Ndovu and Petrom reach agreement

Aminex PLC Ndovu Resources Ltd. and Petrom SA have resolved a long-running dispute with regard to the costs of the Nyuni-1 well offshore Tanzania, drilled in late 2003/early 2004.

Aminex PLC Ndovu Resources Ltd. and Petrom SA have resolved a long-running dispute with regard to the costs of the Nyuni-1 well offshore Tanzania, drilled in late 2003/early 2004.

The dispute, announced June 16, 2004, has been formally resolved. Under the terms of a formal settlement agreement:
• Petrom will pay Ndovu $3,400,000 for past costs due for the Nyuni-1 well
• Petrom will pay Ndovu $1,275,000 in settlement of all its other obligations as a joint-venture partner in the Nyuni project.
• Petrom will have no further rights, obligations, or claims under the Nyuni farm-in and Nyuni joint operating agreements
• Ndovu is providing an option expiring on June 30, 2006, for Petrom to rejoin the Nyuni project as a full, paying joint-venture partner
• Ndovu is withdrawing all legal claims against Petrom in the English High Court.

Nyuni lies offshore Tanzania's Rufiji River delta and was acquired by Aminex through the acquisition of Tanzoil NL in February 2002. Nyuni-1 was drilled to a depth of 3,895 m and was the first offshore exploration well in Tanzania for many years. The well logged hydrocarbon saturations in Lower Cretaceous and Jurassic formations, encountered numerous oil and gas shows throughout a thick sandstone sequence, and established the presence of oil from a Jurassic source in the region for the first time.

Petrom is the former state oil company of Romania and listed on the Bucharest Stock Exchange. Following recent privatization, Petrom is now majority-controlled by OMV of Austria.

02/22/05

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