Vanoil Energy

Vanoil Energy Ltd. is a Canadian oil and gas company with properties in Kenya and the Seychelles. Vanoil holds 100% interests in two onshore blocks in Eastern Kenya secured by production sharing contracts. Onshore Blocks 3A and 3B total 24,912 km2 and are located at a confluence of three sedimentary basins (Anza, Mochesa and Lamu), with the Anza basin having evidence of a working Cretaceous petroleum system. Vanoil's onshore Kenya blocks are located adjacent to Block 9, the technically advanced concession held and operated by Marathon Oil and Africa Oil.

Vanoil holds a 25% working interest in Seychelles Areas A and B with its partner Afren. Areas A and B comprise in excess of 14,000 km2 in total and are located on the Seychelles plateau and adjacent zones in the northern waters of the Seychelles in a region where Amoco previously drilled three wells with hydrocarbon shows. Multiple oil seeps have been observed on Areas A and B, and tar balls of natural origin are abundant throughout the region.

Vanoil's oil and gas operations hold the potential for the company to make a significant find and become the next Heritage and Tullow Oil.

Vanoil currently holds oil and gas interests in Kenya, and the Seychelles summarized below:

Kenya

Vanoil's onshore Kenya property, approximately 24,960 km2 (pre 35% relinquishment that is awaiting approval), was acquired in October, 2007 concurrent with the execution of two Production Sharing Contracts with the Government of Kenya. The properties are designated as Block 3A and 3B and are analogous to the prolific Melut and Muglad basins in Southern Sudan. These exploration assets are located on the same East African rift system as the billion barrel discovery made by Heritage in 2007.

Seychelles

Vanoil holds a 25% working interest in Seychelles Areas A and B with its partner Afren. Areas A and B comprise 14,319 km2 in total and are located on the Seychelles micro-continent in shallow to deep water in the northern half of the Seychelles plateau in a region where all of the three historic exploration wells drilled encountered oil shows and confirmed the presence of a working hydrocarbon system.