Gabon Licence Areas

The Etame field is Addax Petroleum’s principal offshore producing licence area in Gabon. It was discovered in 1998 and started production in 2002. The Etame Marin licence covers an area of approximately 759,600 acres (3,074 km²) in the Gabon Basin, offshore southern Gabon. Addax Petroleum holds a 31.36% interest in the Etame Marin licence area, which is operated by VAALCO, a US-based independent oil and gas company. The field is in water depths of approximately 75 to 80 m and currently has four wells producing from the Gamba reservoir. Production from the Etame field averaged 3,500 bbl/d in 2008.

Avouma (Etame Marin licence area):

The Avouma field has been producing since 2007. The Avouma field was discovered in 2004 and is approximately 17 km southeast of the Etame field. Oil flowing from the Avouma platform is loaded on the Etame Marin FPSO via a 16 km pipeline. Production from the Avouma field averaged 3,180 bbl/d in 2008.

Ebouri field (Etame Marin licence area):

The Ebouri field was discovered in 2003 and is approximately 18 km northwest of the Etame field. Approval for the development of the Ebouri field was received from the Gabonese authorities in September 2006. Installation of a jacket and a pipeline from the Ebouri field to the Etame Marin FPSO was completed in 2008, and the field has been producing approximately 1,500 bbl/d net to Addax Petroleum since January 2009.

In January 2004, Addax Petroleum signed an agreement with Tullow Oil for the acquisition of 42.5% in the Kiarsseny property, which is located offshore in the Port Gentil Basin, in water depths up to 800 m and which covers an area of approximately 1,344,900 acres (5,443 km²). The property is operated by Tullow Oil. The Kiarsseny PSC is currently in its second exploration phase of three years, ending March 2010, and has a one well commitment.

In 2008 Addax Petroleum acquired an additional 18% working interest in the Iris Marin licence area offshore Gabon by the acquisition of a subsidiary of Sterling Energy plc. Addax Petroleum holds a 51.33% working interest in the Iris Marin licence area and is the operator. The Iris Marin licence area covers a shallow water exploration permit of approximately 99,600 gross acres (403 km²). The first exploration well in the Iris Marin PSC was drilled in August 2005 to a depth of 2,035 m, reaching a sub-salt Gamba sandstone target where it penetrated over 30 m of reservoir-quality sandstones that were water bearing. The well was plugged and abandoned as a dry hole. Addax Petroleum drilled the Charlie prospect in 2008 but the well was unsuccessful. Additional prospects have been identified and Addax Petroleum is determining whether to drill another exploration well.

Addax Petroleum holds a 68.75% interest in the Gryphon Marin licence area. The Gryphon Marin licence area covers a total area of approximately 2,409,200 acres (9,750 km2) and lies immediately west of the Iris Marin and Ibekelia licence areas, and immediately north of Addax Petroleum’s Etame Marin licence, offshore Gabon. The licence area's existing exploration period ends in November 2009 and carries a commitment to drill two wells. Addax Petroleum plans to drill the Ajomba and Ajomba South prospects in 2009 and a prospect inventory is being matured to determine future exploration plans for the licence area.