CALGARY -- Addax Petroleum Corp. has signed a Production Sharing Contract with the Republic of Cameroon for the Iroko exploration license area. Under the PSC, Addax Petroleum acquires a 100% interest in the Iroko license area and is the operator. The Société Nationale des Hydrocarbures, the national oil company of Cameroon, holds a back-in right of 30% in case of a development.
"I am delighted that Addax Petroleum has been awarded this promising exploration acreage by the Republic of Cameroon, situated in the prolific Rio del Rey basin where the overwhelming majority of Cameroon's production is located," says Jean Claude Gandur, president and CEO of Addax. "We are presently drilling our first exploration wells on the Ngosso license area and later in 2008 we plan to drill on Iroko."