Notice of Intent to Perform Operations Received from Hazel Project Option Holder

Torchlight Energy Resources, Inc. reported that Masterson Hazel Partners LP ("Masterson") has notified the Company of its intent to exercise its option to perform operations, at Masterson's sole cost and expense, on Torchlight's Hazel Project, as set out under the Option Agreement, dated August of 2020, between Torchlight, Masterson and the McCabe Petroleum Corporation. Masterson will conduct operations sufficient to satisfy Torchlight's continuous development obligations on the northern half of the Hazel Project, which will keep the leases current while flowback and cleanup continues on the Flying B Ranch #4H well.

"We are pleased that Masterson has notified us of its intent to continue pursuing efforts in the Hazel assets," stated John Brda, CEO of Torchlight Energy. "The next step from here would be for Masterson to determine if it will exercise its option to purchase the Hazel Project by March 31, 2021, in the event that certain senior secured notes are still in place, or by May 31, 2021, if such senior secured notes have been eliminated or satisfied."