Based on the encouragement provided by the Shabeel wells, the Company and its
partners plan to enter the next exploration period in both the Dharoor Valley and Nugaal Valley
PSAs which carry a commitment to drill one well in each block within an additional three year
term. The current operational plan would be to contract a seismic crew to acquire additional
data in the Dharoor Valley block and to hold discussions with the Puntland Government
regarding drill ready prospects in the Nugaal Valley block. The focus of the Dharoor Valley block
seismic program will be to delineate new structural prospects for the upcoming drilling
campaign.