PetroNor E&P ASA

Earnings Release • May 31, 2016

UNAUDITED FINANCIAL REPORT FOR THE QUARTER ENDED 31 MARCH 2016

UNAUDITED FINANCIAL REPORT FOR THE QUARTER ENDED 31 MARCH 2016

Please find enclosed African Petroleum Corporation

Limited's (the "Company" or "African Petroleum")

unaudited financial report for the quarter ended 31

March 2016.

HIGHLIGHTS

- On 21 December 2015 the Company announced that it

had entered into a new Production Sharing Contract

("PSC") with Ophir Energy plc covering the Company's

CI-513 licence area in Côte d'Ivoire. On 16 March

2016, the Company announced that the new PSC became

effective when all government ministerial signatures

had been obtained. In accordance with the agreement

with Ophir Energy they made a contribution of US$16.9

million towards African Petroleum's back costs in

relation to the block. Ophir Energy holds a 45%

operated interest in the PSC, African Petroleum holds

a 45% interest and Petroci (the National Oil Company

of Côte d'Ivoire) holds a 10% carried interest. The

transaction represents a significant achievement of a

key corporate milestone by the Company, particularly

in light of the prevailing industry environment.

- Post quarter end, Mr Charles Matthews, Non-Executive

Chairman, retired as Chairman and Non-Executive

Director in order to pursue other business interests.

Dr David King assumed the position of Non-Executive

Chairman.

- Advanced farm-out discussions are progressing with

numerous interested parties across the Company's

assets, including The Gambia and Senegal. Continuing

exploration success by third party operators in the

area has led to a significant increase in the level of

interest in these assets.

- The Company's shares were voluntarily suspended from

quotation on the National Stock Exchange of Australia

("NSX"), prior to being removed from the CHESS sub-

register on 31 December 2015 and being formally de-

listed from the NSX before open of trading on 4

January 2016.

- Approximately US$15.9 million cash at bank as at 31

March 2016, together with US$6.6 million restricted

cash.

COMPANY BACKGROUND

African Petroleum, listed on the Oslo Axess (APCL) and

the Open Market of the Frankfurt Stock Exchange

(A1C1G9), 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 11.6 billion

barrels.

African Petroleum has equity interests in 10 licences

across 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 by Total in Côte d'Ivoire, Cairn Energy in

Senegal and by Kosmos Energy in Senegal and Mauritania.

The Company has acquired more than 18,500km2 of 3D

seismic data and drilled three exploration wells, one

of which was an oil discovery at Narina-1 in Liberia.

CEO STATEMENT

"The successful completion of the transaction with

Ophir Energy in Côte d'Ivoire marks a strong start to

the year for African Petroleum. It indicates an

industry appetite for compelling farm-out

opportunities, validates our strategy, endorses our

world-class acreage and demonstrates the ability to

deliver on our stated objectives, despite the

challenging market conditions. The Company's focus is

to convert the multiple ongoing conversations with

potential partners, across our portfolio, into farm-

out transactions. The continued positive news-flow

from the activities of operators in adjacent blocks in

Senegal has certainly assisted with the discussions

related to our Gambia and Senegal licences. Based on

the current level of interest we are receiving in

those assets and the encouraging discussions we have

ongoing with potential industry partners, we are

confident of concluding additional transactions in the

near future that will form partnerships to explore our

world-class acreage position."

OPERATIONAL & CORPORATE UPDATE

FARM OUT PROCESS

African Petroleum continues to seek strategic partners

on its licences in Côte d'Ivoire, Liberia, Senegal,

The Gambia and Sierra Leone in order to share risk and

the potential reward of the Company's exploration

programme, and to fund a high impact exploration

drilling campaign. After successfully bringing Ophir

Energy plc as a partner on the Company's CI-513

licence in Côte d'Ivoire, the Company's near-term

focus is to farm out the Company's assets in The

Gambia and Senegal as ongoing discussions mature with

key potential partners. The quality of the Company's

acreage, coupled with the high level of equity

interest held in all of the licences, provides

management with confidence that agreements will be

concluded in due course.

Côte d'Ivoire

On 21 December 2015 the Company announced that it had

entered into a new Production Sharing Contract ("PSC")

with Ophir Energy plc covering the Company's CI-513

licence area in Côte d'Ivoire.

In accordance with the terms of the new PSC, Ophir

Energy holds a 45% interest and is Operator, African

Petroleum holds a 45% interest and Petroci (the

National Oil Company of Côte d'Ivoire) holds a 10%

carried interest. The new PSC incorporates adjustments

to fiscal terms and holding costs agreed with the

Government of Côte d'Ivoire that reflect the current

commodity price environment and outlook for

development of the deepwater prospects identified

through interpretation of the Company's 3D seismic.

