SDX Energy : Spud of ONZ-7 well, Morocco

THE INFORMATION CONTAINED WITHIN THIS ANNOUNCEMENT IS DEEMED BY SDX TO CONSTITUTE INSIDE INFORMATION AS STIPULATED UNDER THE MARKET ABUSE REGULATION (EU) NO. 596/2014 ("MAR"). ON THE PUBLICATION OF THIS ANNOUNCEMENT VIA A REGULATORY INFORMATION SERVICE ("RIS"), THIS INSIDE INFORMATION IS NOW CONSIDERED TO BE IN THE PUBLIC DOMAIN.

15 January 2018

SDX ENERGY INC.

("SDX" or the "Company")

Spud of ONZ-7 well, Morocco

SDX Energy Inc. (TSXV, AIM: SDX), the North Africa focused oil and gas company, has spud its ONZ-7 development well on the Sebou permit in Morocco.

The ONZ-7 well is the fifth well in the Company's nine well campaign. The well is anticipated to take 10-15 days to drill and if successful is expected to be completed, flow tested and connected to existing infrastructure.

About SDX

SDX is an international oil and gas exploration, production and development company, headquartered in London, England, UK, with a principal focus on North Africa. In Egypt, SDX has a working interest in two producing assets (50% North West Gemsa & 50% Meseda) located onshore in the Eastern Desert, adjacent to the Gulf of Suez. In Morocco, SDX has a 75% working interest in the Sebou concession situated in the Rharb Basin. These producing assets are characterised by exceptionally low operating costs making them particularly resilient in a low oil price environment. SDX's portfolio also includes high impact exploration opportunit ies in both Egypt and Morocco.

For further information, please see the website of the Company atwww.sdxenergy.com or the Company's filed documents atwww.sedar.com.

For further information:

SDX Energy Inc.

Paul Welch	Mark Reid
President and Chief Executive Officer	Chief Financial Officer
Tel: [phone]	Tel: [phone]

Stifel Nicolaus Europe Limited (Nominated Adviser and Joint Broker)

Callum Stewart

Nicholas Rhodes Ashton Clanfield

Tel: [phone]

Cantor Fitzgerald Europe (Joint Broker)

Sarah Wharry

Tel: [phone]

GMP FirstEnergy (Joint Broker)

Jonathan Wright/David van Erp Tel: [phone]

Celicourt (PR)

Mark Antelme/Jimmy Lea/Ollie Mills Tel: [phone]

Neither the TSX Venture Exchange nor its Regulation Services Provider (as such term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward‐Looking Information

Certain statements contained in this press release may constitute "forward ‐looking information" as such term is used in applicable Canadian securities laws. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or are not statements of historical fact should be viewed as forward-looking information. In particular, statements regarding the timing of drilling of the ONZ-7 well and the Company's plans to complete, flow test and connect the ONZ-7 well to existing infrastructure should all be regarded as forward-looking information.

The forward-looking information contained in this document is based on certain assumptions and although management considers these assumptions to be reasonable based on information currently available to them, undue reliance should not be placed on the forward-looking information because SDX can give no assurances that they may prove to be correct. This includes, but is not limited to, assumptions related to, among other things, commodity prices and interest and foreign exchange rates; planned synergies, capital efficiencies and cost‐savings; applicable tax laws; future production rates; the sufficiency of budgeted capital expenditures in carrying out planned activities; and the availability and cost of labor and services.

All timing given in this announcement, unless stated otherwise is indicative and while the Company endeavors to provide accurate timing to the market, it cautions that due to the nature of its operations and reliance on third parties this is subject to change often at little or no notice. If there is a delay or change to any of the timings indicated in this announcement, the Company shall update the market without delay.

Forward-looking information is subject to certain risks and uncertainties (both general and specific) that could cause actual events or outcomes to differ materially from those anticipated or implied by such forward‐looking statements. Such risks and other factors include, but are not limited to political, social and other risks inherent in daily operations for the Company, risks associated with the industries in which the Company operates, such as: operational risks; delays or changes in plans with respect to growth projects or capital expenditures; costs and expenses; health, safety and environmental risks; commodity price, interest rate and exchange rate fluctuations; environmental risks; competition; ability to access sufficient capital from internal and external sources; and changes in legislation, including but not limited to tax laws andenvironmental regulations. Readers are cautioned that the foregoing list of risk factors is not exhaustive and are advised to reference SDX's Management's Discussion & Analysis for the three and nine months ended September 30, 2017, which can be found on SDX's SEDAR profile atwww.sedar.com,for a description of additional risks and uncertainties associated with SDX's business, including its exploration activities.

The forward‐looking information contained in this press release is as of the date hereof and SDX does not undertake any obligation to update publicly or to revise any of the included forward‐looking information, except as required by applicable law. The forward‐looking information contained herein is expressly qualified by this cautionary statement.