Panoro Energy ASA

Regulatory Filings • Jun 8, 2015

Panoro Energy Announces Rig Contract for the Aje Field in Nigeria

Panoro Energy Announces Rig Contract for the Aje Field in Nigeria

Monday, June 8, 2015 - Panoro Energy ASA (OSE ticker code "PEN" or the

"Company"), an independent oil and gas E&P company focused on West Africa,

provides the following operations update. The operator of the OML113 license

has, on behalf of the joint venture partners, entered into a rig contract with

Saipem for the Scarabeo 3 drilling rig to carry out the drilling and completion

programme for the Aje Field Cenomanian oil development.

Aje is an offshore field located in the western part of Nigeria in the Dahomey

Basin at the border with Benin, with first oil targeted for December 2015. The

field is situated in water depths ranging from 100 to 1,000 meters about 24 km

from the coast. Panoro Energy holds a 6.502% participating interest in OML113

(with a 12.1913% revenue interest and 16.255% paying interest in the Aje Field).

The Aje Field contains hydrocarbon resources in sandstone reservoirs in three

main levels - a Turonian gas condensate reservoir, a Cenomanian oil reservoir

and an Albian gas condensate reservoir.

The Scarabeo 3 rig is a semi-submersible rig currently stationed offshore Lagos.

The rig will be moved 18 nautical miles to the Aje drilling location and will be

used to carry out well operations for the first phase of the Aje Cenomanian Oil

field development that includes two subsea production wells. The well operations

will comprise the completion of the existing Aje-4 well as a production well,

and the drilling and completion of a new well, Aje-5, which will be drilled to

the Aje-2 subsurface location. The Aje-2 well demonstrated high reservoir

productivity in a Cenomanian production test conducted in 1997, flowing

approximately 3,700 bopd of 41?API oil under suboptimal well conditions. Well

operations are expected to commence in early Q3-2015 and are likely to take

approximately 90 days to complete. Once well operations have been completed,

subsea equipment will be installed and the wells will be tied back to the Front

Puffin FPSO, currently undergoing refurbishment in Singapore.

John Hamilton, Panoro Energy CEO, commented, "Panoro is very pleased to be

entering into the rig contract for the drilling and completion of the Aje

development wells. We have been able to achieve a lower rig rate than was

expected when the Final Investment Decision was made in October 2014. With well

operations expected to commence in the next few weeks, we will continue moving

towards our incremental growth strategy of converting Panoro's discovered

resource base into commercial production and generating positive cash flow in

2016."

Future phases of the project will likely target additional Cenomanian wells, and

a later Turonian/Albian gas condensate project is currently considered as a

separate development in the future.

For further information, please contact:

Nishant Dighe, President and Chief Operating Officer

Cell: +44 7747 807439

Email: nishant.dighe@panoroenergy.com

John Hamilton, Chief Executive Officer

Cell: +44 7515 588716

Email: john.hamilton@panoroenergy.com

About Panoro

Panoro Energy ASA is an independent oil and gas E&P company based in London and

listed on the Oslo Stock Exchange with ticker PEN. The Company holds high

quality exploration and development assets in West Africa, namely the Dussafu

License offshore southern Gabon, and OML 113 offshore western Nigeria. Both

assets have discoveries with approved Field Development Plans. In addition to

discovered hydrocarbon resources and reserves, both assets also hold significant

exploration potential. For more information visit the Company's website at

www.panoroenergy.com.