The agreement has resulted in an extension to the

previous minimum work commitments on the block and now

requires that an exploration well be drilled within

two years of the signing of the new PSC.

On 16 March 2016, the Company announced that the new

PSC became effective when all government ministerial

signatures had been obtained. In accordance with the

agreement with Ophir Energy, they made a contribution

of US$16.9 million towards African Petroleum's back

costs in relation to the block. Part of the proceeds

were used to settle outstanding liabilities and meet

obligations under the new PSC such as licence fee,

guarantee and signature bonus.

African Petroleum and Ophir Energy are now working

towards the drilling of an exploration well on CI-513

in 2017. Ophir Energy will contribute an additional

10% (over and above their participating interest

share) towards the drilling of the first exploration

well to be drilled on the block.

The Gambia & Senegal

The Company is continuing advanced farm-out

discussions with several interested parties across the

Company's Gambia and Senegal assets. This part of the

Atlantic Margin has become highly active with the

recent exploration success of third party operators,

namely Cairn Energy in Senegal and Kosmos Energy in

Senegal and Mauritania. A significant level of

activity in the region is ongoing as Cairn Energy and

its partners commenced a multi-well exploration and

appraisal drilling programme across their Senegal

acreage in December 2015, with the first three

appraisal wells SNE-2, SNE-3 and SNE-4 being announced

as successful in January 2016, March 2016 and May 2016

respectively. In addition, Kosmos Energy extended

their Mauritania drilling campaign further south and

commenced drilling in Senegal in December 2015. This

has led to a string of very successful drilling

programmes by Kosmos Energy through the first half of

the year, including significant gas discoveries at

Tortue, Geumbeul-1 and Ternanga-1, and the successful

appraisal well at Ahmeyim-2.

African Petroleum is progressing discussions with a

number of potential partners and the respective

governments. Further announcements will be made when

appropriate in due course.

BOARD RE-STRUCTURE

Subsequent to quarter end, on 23 May 2016 it was

announced that Mr Charles Matthews, Non-Executive

Chairman, had retired as Chairman and Non-Executive

Director in order to pursue other business interests.

Dr David King, who was serving as a Non-Executive

Director of the Company since July 2013, assumed the

position of Non-Executive Chairman, effective from the

retirement of Mr Matthews.

Dr King is a professional geoscientist and has over 35

years of experience in oil and gas and other natural

resources industries. He holds an MSc in Geophysics

from Imperial College, London, and a PhD in Seismology

from the Australian National University, Canberra.

After starting a career in academia, including 2 years

as Research Fellow at the Norwegian Seismic Array

facility at Kjeller, Dr King worked in oil and gas

exploration across a broad range of geographies. He

co-founded, as well as held executive and non-

executive board positions with, a number of successful

ASX listed oil and gas exploration companies,

including Eastern Star Gas Limited, Gas2Grid Limited

and Sapex Limited. He has also served as Managing

Director of ASX listed gold producer North Flinders

Mines, CEO of oil & gas producers Beach Petroleum and

Claremont Petroleum, and Chairman of Robust Resources

Ltd. Dr King is currently Non-Executive Chairman of

two ASX listed companies: oil and gas exploration

company Galilee Energy Limited, and biotechnology

research and development company, Cellmid Limited.

We thank Charles for his leadership and wish him well

for the future. We are fortunate to have such an

experienced Board of Directors that we are able to

make such a high calibre appointment from within. We

look forward to the next chapter of our corporate

story under the chairmanship of David. We have also

been able to leverage Charles' decision to retire from

the Company to further streamline the Board to ensure

it is appropriately sized for a company of African

Petroleum's market capitalisation.

NSX DE-LISTING

In accordance with the special resolution passed at

the Company's General Meeting held on 21 December

2015, the Company's shares were voluntarily suspended

from quotation on the National Stock Exchange of

Australia ("NSX"), prior to being removed from the

CHESS sub-register on 31 December 2015 and being

formally de-listed from the NSX before open of trading

on 4 January 2016.

The Company maintains a primary listing on Oslo Axess,

a regulated market of the Oslo Bors, where it has been

listed since May 2014.

LICENCE PHASES

In Sierra Leone we are holding discussions with the

Government to proceed into the First Extension Period

of the SL-4A-10 licence, having fulfilled the

commitment to acquire 3D seismic over the licence.

The current phase of the SL-4A-10 licence ended in

September 2015. Similar discussions are ongoing in

relation to the Rufisque Offshore Profond licence in

Senegal and the CI-509 licence in Côte d'Ivoire, the

current phases of which ended in October 2015 and

March 2016 respectively.

