PetroNor E&P ASA

Earnings Release • Apr 30, 2015

NSX - QUARTERLY ACTIVITIES REPORT AND CASHFLOW

NSX - QUARTERLY ACTIVITIES REPORT AND CASHFLOW

QUARTERLY DISCLOSURE DECLARATION

30 April 2015 - On behalf of the Board of African

Petroleum Corporation Limited (the "Company"), we

declare that the Board has reviewed the operations

of the Company and, in the opinion of each member

of the Board:

(a) all matters that require disclosure have

been disclosed by the Company in accordance with

Listing Rules of the NSX; and

(b) the market remains fully informed as to the

prospects and activities of the Company

HIGHLIGHTS

CORPORATE

- On 10 February 2015, African Petroleum announced

the completion of the private placement,

successfully raising NOK 95,106,200 (approximately

US$12.5 million)

- Approximately US$ 11.6 million cash at bank as at

31 March 2015, together with US$12m restricted cash

that will be released upon the achievement of

certain drilling milestones in Côte d'Ivoire

- On 16 March 2015, African Petroleum announced the

results of the General Meeting with all resolutions

being passed on a show of hands

- On 10 February 2015, African Petroleum announced

its intention to launch a subsequent repair

offering. On 17 March 2015, the application period

under the subsequent repair offering commenced and

closed on 1 April 2015 raising a total of NOK

4,061,516 (approximately US$505,000)

- On 18 March 2015, the Board of Directors of

African Petroleum, in accordance with the mandate

granted by the shareholders in the general meeting

held on 16 March 2015, issued 271,732,000 new

shares (the "New Shares") and 135,866,000 options

which were allocated in the Private Placement and,

subsequent to quarter end, on 16 April 2015

announced an additional 11,604,331 new shares and

5,802,150 options which have been allocated to

investors who participated in the repair offering

OPERATIONS

- During Q1 2015, independently assessed upgrades

were published on the Company's prospective

resources in its licences in Côte d'Ivoire,

Liberia, The Gambia and Senegal, and subsequent to

quarter end, an upgrade to Sierra Leone's

prospective resources was announced. The Company's

prospective oil resources have more than doubled in

the past 12 months, with the net unrisked mean

prospective oil resources now in excess of 12.5

billion barrels

- On 20 March 2015, African Petroleum announced

that further to the Company's announcement on 29

January 2015 regarding the extension of non-binding

term sheet with a private London based independent

oil and gas company to farm-in to the Company's

100% owned Liberian LB-08 licence that it had

agreed to a request from the third party for an

additional extension of the proposed completion date

Stuart Lake, CEO commented:

"The first quarter of the new financial year has

seen us raise over US$13 million through a private

placement and a subsequent repair offering. This is

no mean feat as we continue to witness further

volatility and uncertainty in world oil markets.

What has been most pleasing however is the

confidence placed in us by our existing and new

investors and I believe this is testament to our

asset potential and the team we have here at

African Petroleum.

During the quarter we have also seen material

increases to our independently assessed net

unrisked prospective oil resources across our

portfolio in Senegal, The Gambia, Liberia, Côte

d'Ivoire and most recently Sierra Leone. These

upgrades have come as a result of our ongoing

technical work and drilling preparations to date

and as evidenced by these updated assessments,

there is a huge opportunity to unlock material

value in the event of exploration success.

Our acreage offshore West Africa continues to

attract attention from potential farm-in partners

and as such we remain confident that we will close

a transaction during the course of the first half

2015. It is exciting to note that the Company's

immediate drill obligations for the coming two

years lie adjacent or close to the large oil

discoveries made by Cairn Energy and partners in

Senegal and Total and partners in Côte d'Ivoire.

The net proceeds from our latest fundraise

strengthens our position as we seek to conclude

these advanced discussions and create significant

value for our shareholders."

Company Background

African Petroleum, listed on the Oslo Axess (APCL)

and the National Stock Exchange of Australia (AOQ),

is an independent oil and gas exploration company

led by an experienced Board and management team,

with substantial experience in oil and gas

exploration, appraisal, development and

production. The Company is a significant net

acreage holder in West Africa with estimated net

unrisked mean prospective oil resources in excess

of 12.5 billion barrels.

