Pampa Energia : Sale of Oil Assets

Release

Sale of Oil Assets from Exploration & Production Segment

Buenos Aires, January 16, 2018. Pampa Energía S.A. ('Pampa' or the 'Company'; NYSE: PAM; BCBA: PAMP) announces that today, Pampa executed with Vista Oil & Gas S.A.B. de C.V. ('Vista') an agreement to sell its direct ownership of 58.88% at Petrolera Entre Lomas S.A. ('Pelsa'), 3.85% at Entre Lomas, Bajada del Palo and Agua Amarga blocks, and 100% at Medanito S.E. and Jagüel de los Machos blocks.

The sale price is US$360 million, subject to standard adjustments for this type of transactions and the closing is subject to compliance of certain precedent conditions, including the approval of

Vista's shareholders meeting.

This transaction is in line with the Company's strategy to focus its investments and human resources on the expansion of power generation installed capacity, on the exploration and production of natural gas, placing a special focus on the development and exploitation of our unconventional gas reserves (shale and tight gas), as well as to continue investing for the development of our utility concessions.

Finally, given this sale transaction in addition to the refining and marketing assets' announced by the Company on December 7, 2017, we would like to highlight that the resulting cash inflow allows the Company to face the defined strategic investments. Therefore, given the current conditions, the Company considers that it is unnecessary to issue a bond convertible into common shares, which terms and conditions were approved by the Company's Board of Directors on June 26, 2017.

For further information, contact:

Gustavo Mariani - Vice-president Ricardo Torres - Vice-president

Mariano Batistella - Planning, Strategy and Affiliates Executive Director Lida Wang - Investor Relations Officer

Maipú 1, (C1084ABA), Buenos Aires, Argentina Phone: +54 (11) 4344 6000http://www.pampaenergia.com/irinvestor@pampaenergia.com