LICENCE INFORMATION

Côte d'Ivoire: Blocks CI-509 & CI-513

In Côte d'Ivoire, African Petroleum holds:

i) 90% working interest in offshore licence CI-

509, with the remaining 10% held by Petroci, the

National Oil Company of Côte d'Ivoire. The Company was

awarded CI-509 in March 2012; and

ii) 45% non-operated interest in offshore licence

CI-513, with a 45% operated interest held by Ophir

Energy plc and the remaining 10% held by Petroci. A

new PSC for CI-513 was signed in December 2015 and

became effective in March 2016.

The two licence interests have a combined net acreage

of 1,633km2.

Independent petroleum consultant ERC Equipoise

prepared an assessment of prospective oil resources

attributable to the Company's Côte d'Ivoire licences

and estimates the net unrisked mean prospective oil

resources at 1,273MMStb (adjusted for Ophir Energy's

45% interest in CI-513).

Senegal: Rufisque Offshore Profond & Senegal Offshore

Sud Profond

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"). 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.

Independent petroleum consultant ERC Equipoise

prepared an assessment of prospective oil resources

attributable to the Company's Senegal Licences and

estimates the net unrisked mean prospective oil

resources at 1,779MMStb.

The Gambia: Blocks A1 & A4

African Petroleum holds a 100% operated working

interest in offshore licences A1 and A4, with a

combined net acreage of 2,672km2. The Company has

completed a 3D seismic survey with data covering

2,500km2 and has found a number of analogous leads and

prospects in its acreage to that of the recent SNE-1

and FAN-1 discoveries and the SNE-2, SNE-3 and SNE-4

successful appraisal wells drilled by Cairn Energy in

Senegal.

Independent petroleum consultant ERC Equipoise

prepared an assessment of prospective oil resources

attributable to the Company's Gambian Licences and

estimates the net unrisked mean prospective oil

resources at 3,079MMStb.

Liberia: Blocks LB-08 & LB-09

African Petroleum, through its wholly owned subsidiary

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.

Independent petroleum consultant ERC Equipoise

prepared an assessment of prospective oil resources

attributable to the Company's Liberian licences and

estimates the net unrisked mean prospective oil

resources at 4,192MMStb.

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

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 3,925km2 and

are located to the south of Freetown, offshore Sierra

Leone.

Independent petroleum consultant ERC Equipoise

prepared an assessment of prospective oil resources

attributable to the Company's Sierra Leone licences

and estimates the net unrisked mean prospective oil

resources at 1,354MMStb.

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 minimize 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 learnt from past

operations are incorporated into business practices

going forward.

PRINCIPAL RISKS AND UNCERTAINTIES

As an exploration company in the oil and gas industry,

the Company operates in an inherently risky sector.

Oil and gas prices are subject to volatile price

changes from a variety of factors, including

international economic and political trends,

expectation of inflation, global and regional demand,

currency exchange fluctuations, interest rates and

global or regional consumption patterns. These

factors are beyond control of the Company and may

affect the marketability of oil and gas discovered.

In addition, the Company is subject to a number of

risk factors inherent in the oil and gas upstream

industry, including operational and technical risks,

reserve and resource estimates, risks of operating in

a foreign country (including economic, political,

social and environmental risks) and available

resources. We recognise these risks and manage our

operations in order to minimise our exposure.

OUTLOOK

Having recently completed the CI-513 transaction in

Côte d'Ivoire with Ophir Energy plc, the Company is

now focussed on farming out the Company's assets in

The Gambia and Senegal in order to align funding

opportunities for the upcoming drilling commitments in

areas with nearby significant discoveries. The

Company remains confident that it has an asset base

that is attractive to the industry and, despite the

low oil price environment, will be in a position to

announce further agreements during 2016 and recommence

our high impact exploration drilling campaign.

STATEMENT OF RESPONSIBILITY

We confirm that, to the best of our knowledge, the

condensed set of financial statements for the first

quarter of 2016, which has been prepared in accordance

with IAS34 Interim Financial Statements, provides a

true and fair view of the Company's consolidated

assets, liabilities, financial position and results of

operations, and that the management report includes a

fair review of the information required under the

Norwegian Securities Trading Act section 5-6 fourth

paragraph.

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/Helen Chan

Tel: +44 207 466 5000

For Norwegian media - First House

Geir Arne Drangeid

Tel: +47 913 10 458

This information is subject to disclosure requirements

pursuant to section 5-12 of the Norwegian Securities

Trading Act.