African Petroleum operates 10 licences in five

countries offshore West Africa (Côte d'Ivoire,

Liberia, Senegal, The Gambia and Sierra Leone). The

Company's assets are located in proven hydrocarbon

basins, where several discoveries have been made in

recent years, including significant discoveries

during 2014 by Total in Côte d'Ivoire and Cairn

Energy in Senegal.

The Company continues to achieve key operational

milestones across its 10 licences, having rapidly

matured its exploration portfolio by acquiring more

than 18,500km2 of 3D seismic data and drilling

three exploration wells, one of which was an oil

discovery at Narina-1 in Liberia. African Petroleum

is the largest net acreage holder in the West

African Transform Margin, alongside industry majors

such as Anadarko Petroleum, Chevron Corporation,

ExxonMobil, Total, and Lukoil. The Company has net

unrisked mean prospective oil resources in excess

of 12.5 billion barrels (ERC Equipoise Competent

Persons Report April 2014 in conjunction with ERCE

Audit January 2015 and ERCE Letters March 2015).

OPERATIONS

Senegal Project: Rufisque Offshore Profond and

Senegal Offshore Sud Profond

Licence Overview

In Senegal, African Petroleum Senegal Limited holds

a 90% operated working interest in exploration

blocks Rufisque Offshore Profond ("ROP") and

Senegal Offshore Sud Profond ("SOSP") (together

the "Senegal Licences"). The National Oil Company

Petrosen, holds the remaining 10% equity. The

Company's Senegal Licences are located offshore

southern and central Senegal, with a net acreage of

14,216km2.

Licence Activity

As part of the initial licence entry, the Company

purchased 10,000km of 2D seismic data over its

Senegal Licences and compiled an extensive regional

database. In addition, in May 2012, the Company

completed a 3,600km2 3D seismic acquisition over

the SOSP licence block and interpretation is

ongoing. In the ROP block an existing seismic

dataset (2007 vintage) covering 1,800km2 was

purchased from Petrosen. This base dataset was

reprocessed with the final product delivered in Q4

2014 and interpretation is underway. 2D seismic

data was also reprocessed to enable better regional

well ties and geological understanding. Several

large Cretaceous turbidite fan 'leads' have already

been identified, these have been matured to

prospects as the reprocessed data has been

evaluated and included in the updated ERCE letter

released in March 2015.

On 13 March 2015, African Petroleum announced that

independent petroleum consultant ERC Equipoise had

prepared an updated assessment of prospective oil

resources attributable to the Company's Senegal

Licences. The assessment, estimates the net

unrisked mean prospective oil resources at

1,779MMStb.

Recent Updates

Interest in the margin continues to grow as

evidenced by Kosmos Energy's return to the region.

In September 2014, Kosmos Energy signed a farm-in

agreement to acquire a 60% interest in two licences

offshore Senegal in return for fully paying for the

acquisition of approximately 7,000km2 of 3D

seismic. Should Kosmos Energy enter into the next

phase of exploration, Kosmos Energy will be

committed to drill two wells up to a total value of

$240 million, and then drill a third well up to the

value of another $120 million.

Kosmos (60% Operator) with Chevron (30%) are

drilling the Tortue West prospect that straddles

the Mauritania/Senegal border at Tortue-1, though

the well is still being drilled, on 27 April 2015,

Kosmos announced that it has intersected 107 metres

(351 feet) of net hydrocarbons in the Cenomanian

(four zones) and far exceeds its pre-drill

expectations (2.1 billion barrels oil equivalent,

gross).

On 7 October 2014, Cairn Energy announced an

important oil discovery offshore Senegal. The FAN-1

exploration well recovered light oil from a series

of stacked Cretaceous sandstones, with APIs ranging

from 28 up to 41. The column was reported to be

500m, though the net pay of 29 metres was at

several discrete intervals. Cairn Energy believes

that the discovery "may have significant potential

as a standalone discovery".

