----

|                                                                                    |
|------------------------------------------------------------------------------------|
|                                                                                    |  |  |
|                                                                               | Page |  |
|                                                                               |   |
| CURRENCY AND EXCHANGE RATES                                                        | 2 |  |
| ABBREVIATIONS                                                                      | 2 |  |
| CONVERSIONS                                                                        | 3 |  |
| FORWARD-LOOKING STATEMENTS                                                         | 3 |  |
| ADDITIONAL MEASURES                                                                | 4 |  |
| CERTAIN DEFINITIONS                                                                | 5 |  |
| TRANSGLOBE ENERGY CORPORATION                                                      | 7 |  |
| GENERAL DEVELOPMENT OF THE BUSINESS                                                | 8 |  |
| DESCRIPTION OF THE BUSINESS AND PRINCIPAL PROPERTIES                               | 9 |  |
| STATEMENT OF RESERVES DATA AND OTHER OIL AND GAS INFORMATION                       | 14 |  |
| DIVIDEND POLICY                                                                    | 31 |  |
| DESCRIPTION OF CAPITAL STRUCTURE                                                   | 31 |  |
| MARKET FOR SECURITIES                                                              | 35 |  |
| PRIOR SALES                                                                        | 36 |  |
| ESCROWED SECURITIES AND SECURITIES SUBJECT TO CONTRACTUAL RESTRICTIONS ON TRANSFER | 37 |  |
| DIRECTORS AND OFFICERS                                                             | 37 |  |
| INTERESTS OF EXPERTS                                                               | 39 |  |
| LEGAL PROCEEDINGS AND REGULATORY ACTIONS                                           | 39 |  |
| INTERESTS OF MANAGEMENT AND OTHERS IN MATERIAL TRANSACTIONS                        | 40 |  |
| TRANSFER AGENT AND REGISTRAR                                                       | 40 |  |
| MATERIAL CONTRACTS                                                                 | 40 |  |
| AUDIT COMMITTEE INFORMATION                                                        | 40 |  |
| RISK FACTORS                                                                       | 42 |  |
| ADDITIONAL INFORMATION                                                             | 51 |  |

|              |
|--------------|
|              |  |
| SCHEDULE "A" | Report on Reserves Data by Independent Qualified Reserves Evaluator or Auditor |
| SCHEDULE "B" | Report of Management and Directors on Oil and Gas Disclosure |
| SCHEDULE "C" | Charter of Audit Committee |

----

|                |
|----------------|
|                |  |  |  |
|           | Year Ended December 31, 2014 | Year Ended December 31, 2013 | Year Ended December 31, 2012 |
| End of Period  | Cdn$1.1601 | Cdn$1.0636 | Cdn$0.9949 |
| Period Average | Cdn$1.1048 | Cdn$1.0299 | Cdn$0.9996 |

|                             |
|-----------------------------|
|                             |  |  |  |  |
| Oil and Natural Gas Liquids |   | Natural Gas |   |
|                        |   |   |   |   |
| Bbl                         | Barrel |   | Mcf | thousand cubic feet |
| Bbls                        | Barrels |   | MMcf | million cubic feet |
| Mbbls                       | thousand barrels |   | Mcf/d | thousand cubic feet per day |
| MMbbls                      | million barrels |   | MMcf/d | million cubic feet per day |
| Mstb                        | 1,000 stock tank barrels |   | MMBtu | million British Thermal Units |
| Bbls/d                      | barrels per day |   | Bcf | billion cubic feet |
| Bopd or bopd                | barrels of oil per day |   | Tcf | trillion cubic feet |
| Mbopd                       | thousand barrels of oil per day |   | GJ | gigajoule |
| NGLs                        | natural gas liquids |   |   |   |
| STB                         | stock tank barrels |   |   |   |
|                        |   |   |   |   |
| Other                       |   |   |   |   |
|                        |   |   |   |   |
| km2                         | square kilometres |
| m3                          | cubic metres |
| $M                          | thousands of dollars |
| $MM                         | millions of dollars |
| Brent                       | Brent Crude Oil |
| WTI                         | West Texas Intermediate, the reference price paid in U.S. dollars at Cushing, Oklahoma for crude oil of standard grade |
| psi                         | pounds per square inch |

----

|                 |
|-----------------|
|                 |  |  |
| To Convert From | To | Multiply By |
| Mcf             | cubic metres | 0.28174 |
| cubic metres    | cubic feet | 35.494 |
| Bbls            | cubic metres | 0.159 |
| cubic metres    | Bbls oil | 6.293 |
| feet            | metres | 0.305 |
| metres          | feet | 3.281 |
| miles           | kilometres | 1.609 |
| kilometres      | miles | 0.621 |
| acres           | hectares | 0.405 |
| hectares        | acres | 2.471 |
| gigajoules      | MMBtu | 0.950 |

|         |                                                                  |
|---------|------------------------------------------------------------------|
| • | the performance characteristics of the Company's oil properties; |

|         |                        |
|---------|------------------------|
| • | oil production levels; |

|         |                               |
|---------|-------------------------------|
| • | the quantity of oil reserves; |

|         |                               |
|---------|-------------------------------|
| • | capital expenditure programs; |

|         |                                                 |
|---------|-------------------------------------------------|
| • | supply and demand for oil and commodity prices; |

|         |                 |
|---------|-----------------|
| • | drilling plans; |

