Arias, Fábrega & Fábrega acted as counsel to Banc of America Securities LLC, as global coordinators, in Pacific Rubiales Energy Corp.'s offering of US$450 million in notes at a rate of 8.75%. The Senior Unsecured Notes due 2016 were issued at a price of 99.09% of the principal amount, for aggregate net proceeds to the company of approximately US$442 million. The net proceeds from the sale of the notes will be used by the company to (i) repay US$250 million, equal to the entire principal outstanding, plus accrued interest, under its RBL Facility held with BNP Paribas, Calyon, Banco Davivienda S.A., Banco Davivienda, Banco De Bogota, Bancolombia, Banco De Occidente and WestLB AG, and (ii) for general corporate purposes. The Notes have been assigned ratings of BB- (Stable Outlook) by Fitch Ratings and B+ (Positive Outlook) by Standard & Poor's Corporation.

The Notes were placed through a syndicate of underwriters, led by Banc of America Securities LLC, as global coordinators, and, together with Citigroup Global Markets Inc, as joint book-running managers, and included GMP Securities L.P., RBC Capital Markets Corporation and BNP Paribas Securities Corp., as co-managers. The notes were placed with Qualified Institutional Buyers in the United States pursuant to the registration exemptions provided by Rule 144A of the Securities Act of 1933, and on a private placement basis in certain provinces of Canada, as well as internationally as permitted by applicable securities laws in such jurisdictions.

The notes are direct, unsecured senior obligations of Pacific Rubiales and rank equal in right of payment with all of its existing and future senior unsecured debt. The company will redeem a portion of the principal of the notes in each of 2014, 2015 and 2016 (November 10, 2014 (33.33%); November 10, 2015 (33.33%); and November 10, 2016 (33.34%)). The company may, at its option at any time, redeem the notes, in whole but not in part, at the greater of (i) 100% of their principal amount plus accrued interest and additional amounts, if any, and (ii) the sum of the present values of the remaining scheduled payments of principal and interest and additional amounts, if any, on the notes, discounted to the date of redemption at the applicable treasury rate plus 75 basis points.

Pacific Rubiales has applied to the Luxembourg Stock Exchange to admit the notes for listing on the Official List of the Luxembourg Stock Exchange and to trade the notes on its Euro MTF market.

The securities have not been and will not be registered under the United States Securities Act of 1933, as amended, or any state securities laws, and may not be offered or sold in the United States or to, or for the account or benefit of, U.S. persons absent registration or an applicable exemption from registration requirements. This news release does not constitute an offer to sell or a solicitation of an offer to sell any of the securities.