Company Information for PA Resources UK Limited

www.paresources.se

Company Statement

PA Resources is an international oil and gas group combining financial strength with rapid growth. We conduct profitable business within exploration and production of oil and gas reserves. We focus our business on the three geographical regions - North Sea, North Africa and West Africa. PA Resources is listed on Oslo Stock Exchange and OMX Nordic Exchange in Stockholm.

PA Resources AB is an independent, international exploration and production company whose business concept is to acquire, develop and extract oil and gas reserves as well as pursue exploration to find new reserves.

Business strategy
PA Resources’ business strategy is to acquire oil and gas fields that are close to development for production, as well as to develop minor fields that have achieved and passed their production peak, but still have great development potential. In addition, PA Resources increases its own exploration activities to be able to find new oil and gas reserves to develop for production and create value at a maximum level.

Group’s overall objectives
PA Resources has set a long-term growth objective to achieve an average production of approximately 50,000 barrels per day in approximately 3-5 years and to hold reserves covering 300 million barrels of oil equivalents. A factor vital to achieving this is the increased exploration operations within existing permits.

Operations and Technology

PA Resources UK Limited was formed when privately-owned Scotsdale Petroleum was acquired by Swedish group PA Resources in October 2007. The Oslo- and Stockholm-listed company, which has E&P assets in Congo, Equatorial Guinea, Tunisia, Norway and Greenland, was moved to acquire Scotsdale because of the London firm’s success in assembling a portfolio of exploration assets in the UK and Danish sectors of the North Sea. For the first half of 2008, parent company PA Resources Group reported a profit of SEK 480.3 million on revenues of SEK 1.6 billion and produced over 12,000 barrels of oil per day from properties in Tunisia and Norway.

The acquisition of PA Resources UK, which in late September 2008 will move to new offices in Hammersmith, West London, added a substantial portfolio of UKCS exploration interests. These assets included blocks in the Inner Moray Firth and East Irish Sea along with extensive acreage in the prolific gas basin of the Southern North Sea. Here the company holds 12 shallow water contiguous blocks and part-blocks, covering 2,670 sq km, in the northern part of the basin. The area has been very sparsely drilled yet significant discoveries in Carboniferous reservoirs have been made and brought onto production on trend to the south and southeast. PA Resources UK believes these play trends extend into its acreage and is looking for farm-in partners to help accelerate drilling plans.

Elsewhere in northern Europe, PA Resources has established a footprint in the Danish and Dutch sectors of the North Sea along with assets in Norway and Greenland. In Denmark, it holds licenses 11/06 and 12/06, where it plans to drill in mid 2009. In August 2008, it added two more licenses in Denmark, 9/06 and 9/95.

In the Netherlands, the company has a 50 per cent interest in Block Q/7, which is home to the Q/7-1 gas discovery. The discovery, made in 1973 by NAM, tested 11.5 million cf/d from a 155 ft section in the Lower Zechstein carbonate sequence and is thought to hold between 20 and 40 bcf of gas. The block is also home to a number of undrilled leads.

In Norway PA Resources has interests in 12 licenses, including a stake in the producing Volve oilfield. Volve came onstream in February 2008 and production continues to ramp up. A second field, Oselvar, is due to start production in 2011. The company also holds exploration interests in Norway, where it is considering future options for the Draupne, West Cable and Hanz discoveries. The company is applying for additional acreage offshore Norway.

In May 2008, the company was awarded an 87.5 per cent interest in the 11,100 sq km Block 8 offshore West Greenland. The initial work programme involves a 4,000 km 2D seismic shoot, processing of existing seismic and a number of environmental studies.

The company is also active in north and West Africa. PA Resources has been operating in Tunisia since 1998, where it has interests in six production licences and four exploration licences. These include the offshore Didon and El Bibane fields and the onshore Ezzaouia field, where development work is underway to boost production. The company is also active on the exploration front, with five exploration and appraisal wells planned between Q3 2008 and Q3 2009.

In West Africa, PA Resources has a small stake in Blocks I and H offshore Equatorial Guinea. In 2007-2008, drilling on Block I yielded four promising discoveries, Benita, Yolanda, Belinda and Diega. On Block H, following the recent resolution of disputes with a partner in the consortium, a rig has been secured to drill an exploration well on the block in 2009.

The company also has interests in three blocks offshore Congo (Brazzaville), including a 12.5 per cent interest in the Marine XIV licence where an exploration well is planned in 2009. The company also has a 35 per cent interest in the Azurite field, which is under development with a view to first production in Q2 2009. Output from Azurite should peak at 40,000 bpd, with PA Resources’ share amounting to 14,000 bpd. It also holds 35 per cent of the Mer Profond Sud exploration licence, where a first well is due to spud before the end of 2008.

Board of Directors and Key Management

Chairman	Jan Kvarnström
President and CEO	Ulrik Jansson
Director	Catharina Nystedt-Ringborg
Director	Lars Olof Nilsson
Director	Sven Rasmusson
Chief Financial Officer	Bo Askvik

Company Address

Kungsgatan 44
3rd floor
STOCKHOLM, Sweden SE-111 35


Telephone:	+46 8 21 83 82
Facsimile:	+46 8 20 98 99
Email:	info[at]paresources.se
Website:	http://www.paresources.se

Additional Address/Key Contact

Unit office United Kingdom:
PA Resources UK Ltd
4th Floor, Waterfront
Winslow Road
Hammersmith
LONDON, W6 9SF
UNITED KINGDOM
Telephone: +44 (0) 20 33 22 0100/37
Fax: +44 (0) 20 33 22 0101

Most Recent Statement

18/03/10 - PA Resources awards contract for seismic acquisition in Block 8, West Greenland
17/02/10 - PA Resources AB Full year report 2009 (incl. Q4)
18/01/10 - Production- and Sales Report for Q4, 2009
18/12/09 - PA Resources planned drilling program 2010
03/12/09 - PA Resources has successfully completed a bond issue
02/11/09 - PA Resources Financial Calendar 2010

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