Permex Petroleum Announces the Closing of Previously Announced Strategic Divestiture

Vancouver, British Columbia--(Newsfile Corp. - December 22, 2020) - Permex Petroleum Corporation (CSE: OIL) (OTCQB: OILCF) ("Permex" or the "Corporation") is pleased to announce the closing of the previously announced Central Basin asset disposition.

As disclosed in the Corporation's December 10, 2020 news release, Permex entered into a purchase and sale agreement for sale of its Central Basin property. The purchasers conducted their customary due diligence and successfully closed on the transaction. Permex will utilize the funds to strengthen its balance sheet, pay down its accounts payable while bringing its remaining properties back online since oil prices have shown stability.

Mehran Ehsan , Permex's President and CEO commented, "This disposition clearly benefits our company by allowing us to service our accounts payable, provide working capital, strengthen our balance sheet and bring our fields back online. Furthermore this will give us the opportunity to purchase additional properties in the Permian Basin during a low price market environment."

CAUTIONARY DISCLAIMER STATEMENT:

Neither Canadian Securities Exchange, OTCMarkets nor their Regulation Services Providers (as that term is defined in their respective policies) accept responsibility for the adequacy or accuracy of this release.

Forward-Looking Statements

Information set forth in this news release may involve forward-looking statements under applicable securities laws. The forward-looking statements contained herein are expressly qualified in their entirety by this cautionary statement. The forward-looking statements included in this document are made as of the date of this document and the Corporation disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by applicable securities legislation. Although Management believes that the expectations represented in such forward-looking statements are reasonable, there can be no assurance that such expectations will prove to be correct. This news release does not constitute an offer to sell or solicitation of an offer to buy any of the securities described herein and accordingly undue reliance should not be put on such. Neither CSE, OTC Markets nor their Regulation Services Providers (as that term is defined in the policies of either exchange) accepts responsibility for the adequacy or accuracy of this release.

Mehran Ehsan
President, Chief Executive Officer & Director
(604) 259-2525

Scott Kelly
CFO, Corporate Secretary & Director
(604) 259-2525
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To view the source version of this press release, please visit https://www.newsfilecorp.com/release/70820

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