PetroNor E&P ASA

Regulatory Filings • Dec 21, 2015

BLOCK CI-513 - NEW PSC SIGNED WITH OPHIR ENERGY

BLOCK CI-513 - NEW PSC SIGNED WITH OPHIR ENERGY

African Petroleum Corporation Limited ("African Petroleum" or the "Company"), an

independent oil and gas exploration company operating ten licences in five countries

offshore West Africa, is pleased to announce that it has entered into a new Production

Sharing Contract ("PSC") with Ophir Energy plc covering the Company's CI-513 licence

area in Côte d'Ivoire.

Highlights:

- New PSC with Ophir Energy plc covering the Company's CI-513 licence area in Côte

d'Ivoire

- Ophir Energy will make a contribution of US$16.9 million towards African Petroleum's

back costs in relation to the block

- 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

- Extension to previous minimum work commitments on the block

- Transaction represents successful achievement of key corporate milestone

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 2

years of the signing of this new PSC.

On 29 June 2015 African Petroleum announced that it had signed a binding joint bidding

agreement ("JBA") with a London listed oil and gas company to provide a framework for

the incoming party to secure a 45% operated interest in a PSC covering the Company's

CI-513 licence area in Côte d'Ivoire. Since this date African Petroleum and Ophir Energy

have been working with the Government of Côte d'Ivoire to agree the revised terms of

the new PSC.

In accordance with the terms of the JBA, Ophir Energy will make a contribution of

US$16.9 million towards African Petroleum's historical investment in 3D seismic and the

transaction costs. In addition, 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 new PSC has been signed by African Petroleum, Ophir Energy, Petroci, and two out

of three of the relevant government Ministries. The Company expects the final Ministry

signature to be imminent. A further announcement will be made in due course.

Commenting on today's announcement, Jens Pace, CEO of African Petroleum said:

"We are pleased to have signed this new PSC with Ophir Energy who bring a wealth of

experience and technical expertise to Block CI-513 in Côte d'Ivoire. We look forward to

working with Ophir Energy and Petroci to jointly explore the potential of this exciting

block.

Successful completion of this transaction has been the key priority for the management

team and we believe this transaction endorses our acreage and importantly our strategy

by highlighting that there remains an industry appetite for world class exploration of this

type despite the prevailing industry headwinds. We now shift our focus to completion of

further deals on our acreage in Senegal and the Gambia."

For further information, please contact:

Jens Pace, Chief Executive Officer

Stephen West, Chief Financial Officer

Tel: +44 20 3761 6900

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

About African Petroleum

African Petroleum is an independent oil and gas exploration company operating 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 28,448km2 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.

For more information about African Petroleum, please see

www.africanpetroleum.com.au