Pharos Energy has confirmed that it is participating in the process for the purchase of Shell's upstream portfolio in the Western Desert in Egypt as part of a consortium and is in the preliminary stages of its evaluation.

The company's Board remains committed to its strategy of delivering sustainable long-term growth, and its strategic ambition is to deliver value for all stakeholders through the responsible management of the company's current portfolio and the careful selection of growth opportunities. The Board evaluates M&A opportunities with reference to strict strategic, financial and operational criteria. Any transaction will be pursued only if the Board determines it to be in the best interest of stakeholders and will be subject to shareholder approval.

There can be no certainty that any proposal will be made to Shell or that any transaction will occur.??