Cairn Energy drilled a second well, SNE-1, offshore

Senegal in 1,100m of water and announced, on 10

November 2014, that they had made an additional

discovery. Initial analysis of the well, as

reported by Cairn Energy, showed 95m gross oil

bearing column with a gas cap and excellent

reservoir sands with net pay of 36 metres 32 API

oil and a P50 contingent resource of 330 MMbbls.

FAR Ltd, one of Cairn Energy's partners, issued

notice of discovery on both wells and

reported; "based on preliminary estimates, it

[SNE-1] is highly likely to be a commercial

discovery", a significant statement for both

African Petroleum and the country. IHS reported

SNE-1 as the largest published oil discovery in the

world during 2014. The SNE-1 discovery is less than

10km from African Petroleum's Gambian acreage where

similar prospects have been identified.

On 18 December 2014, the Company announced that its

subsidiary African Petroleum Senegal Limited

received confirmation from the President in the

form of a Presidential decree of entry into the

First Renewal Period on licence SOSP. Prior to

entering into the First Renewal Period, Petrosen

agreed to defer the existing well commitment of the

First Renewal Period of SOSP by 18 months to allow

for further technical work by the Company prior to

drilling. The forward programme provides an

opportunity to analyse the data fully, prior to

making a commitment to drill the exploration well

in the second sub period of the First Renewal

Period.

In January 2015, Cairn Energy announced its

intention to spud a series of exploration and

appraisal wells offshore Senegal during the year.

African Petroleum will monitor the results of this

programme closely. Each of these developments,

especially their proximity to the Company's

acreage, provides a very positive context to

African Petroleum's presence offshore Senegal (and

The Gambia - refer next section). The multi

billion barrel oil equivalent discovery announced

by Kosmos on 27 April 2015 further confirms the

presence of multiple mature source rocks along the

margin, the main pre drill risk has been

significantly mitigated. All three discoveries,

two by Cairn Energy and partner group in Senegal

and the Kosmos discovery on the Mauritanian/Senegal

border fit to the charge model in African

Petroleum. The farm-out process is ongoing with

heightened interest in this exciting part of

African Petroleum's portfolio.

The Gambia Project: Blocks A1 & A4

Licence Overview

African Petroleum holds a 100% operated working

interest in offshore licences A1 and A4. The

Company has completed a significant 3D seismic

survey with data covering 2,500km2 and has found a

number of analogue leads and prospects in its

acreage to that of the recent SNE-1 and FAN-1

discoveries made by Cairn Energy in Senegal.

On 13 March 2015, African Petroleum announced that

independent petroleum consultant ERC Equipoise

prepared an updated assessment of prospective oil

resources attributable to the Company's Gambian

Licences. The assessment, estimates the net

unrisked mean prospective oil resources at

3,079MMStb.

Licence Activity

On 27 November 2014, African Petroleum entered into

an agreement with The Government of the Republic of

The Gambia to reinstate the Company's Licence Block

A1 and Licence Block A4 (together the "Gambian

Licences") on a 100% interest basis, and settle all

prior issues concerning the Gambian Licences. The

reinstatement of the Gambian Licences is a

significant and positive step for the Company,

particularly following the recent oil discoveries

made by Cairn Energy in Senegal.

Upon reinstatement, African Petroleum agreed to a

revised initial exploration period that will expire

on 1 September 2016 in return for a commitment to

drill an exploration well on one of the Gambian

Licences and reprocess 3D seismic on Licence Block

A4 prior to 1 September 2016. Depth commitments

have also been modified for basinal and shelfal

wells.

Recent Updates

The Company has identified leads and prospects in

the Gambian Licences, many of which are on trend

with the discoveries made at FAN-1 (announced 7

October 2014) and SNE-1 (announced 10 November

2014) by the Cairn Energy operated group in Senegal.

African Petroleum is looking to farm-out both

Gambian Licences and has had significant interest

from international and large independent oil

companies. We expect this interest to culminate in

a farm-in in due course.

