Africa Oil Operations Update and Conference Call - Seite 2

The PR Marriott 46 rig recently spud the Amosing-4 well located approximately 1 kilometre southeast of Amosing-1, to test the southern extent of the field. Mapping of the Amosing field does not close the structure to the south and there is potential for the field to spill up-dip into the Ekosowan prospect area, where the Ekosowan-1 well was drilled last year encountering a 900 metre column of near continuous oil shows in tight alluvial fan facies. Amosing-4 has the potential to de-risk further drilling of the Ekosowan prospect. Results from Amosing-4 are expected to be released in April.

Planning is also underway to conduct an EWT of the Ngamia field. Following completion of the Amosing-4 well the rig will mobilize back to the Ngamia field to drill and complete the Ngamia-8 well, located in the centre of the eastern fault block between the Ngamia-3, 5, 6 and 7 wells, and will be the main production well for the EWT. Additionally, two of the existing suspended Ngamia wells will be completed as EWT wells. Initial flow testing of the Ngamia EWT wells is expected to commence around mid-year.

The Weatherford 804 rig is currently drilling the Ekales-2 appraisal well to test an eastern fault block on the structure at the Auwerwer horizon and also test a deeper high amplitude seismic objective within the Lokhone shale source rock that has tested oil elsewhere in the basin. The well is currently at a depth of 2,817 metres and has drilled through the primary Auwerwer objective and encountered 50 to 70 metres of potential net oil pay, proving an eastern extension of the field not previously included in the contingent resource estimate. The well is currently being deepened a further 1,000 metres to test a high-amplitude seismic event. Final results from the Ekales-2 well should be available around the end of March. Following completion of this well, the Weatherford 804 rig will be released.

The full fast track processed data set for the 951 square kilometre 3D seismic survey over the series of significant discoveries along the western basin bounding fault in the South Lokichar Basin is now available and is being interpreted. The 3D seismic indicates significantly improved structural and stratigraphic definition and additional prospectivity not evident on the 2D seismic. The large Amosing North prospect located on the northern flank of Amosing and updip of the Ngamia field has been identified from the 3D seismic and is being assessed as a potential 2015 drilling candidate. The 3D seismic mapping over the Etom area now shows that the Etom-1 discovery well was drilled in a graben between two large prospects, one located to the south of the well and one to the north and technical work is being progressed so that these prospects are drill ready. In addition, the 3D seismic also reinforces the potential of the intra-Lokhone shale amplitude prospectivity that is currently being tested at Ekales-2.