PetroNor E&P ASA

Legal Proceedings Report • Aug 4, 2016

SL-03 LICENCE RATIFICATION AND LICENCE UPDATE

SL-03 LICENCE RATIFICATION AND LICENCE UPDATE

African Petroleum Corporation Limited ("African

Petroleum" or the "Company"), an independent oil and

gas exploration company with interests in ten licences

in five countries offshore West Africa, is pleased to

announce that further to the announcement on 2

December 2015, the Company's wholly owned subsidiary

European Hydrocarbons Limited's ("EHL") has received

formal ratification from the authorities in Sierra

Leone for the entry into the First Extension Period on

the SL-03 licence. As previously announced, the

Petroleum Directorate agreed to modify the work

programme, minimum expenditure requirements and social

obligations in favour of EHL during the First

Extension Period on the licence.

African Petroleum is actively engaged in discussions

with a number of governments regarding possible

licence extensions and amendments to existing and

future work obligations. Concurrently, the Company

remains in negotiations with potential farm-in

partners for certain licences across our portfolio.

African Petroleum maintains strong relationships with

host governments based upon recognition of the

Company's efforts to progress the exploration of these

licences. Based on the supportive dialogue we have

had to date with the governments of Senegal, The

Gambia, Côte d'Ivoire, Liberia and Sierra Leone, we

are confident that we will achieve outcomes that are

mutually beneficial for our host countries, potential

industry partners and African Petroleum. The

transaction completed with Ophir Energy on block CI-

513 in Côte d'Ivoire (announced 10 March 2016)

demonstrates that such agreements are capable of being

successfully negotiated notwithstanding the

challenging prevailing conditions in the industry.

The Company will provide updates on these discussions

as they progress.

Commenting on the update, CEO Jens Pace said: "We are

pleased to have received the formal ratification for

SL-03 licence. The amendment to the work programme of

the First Extension Period highlights the pragmatism

of the authorities in Sierra Leone who recognise our

substantial historic investment and the positive

interpretation of the exploration potential of the

area we have developed, as well as the challenges

faced by the industry in the current environment. We

are confident that we will be able to replicate this

process and are encouraged by the dialogue we are

having with our host governments and potential

industry partners."

For further information, please contact:

Jens Pace, Chief Executive Officer

Stephen West, Chief Financial Officer

Tel: +44 20 3655 7810

Angeline Hicks, Company Secretary

Tel: + 61 401 489 883

Media Contacts:

For UK and International media - Buchanan

Ben Romney/Chris Judd

Tel: +44 207 466 5000

For Norwegian media - First House

Geir Arne Drangeid

Tel: +47 913 10 458

About African Petroleum

African Petroleum is an independent oil and gas

exploration company with an equity interest in ten

licences in five countries offshore West Africa. The

Company's assets are located in proven hydrocarbon

basins in the West African Transform Margin and the

Atlantic Margin, where several discoveries have been

made in recent years. With a combined net acreage

position of 27,797km2 through its licences in Côte

d'Ivoire, Liberia, Senegal, Sierra Leone and The

Gambia, the Company has matured its portfolio through

the acquisition of more than 18,500km2 of 3D seismic

data and successfully drilling three deep-water wells,

one of which was the first hydrocarbons discovery in

the offshore Liberian - Sierra Leone Basin. The

Company is working with its partner Ophir Energy

(operator) on the CI-513 licence in Côte d'Ivoire to

drill an exploration well in H2 2017.

For more information about African Petroleum, please

see www.africanpetroleum.com.au