Company Profile

Brief history The intention of the Company is to participate in oil and/or gas exploration and upstream activities in the exclusive economic zone of Cyprus and is operating under the Companies Law chapter 113. The Company’s upstream activities refer to the searching for and the recovery and production of oil and natural gas. Such activities involve the searching for potential underground or underwater oil and gas fields, drilling of exploratory wells, and subsequently drilling and operating the wells that recover and bring the raw oil and natural gas to the surface. The Company has dedicated its resources of €877.500 to preparing and submitting applications to the Cypriot government, through a process of tender, all pursuant to the rules and/or regulations and/or instructions which were published on February 12th, 2012. On May 11th, 2012, the Company as part of a Consortium (the “Consortium”) has submitted applications for two off-shore licenses through the tender of the "2nd Licensing Round". If the Company succeeds to obtain the hydrocarbon license(s), it shall, together with its nominated operator (AGR Energy AS hereforth referred to as “AGR”) and the advice of its professional consultants, implement a work program for the development of the license(s), at its sole discretion, including without limitation, collection, interpretation, and processing of seismic data, preparation of drilling prospects and accompanied reports. Should the Company fail to obtain the licenses it applied for, the Company intends to create joint ventures with third parties in the exploration and production of other off-shore licenses. The Company and AGR have entered into an Operating and Farm-In Agreement effective as of May 11th, 2012. According to this agreement, the applications for two licences as set forth above have been submitted by the Company as holder of 70% of the license and by AGR as operator and holder of 30% of the licences. The Company and AGR may, subject to applicable law and any required ap proval, enter into future agreements for joining of third parties as licence holders, should any of the licences be obtained. The procedures for decision taking, establishment of operating committees and the majority required for taking operational decisions shall be determined by a Joint Operating Agreement, to be entered into between the Company and AGR (and any licence holder) if and to the extent that any licence is obtained (within 90 days from the grant of any licence unless other agreed time between the Parties).