properties in the Northwest Shelf of the Permian Basin. Riley's estimated total proved, probable and possible reserves at September 30, 2019 were approximately 54,803, 60,580 and 8,926 MBoe, respectively. Nine months ended June 30 average daily production of 7,073 Net Boe/d - 81% oil, 10% Natural Gas and 9% NGLs, 44,880 net acres as of June 30. At the consummation of the merger, Tengasco will change its name to Riley Exploration Permian; Tengasco's common stock will continue to trade on the NYSE American, but under a new symbol, expected to be "REPX"; current management of Riley will become the management of Tengasco with Bobby Riley serving as CEO and Kevin Riley as President; Michael Rugen, the interim CEO and the CFO of Tengasco will continue as CFO of Tengasco. The companies anticipate reverse stock split in a range from 8-to-1 to 12-to-1 will be completed following closing.