Liberian Project: Blocks LB-08 and LB-09

Licence Overview

African Petroleum, through European Hydrocarbons

Limited, is both operator and holder of a 100%

working interest in production sharing contracts LB-

08 and LB-09, which have a combined net acreage of

5,350km2. The Company has completed an extensive

work programme on its Liberian licences with

5,100km2 of 3D seismic acquired, three wells

successfully drilled, including the discovery at

Narina-1, and identified key prospects with net

unrisked mean prospective oil resources of

4,192MMStb (ERCE Audit January 2015 in conjunction

with ERCE Competent Persons Report).

Licence Activities

African Petroleum has completed the acquisition and

processing of 5,100km2 of 3D seismic data over both

licences. The interpretation of this data

identified numerous prospects and leads in the

Upper Cretaceous post rift section and also a

number of Cretaceous aged syn-rift opportunities.

African Petroleum has successfully executed an

initial exploration programme in LB-09, with three

wells drilled: Apalis-1, Narina-1 and Bee Eater-1.

In September 2011, African Petroleum completed

drilling its first exploration well, Apalis-1, on

LB-09. The well encountered oil shows in several

geological units including the shallow unlogged

(Tertiary-Paleocene) and proved source rock in the

Cenomanian. The Narina-1 well was drilled on LB-09

in January 2012 and encountered a total of 31

metres of net oil pay in the primary Turonian

objective and underlying Albian reservoirs with no

oil water contact observed. African Petroleum's

discovery at Narina-1 was the first to prove a

working petroleum system in the central Liberian

basin, an extremely positive result for the Company

and one that improves the chances of success

elsewhere in the area.

The Company drilled its third well, Bee Eater-1, on

LB-09 in January 2013. The well tested an up-dip

axial section of the Turonian slope fan in which

the Company's Narina-1 discovery had been made in

2012. The Bee Eater-1 well encountered a tight

reservoir interval, but provided the impetus to

integrate the information into a predictive model

for improved reservoir in slope fans further down-

dip. These new findings have been incorporated into

a revised interpretation of the subsurface across

the portfolio, with new basin floor fan prospects

identified in both blocks.

In September 2013, the Company completed

reprocessing of all the 3D seismic data from its

Liberian licences to improve image quality and

support the maturation of additional prospects and

appraisal opportunities. The reprocessing

highlighted that certain areas may benefit from

improved seismic imaging and further targeted 3D

reprocessing and acquisition of new high-resolution

3D seismic are currently being considered for LB-08

and LB-09. Lessons learned from previous seismic

reprocessing will be incorporated into any new data

and any new acquisition will utilise state of the

art broadband technology. If the new data is

acquired with a different azimuth, there is a

possibility to combine datasets.

In LB-08 specifically, overburden issues are not

quite so severely degrading the current seismic

image and significant improvement from new data is

expected. Recent work on Turaco and Hornbill

(included in January 2015 ERCE letter) in deepwater

LB-08 has helped prioritise these prospects.

Recent Updates

On 23 December 2014, African Petroleum signed a non-

binding term sheet agreeing terms with a private

London based independent oil and gas company to

farm-in to the Company's 100% owned Liberian LB-08

licence for a 50% equity and non-operated interest.

Completion of the farm-in transaction, as

contemplated by the Term Sheet, is subject to

contract and a number of conditions precedent. As

announced by the Company on 20 March 2015, an

extension of approximately three months to 30 June

2015 has been agreed to allow for conditions

affecting the third party that are outside their

control at the present time.

The signing of the Term Sheet is a significant

milestone for African Petroleum. Should the farm-in

transaction complete, the incoming party will bring

a breadth of knowledge and experience to the

partnership and will allow the Company to continue

its exploration programme in its highly prospective

acreage offshore Liberia.

In January 2015, African Petroleum announced that

independent petroleum consultant ERC Equipoise

prepared an updated assessment of prospective oil

resources attributable to the Company's Liberian

Licences. This updated assessment, in conjunction

with the ERCE Competent Persons Report April 2014,

estimates the net unrisked mean prospective oil

resources at 4,192MMStb.

