Africa Oil Corp (AOIFF)

[JB3729]

Near term catalysts for AOIFF share price appreciation:

1) An announcement that Ngamia-1 has reached TD along with the net pay in the primary target could come at any time now.

MAY 25, 2012 - 11:15 ET
Africa Oil Corp.: Ngamia-1 Well Update

VANCOUVER, BRITISH COLUMBIA--(Marketwire - May 25, 2012) - Africa Oil Corp. ("Africa Oil" or the "Company") (TSX VENTURE:AOI)(OMX:AOI) is pleased to report an update on the Ngamia-1 well currently being drilled on Block 10BB in Kenya. The Operator of the well, Tullow Oil plc, announced this morning that they are now drilling in the primary target and initial results appear to indicate the well has intersected further oil bearing sands.

The Ngamia-1 well has encountered oil and gas shows over a gross interval of 140 metres from a depth of 1,800 metres to 1,940 metres. The reservoirs are similar to those previously encountered at a shallower depth. The well will continue to be drilled to a total depth of 2,700 metres and then logged and sampled. This is expected to take a further three weeks to complete.

2) Spudding of Twiga-1 in late June or July. Also, Tullow announces the procurement of 2 additional rigs. One for Pai Pai and one for South Omo.

3) Oil flow test results for Ngamia-1 in July (probably).

4) Updated resource estmate that includes blocks 13T, 12A and South Omo for the first time. Keith Hill says a new resource estimate is being reviewed now. He says it could possibly double. Listen for this at 5:30 into the presentation.

5) Updates from the Shabeel North well including possibly reaching TD between July 20th and August 4th.

VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 5, 2012) - Africa Oil Corp. ("Africa Oil" or the "Company") (TSX VENTURE:AOI)(OMX:AOI) is pleased to announce the commencement of drilling operations on the Shabeel North well in Puntland, Somalia, the second well in the current drilling campaign. The well is being operated by Horn Petroleum Corp. ("Horn") in which Africa Oil holds an interest of approximately 51%. Horn holds a 60% working interest in the Dharoor and Nugaal Valley Production Sharing Agreements ("PSA's") along with working interest partners Range Resources (20%) and Red Emperor (20%).

The Shabeel North well is targeting Upper Cretaceous Jesomma sands which had good oil and gas shows in the Shabeel well 3.5 kilometers to the south. Petrophysical analysis of downhole electrical logs in the Shabeel well indicated a potential pay zone in the Jesomma of up to 12 to 20 meters with an average porosity of 18 to 20%. It is planned to bring the rig back to the Shabeel location to test these sands to confirm their ability to flow oil once the drilling of the Shabeel North well is completed. The planned TD of the Shabeel North well is 2400 meters and drilling is expected to take 45 to 60 days to complete.

Horn President and CEO David Grellman stated, "The Shabeel North well will test the same reservoirs that appear to be oil bearing in the nearby Shabeel well. We would expect similar or better reservoir thickness and quality as we move deeper into the basin. The results of this well should help us confirm the extent of the petroleum system in the basin and, if successful, would be another step towards proving the economic potential of the basin."


6) Results for Shabeel-1 to follow Shabeel North results.

7) Pai Pai, a South Omo well, and the 3rd Somalia well spud in September.

8) $50 a share buy out offer rejected by Africa Oil (wishful thinking)!

Good to see AOI.V rally end of day Friday. Even though AOIFF didn't trade during the last 10 minutes, and closed at 8.68, it's valued at 8.97 in my account this morning due to it tracking AOI.V's performance adjusted for currency values.

Lots to look forward to! Also, there may be surprise catalysts!

JB