Cobal

Off the coast of Angola, Cobalt has been the front-runner in the exploration of the Kwanza pre-salt basin. In Angola Block 21, Cobalt drilled the Cameia #1 pre-salt exploratory well as a successful discovery well. Cobalt then drilled the Cameia #2 appraisal well to better define the size and lateral continuity of the Cameia reservoir.

Results of a production test performed in the Cameia #1 well provided evidence that the well has the potential to produce in excess of 20,000 barrels of hydrocarbons per day, exceeding Cobalt’s pre-drill estimates. The well was drilled in 1,680 meters (5,512 feet) of water to a depth of over 4,880 meters (16,010 feet), and encountered a continuous oil column of nearly 360 meters (1,181 feet) with over 75 percent

net-to-gross pay estimate. No oil/gas or oil/water contacts were observed.

The Cameia #2 appraisal well confirmed the presence of a large hydrocarbon accumulation in a high quality reservoir and discovered a new hydrocarbon-bearing zone at least 134 meters (440 feet) deeper than that which was observed in the Cameia #1 exploratory well. Progress is being made to move

the Cameia field toward sanction in 2014, with first production anticipated in 2017. Mavinga

Following the Cameia Pre-salt discovery, Cobalt drilled the Mavinga #1 Pre-salt exploratory well as a successful oil discovery well on Block 21. The Cobalt operated Mavinga #1 well, located approximately 8 miles (12.5 kilometers) northwest of Cobalt’s Cameia discovery, reached a total depth of 17,431 feet (5,313 meters) and encountered approximately 100 feet (30 meters) of net oil pay. This discovery was confirmed by the successful production of oil from mini drill stem tests, direct pressure and permeability measurements, and log and core analyses.

Cobalt estimates a gross oil column of up to 650 feet (200 meters) at the crest of the Mavinga structure updip of the Mavinga #1 well location. Additional drilling will be required to confirm the ultimate gross thickness of the mound and its reservoir quality; however the Mavinga discovery is expected to be tied-back to and become part of the planned Cameia development complex in Block 21.

Lontra

On Block 20, the Lontra #1 exploratory well was drilled to a total depth of 4,195 meters (13,763 feet) and penetrated approximately 75 meters (250 feet) of net pay in a very high quality reservoir section.

During the recently completed drill stem test, the Lontra well produced at a stabilized flow rate of 2,500 barrels per day of condensate and 39 million cubic feet per day of gas. The flow rates were significantly restricted by the surface test facilities on the SSV Catarina drilling rig. The discovery well

encountered both a high liquids content gas interval and an oil interval. The drill stem test was conducted in the high liquids content gas interval in order to acquire data on the flow capacity and fluid composition of this interval.

To date, Cobalt has drilled four wells in the Northern Kwanza Pre-salt Basin offshore Angola, and all of these wells have been successful in finding Pre-salt hydrocarbons. This is a remarkable and a highly unusual start to the exploration of an immense new basin. Diaba

The Total Gabon operated Diaman #1B well, drilled on the

Diaba block, offshore Gabon, was the first test of the Pre-salt in deepwater Gabon. The well reached its total depth of 5,585 meters (18,323 feet), and encountered approximately 50-55 meters (160-180 feet) of net hydrocarbons in the objective Pre-salt formations. The Diaman #1B well successfully confirmed the existence of a working petroleum system. These results represent an excellent start to the exploration of the emerging Pre-salt basin in deepwater Gabon.

In the coming years, the West Africa team will drill a number of pre-salt exploratory wells and appraisal wells, and will generate initial production and cash flow.