Sierra Leone Project: Blocks SL-03 & SL-4A-10

Licence Overview

In Sierra Leone, the Company holds a 100% operated

working interest in offshore licences SL-03 and SL-

4A-10. African Petroleum was awarded a 100%

interest in SL-03 in April 2010, while licence SL-

4A-10 was awarded as part of Sierra Leone's third

offshore licencing round in 2012. The Company's

Sierra Leone licences cover a combined net acreage

of 5,855km2 and are located to the south of

Freetown, offshore Sierra Leone.

Licence Activities

Since gaining operatorship of the Sierra Leone

licences, African Petroleum has acquired

approximately 2,500km2 of 3D seismic data over

block SL-03 and approximately 1,000km2 of 3D

seismic data over block SL-4A-10. In addition, the

Company has purchased regional 2D seismic data in

western Sierra Leone. The Company has already

identified a number of key prospects in its Sierra

Leone licences, one of which has net unrisked mean

prospective oil resources of 1,354MMStb (ERC

Equipoise Letter, 2015).

Recent Updates

In September 2014, the Company commenced and

completed the acquisition of approximately 1,000km2

of 3D seismic data on Block SL-4A-10, offshore

Sierra Leone. An initial version of the data was

made available for interpretation in late December

African Petroleum is awaiting angle stacks to

enable further de-risking of the prospect inventory

(April 2015). The seismic acquisition fulfills the

remaining obligations in Sierra Leone ahead of the

next exploration phase in both blocks.

Côte d'Ivoire Project: Blocks CI-509 & CI-513

Licence Overview

In Côte d'Ivoire, African Petroleum holds a 90%

working interest in offshore licences CI-509 and CI-

513 (the "CI Licences"), the remaining 10% is held

by Petroci, the National Oil Company of Côte

d'Ivoire. The Company was awarded CI-513 in

December 2011 and CI-509 in March 2012, with a

combined net acreage of 2,283km2.

Licence Activities

In October 2012, the Company acquired 4,200km2 of

3D seismic data over the CI Licences, fulfilling

the seismic work commitments of the first

exploration phase for both licences. Fast-track 3D

seismic data was received in November 2012, while

final 3D seismic depth processing of the entire

survey was completed in March 2014. Interpretation

of the data has identified a number of significant

prospects, with net unrisked mean prospective oil

resources of 2,130MMStb (ERC Audit, January 2015).

On 22 April 2014 African Petroleum announced PSC

amendments to both licences CI-509 and CI-513. The

PSC amendments include an adjustment of the licence

periods providing for one-year extensions to the

first exploration periods of both licences at the

expense of the duration of future exploration

periods. The PSC adjustment allows the Company more

time for drilling of the first period commitment

wells in these blocks. The first exploration period

for block CI-509 is extended to March 2016 and

block CI-513 has been extended to December 2015.

The Company intends to use some of this additional

time to integrate seismic depth processing into the

optimisation of exploration well locations as

several new amplitude supported prospects have

arisen from processed PSDM 3D seismic.

Total's Saphir-1XB oil discovery in CI-514 in April

2014, has effectively de-risked the Company's

adjacent acreage. African Petroleum traded the 3D

seismic covering both Total's CI-514 operated

acreage and the CI-508 acreage immediately north of

CI-513 and CI-509 held by the Vitol operated group.

In January 2015, following an independent

assessment of the Côte d'Ivoire prospects by ERC

Equipoise, the Company announced an additional

570MMStb to be added to the net unrisked

prospective oil resources.

The Company intends to use the additional time from

the licence extensions to secure the appropriate

sixth generation rig (at the latest competitive

rates) for a wider drilling programme with new

partners from the ongoing farm-out process. In

preparation for the 2015 drilling campaign, the

Company signed an agreement with DrilQuip Limited

to provide two SS-15 wellheads. The purchase of

these wellheads is a positive step for the Company

and a move towards initiating the drilling campaign.

