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Africa Oil Receives Dividend from its Nigerian Asset

Africa Oil Corp. (“AOI”, “Africa Oil” or “the Company”) announced that it has received its first dividend from Prime Oil and Gas B.V. (“POGBV”, previously known as Petrobras Oil and Gas B.V.), a company that holds interests in deepwater Nigeria production and development assets.

POGBV has distributed a US$125 million dividend with a net payment to Africa Oil of US$62.5 million related to its 50% interest. The Company will apply this amount, and any future dividends, in priority towards the repayment of its US$250 million POGBV acquisition loan, in order to accelerate the repayment of the loan principal amount.

Africa Oil CEO, Keith Hill, commented, “We are very pleased to update our investors with news of the maiden dividend from our Nigerian asset, less than a month after closing the acquisition of a 50% shareholding in POGBV. We plan to release our 2020 guidance, including an estimate of cashflows net to our interest in POGBV, with our full-year results on or about February 28th, 2020, and to file the Statement of Reserves effective year-end 2019 by March 31st, 2020”.

Africa Oil Corp. is a Canadian oil and gas company with producing and development assets in deepwater Nigeria; development assets in Kenya; and an exploration/appraisal portfolio in Africa and Guyana. The Company is listed on the Toronto Stock Exchange and on Nasdaq Stockholm under the symbol “AOI”.