Libya

Strategy
The strategy is to monetize of proven and probable oil reserves of some 300 MMBOE, to transfer contingent reserves to proven and probable reserves through reserve commercialization, and to increase oil reserves through exploration activities.

Background
Since obtaining the participating interest in Area 47, Libya, from 2005 until 2009 the Company, together with Verenex, drilled a total of 20 exploration wells and 6 appraisal wells, with 18 of the exploration wells showing indication of considerable oil reserves. The exploration success rate of 90% is well above the global average success rate. According to a D&M report dated 30 September 2008,  a total gross discovered 2P reserves of 282 MMBOE and gross contingent resources of 211 MMBOE are estimated in Area 47. Following the acquisition of Verenex's interest in Area 47 by the Libyan Investment Authority (LIA) in 2009, the Company and LIA held equal portions of 50% participating interest in Area 47 Exploratory Block.

Future Plans
The Company is in discussion with NOC to execute a Fast Track Production Facilities project plan.

Area 47

Type of Contract : EPSA
Areas (Km2) : 6,182
Contract Expiry : 2020 (Exploration) / 2045 (Development & Production)
Participacing Interest (Exploration) : Medco International Ventures Limited (MIVL) - 50% (Operator)
Libyan Investment Authority - 50%
Participacing Interest (Development) : Medco International Ventures Limited (MIVL) - 25%
National Oil Corporation (NOC) Libya - 50%
Libyan Investment Authority (LIA) - 25%
Status : Exploration & Development