Recent Updates

As announced on 14 July 2014, the Company entered

into an agreement with Buried Hill Africa Limited

("Buried Hill") to farm-out a 10% interest in Block

CI-509, in return for Buried Hill funding 21.1% of

the cost of the next exploration well to be drilled

on the block and an additional cash payment to

African Petroleum representing 10% of past costs

incurred ("Farm-Out Agreement"). Under the terms of

the Farm-Out Agreement, African Petroleum will

continue as Operator on the licence. Completion of

the Farm-Out Agreement is subject to the

satisfaction or waiving of certain conditions

precedent. The Company continues to seek additional

partners in its Côte d'Ivoire acreage and

anticipates making a further announcement in H1

In January 2015, African Petroleum announced that

independent petroleum consultant ERC Equipoise

prepared an updated assessment of prospective oil

resources attributable to the Company's Côte

d'Ivoire Licences. This updated assessment, in

conjunction with the ERCE Competent Persons Report

(April 2014), estimates the net unrisked

prospective oil resources at 2,130MMStb and net

risked prospective oil resources at 456MMStb, a

118% increase in net risked prospective resources

from the April 2014 Competent Persons Report.

Operational Update

Upgraded Prospective Resources

(i) Côte d'Ivoire and Liberia

On 26 January 2015, the Company announced an update

to its prospective oil resources at its 90% owned

and operated CI-509 and CI-513 offshore licence

blocks in Côte d'Ivoire ("Côte d'Ivoire Licences")

and its 100% owned and operated LB-08 and LB-09

offshore blocks in Liberia ("Liberia Licences").

The Company engaged the independent petroleum

consultant, ERC Equipoise Ltd ("ERCE"), to prepare

an updated assessment of prospective oil resources

attributable to the Company's Côte d'Ivoire and

Liberia Licences (the "ERCE Audit").

The ERCE Audit of prospective resources includes

the addition of eight new prospects and has taken

into account information gathered from third party

drilling campaigns in the margin during 2014,

particularly the oil discovery made by Total in CI-

514 in April 2014.

The ERCE Audit, in conjunction with the ERCE

Competent Persons Report April 2014 ("April 2014

CPR"), estimates the net prospective oil resources

relating to the Côte d'Ivoire Licences and Liberia

Licences are as follows:

Mean (MMstb) % Increase

Net Risked

Net Net Prospective

Unrisked Risked Oil

Prospective Prospective Resources

Oil Oil from April

Licence Resources Resources 2014 CPR

Côte

d'Ivoire

CI-513 &

CI-509 2,130 456 118%

Liberia

*LB-08 &

LB-09 4,192 662 33%

Total

Updated

Portfolio

Côte

d'Ivoire

& Liberia 6,322 1,118 58%

*Liberia values include four (4) new prospects

reviewed in the ERCE Audit as well as unchanged

prospects from April 2014 CPR

The impact of de-risking through regional third

party drilling activity in Côte d'Ivoire and the

addition of new Turonian and Cenomanian prospects

as outlined in the ERCE Audit translates into the

addition of 410 MMstb in the net risked mean

prospective oil resources from the April 2014 CPR

(increase of 58%).

(ii) Senegal and the Gambia

On 16 March 2015, African Petroleum announced an

update to its prospective oil resources at its 90%

owned and operated Senegal Offshore Sud Profond and

Rufisque Offshore Profond licence blocks in Senegal

("Senegal Licences") and its 100% owned and

operated A1 and A4 offshore blocks in The Gambia

("Gambian Licences").

The Company engaged the independent petroleum

consultant, ERC Equipoise Ltd ("ERCE"), to prepare

an updated assessment of prospective oil resources

attributable to the Company's Gambian Licences, and

an initial assessment of the Senegal Licences

(the "ERCE Letter").

The ERCE Letter of prospective resources includes

20 prospects and estimates the net prospective oil

resources relating to the Senegal Licences and

Gambian Licences as follows:

Mean (MMstb)

Net Net

Unrisked Risked

Prospective Prospective

Oil Oil

Licence Resources Resources

Senegal

SOSP & ROP# 1,779 325

The Gambia

A1 & A4 3,079 445

Total Updated

Portfolio

Senegal and The Gambia 4,858 770

Net Unrisked and Risked Prospective Resources are

stated net to APSL, in which APCL has a 90%

shareholding

The two discoveries made by Cairn Energy at SNE-1

and FAN-1 in Senegal have had a positive impact on

the chance of success for prospects within African

Petroleum's portfolio.

(iii) Sierra Leone

Subsequent to quarter end, on 1 April 2015, African

Petroleum announced an update to its prospective

oil resources at its 100% owned and operated

Licence Blocks SL-03 and SL-4A-10 in Sierra Leone

("Sierra Leone Licences").

The Company engaged the independent petroleum

consultant, ERC Equipoise Ltd ("ERCE"), to prepare

an updated assessment of prospective oil resources

attributable to the Company's Sierra Leone Licences

(the "ERCE Letter"). The ERCE Letter of prospective

resources includes four prospects and estimates the

net prospective oil resources relating to the

Sierra Leone Licences as follows:

Mean (MMstb)

Net Net

Unrisked Risked

Prospective Prospective

Oil Oil

Licence Resources Resources

Sierra Leone

SL-03 & SL-4A-10 1,354 223

Liberian Licence LB-08 Term Sheet

On 20 March 2015, African Petroleum announced that

further to the Company's announcement on 29 January

2015 regarding the extension of non-binding term

sheet with a private London based independent oil

and gas company to farm-in to the Company's 100%

owned Liberian LB-08 licence ("Term Sheet"), that

it had agreed to a request from the third party for

an additional extension of the proposed completion

date. An extension of approximately three months

to 30 June 2015 has been agreed to allow for

conditions affecting the third party that are

outside their control at the present time.

As previously disclosed, pursuant to the Term Sheet

the third party has agreed, subject inter alia to

completion of due diligence and entering into of

mutually agreed contracts, to acquire a 50% net

participating interest in the LB-08 licence in

return for the payment of 50% of all future costs

and expenditures relating to the LB-08 licence and

a contribution to past costs and expenditures.

The LB-08 licence is situated in a highly

prospective region offshore Liberia. In an

independent review of African Petroleum's acreage

conducted by ERC Equipoise Ltd in April 2014 and

updated January 2015, the net unrisked mean

prospective oil resources of LB-08 exceeds 2.6

billion barrels. With an oil discovery in the

adjacent licence and proof of a working hydrocarbon

system in central Liberian basin, the Company

believes that LB-08 has substantial potential.

Completion of the farm-in transaction as

contemplated by the Term Sheet is subject to

contract and a number of conditions precedent,

which, apart from one pertaining to approval from

the Liberian Government, is now scheduled to be

completed by midday 30 June 2015.

Farm-Out Update

As previously announced, African Petroleum is

seeking strategic partners on its ten licences in

Côte d'Ivoire, Liberia, Senegal, The Gambia and

Sierra Leone in order to share risk and potential

reward of the Company's exploration programme.

African Petroleum is pleased to have secured an

initial farm-in on Block CI-509 and to have signed

a term sheet for Block LB-08. The Company

continues to make progress on attracting additional

companies to farm-in to its acreage, and has

received a high level of interest in Côte d'Ivoire,

The Gambia and Senegal since the significant

discoveries made by Cairn Energy in Senegal, Kosmos

on the Mauritania/Senegal border and Total in Côte

d'Ivoire during 2014. African Petroleum remains

confident that it will complete one or more farm-

outs during H1 2015.

Corporate Update

Private Placement

On the 9 February 2015, the Company published a

stock exchange notice regarding a contemplated

Private Placement to certain existing and new

investors of new ordinary shares. On 10 February

2015, African Petroleum announced the completion of

the private placement, successfully raising NOK

95,106,200 (approximately US$12.5 million) in gross

proceeds through the allocation of 271,732,000

Offer Shares at a subscription price of NOK 0.35

per share.

The application period for the Private Placement

closed at 13.00 (CET) on 10 February 2015. The

completion of the Private Placement was conditional

upon (i) the relevant corporate resolutions

required to implement the Private Placement being

made by the Company, including the approval of the

Private Placement by shareholders of the Company in

a general meeting held on 16 March 2015; (ii) the

Company receiving full payment for the Offer Shares

on the due date for payment; (iii) any regulatory

approvals and filings required in connection with

the issuance of the Offer Shares, including but not

limited to an approval from the Australian Foreign

Investment Review Board if applicable and (iv) the

approval by the Financial Supervisory Authority of

Norway of a prospectus prepared in accordance with

the Norwegian Securities Trading Act Chapter 7 for

admission to listing of the Offer Shares on Oslo

Axess.

All of these conditions were fulfilled, and on 18

March 2015 the Company announced the issue of the

271,732,000 New Shares and 135,8666,000 options

that were allocated in the Private Placement.

The Private Placement raising of US$12.5 million

was required to strengthen the Company's balance

sheet and liquidity position. The Company was

encouraged to have completed the Q1 2015

fundraising in such adverse oil market conditions

and we believe that this is a testament to the

quality of the Company's assets offshore West

Africa and the management team.

Results of General Meeting

In accordance with NSX Listing rules and section

251AA of the Corporations Act, on 16 March 2015

African Petroleum announced that all resolutions

put at the General Meeting of the Company held on

16 March 2015 were passed on a show of hands.

Repair Offering

On 10 February 2015, African Petroleum announced

its intention to launch a subsequent repair

offering. The application period under the

subsequent repair offering commenced on 17 March

2015 and closed on 1 April 2015 raising a total of

NOK 4,061,516 (approximately US$505,000).

The intention of the repair offering was to allow

the Company's supportive retail shareholders an

opportunity to participate in a raise on the same

terms as the Private Placement.

Subsequent to quarter end, on 16 April 2015 the

Company announced the issue of and additional

11,604,331 new shares and 5,802,150 options that

were allocated to investors who participated in the

repair offering.

Health, Safety, Environment and Security

As an operator of offshore concessions, it is the

duty of African Petroleum to provide a safe working

environment and minimise any adverse impact on the

environment. Health, safety, environment and

security policies are embedded throughout all of

the Company's core operations. In this regard, we

strive for continuous improvement as lessons

learned from past operations are incorporated into

business practices going forward.

Due to the Ebola outbreak in West Africa, African

Petroleum has implemented precautionary measures to

ensure the safety of its staff. There have been

office closures in Liberia and Sierra Leone, and

local staff have been urged to work from home and

avoid dangerous regions. Currently, the Company

does not have any active operations in Sierra Leone

or Liberia.

African Petroleum is following the Liberian and

Sierra Leone government protocol and has consulted

with host government officials to see how strategic

social investments can be leveraged to combat Ebola.

Outlook

The priority for the next two years is to progress

and unlock the high potential in our West African

assets; through leveraging technology to de-risk

ahead of the drill bit and, subject to finalising

finance, through drilling key exploration wells

with strategic partners. By obtaining partners to

farm-in to our acreage, where we hold high working

interest positions between 90-100%, we will

mitigate our risk and financial exposure whilst

also enabling us to crystallise value for our

shareholders.

Despite the fall in oil price impacting sentiment

with regards to global exploration; we believe that

the industry will continue to explore the best

regions in the world and in that regard we are

confident that exploration of the West Africa

Transform Margin and the wider margin up through

The Gambia and Senegal will remain very active

going forwards evidenced by the recent entry of

Kosmos in Senegal and ExxonMobil in Côte d'Ivoire

amongst others. Furthermore, there has been a

sizeable reduction in operating costs which

presents a significant cost-saving opportunity for

exploration focused operators such as African

Petroleum. We remain in advanced discussions with

potential industry partners across our portfolio

and are hopeful that we will conclude a transaction

in the first half of this year.

African Petroleum has an opportunity to become a

leading independent exploration company through its

highly prospective acreage offshore West Africa.

Plans for our 2015 exploration campaign have begun,

with multiple prospects identified and wellheads

ordered (which will shortly be delivered), we are

in a strong position and are confident that 2015

and 2016 will be transformational years for us.

Our long-term strategy is simple: to find

commercial oil, and expand our footprint both as a

low cost operator and non-operator, leveraging our

highly skilled and experience team, utilising the

latest technology and taking advantage of the low

cost environment.