|         |                                                                                                                                                    |
|---------|----------------------------------------------------------------------------------------------------------------------------------------------------|
| • | expectations regarding the Company's ability to raise capital and to continually add to reserves though acquisitions, exploration and development; |

|         |                                           |
|---------|-------------------------------------------|
| • | estimated funds from operations for 2015; |

|         |                                                          |
|---------|----------------------------------------------------------|
| • | estimated timing of development of undeveloped reserves; |

|         |                                           |
|---------|-------------------------------------------|
| • | future abandonment and reclamation costs; |

|         |                                          |
|---------|------------------------------------------|
| • | anticipated average production for 2015; |

|         |                                                                        |
|---------|------------------------------------------------------------------------|
| • | expected exploration and development spending and the funding thereof; |

|         |                                                               |
|---------|---------------------------------------------------------------|
| • | treatment under governmental regulatory regimes and tax laws; |

|         |                                                                           |
|---------|---------------------------------------------------------------------------|
| • | realization of the anticipated benefits of acquisitions and dispositions; |

|         |              |
|---------|--------------|
| • | tax horizon; |

|         |                                                                                                                                        |
|---------|----------------------------------------------------------------------------------------------------------------------------------------|
| • | adverse technical factors associated with exploration, development, production, transportation or marketing of crude oil reserves; and |

|         |                                                                                               |
|---------|-----------------------------------------------------------------------------------------------|
| • | changes or disruptions in the political or fiscal regimes in the Company's areas of activity. |

----

|         |                                                                             |
|---------|-----------------------------------------------------------------------------|
| • | unforeseen changes in the rate of production from the Company's oil fields; |

|         |                                                                                               |
|---------|-----------------------------------------------------------------------------------------------|
| • | changes or disruptions in the political or fiscal regimes in the Company's areas of activity; |

|         |                                    |
|---------|------------------------------------|
| • | changes in the price of crude oil; |

|         |                                                                                      |
|---------|--------------------------------------------------------------------------------------|
| • | exposure to third party credit risk due to the significant receivable due from EGPC; |

|         |                                                                                      |
|---------|--------------------------------------------------------------------------------------|
| • | general economic conditions in Canada, the United States, Egypt, Yemen and globally; |

|         |                                                                                    |
|---------|------------------------------------------------------------------------------------|
| • | general economic stability of the Company’s financial lenders and creditors; |

|         |                                                                                        |
|---------|----------------------------------------------------------------------------------------|
| • | payment of crude oil marketing contracts and associated financial hedging instruments; |

|         |                                                                                                                                                  |
|---------|--------------------------------------------------------------------------------------------------------------------------------------------------|
| • | adverse technical factors associated with exploration, development, production, transportation or marketing of the Company's crude oil reserves; |

|         |                                                                     |
|---------|---------------------------------------------------------------------|
| • | changes in Egypt or Yemen tax, energy or other laws or regulations; |

|         |                                                                                 |
|---------|---------------------------------------------------------------------------------|
| • | geopolitical risks associated with the Company's operations in Egypt and Yemen; |

|         |                                              |
|---------|----------------------------------------------|
| • | changes in significant capital expenditures; |

|         |                                                                                                           |
|---------|-----------------------------------------------------------------------------------------------------------|
| • | delays in production starting up due to an industry shortage of skilled manpower, equipment or materials; |

|         |                        |
|---------|------------------------|
| • | the cost of inflation; |

|         |                                                                  |
|---------|------------------------------------------------------------------|
| • | the performance characteristics of the Company's oil properties; |

|         |                        |
|---------|------------------------|
| • | oil production levels; |

|         |                               |
|---------|-------------------------------|
| • | the quantity of oil reserves; |

|         |                               |
|---------|-------------------------------|
| • | capital expenditure programs; |

|         |                                                 |
|---------|-------------------------------------------------|
| • | supply and demand for oil and commodity prices; |

|         |                 |
|---------|-----------------|
| • | drilling plans; |

|         |                                                                                                                                                     |
|---------|-----------------------------------------------------------------------------------------------------------------------------------------------------|
| • | expectations regarding the Company's ability to raise capital and to continually add to reserves through acquisitions, exploration and development; |

|         |                                                               |
|---------|---------------------------------------------------------------|
| • | treatment under governmental regulatory regimes and tax laws; |

|         |                                                                           |
|---------|---------------------------------------------------------------------------|
| • | realization of the anticipated benefits of acquisitions and dispositions; |

|         |                                                                  |
|---------|------------------------------------------------------------------|
| • | industry conditions, including fluctuations in the price of oil; |

|         |                                                                                          |
|---------|------------------------------------------------------------------------------------------|
| • | governmental regulation of the oil and gas industry, including environmental regulation; |

|         |                                                    |
|---------|----------------------------------------------------|
| • | fluctuation in foreign exchange or interest rates; |

|         |                                                   |
|---------|---------------------------------------------------|
| • | risks inherent in oil and natural gas operations; |

|         |                                                          |
|---------|----------------------------------------------------------|
| • | geological, technical, drilling and processing problems; |

|         |                                                                                                          |
|---------|----------------------------------------------------------------------------------------------------------|
| • | unanticipated operating events which can reduce production or cause production to be shut-in or delayed; |

|         |                                                                                                 |
|---------|-------------------------------------------------------------------------------------------------|
| • | failure to obtain industry partner and other third-party consents and approvals, when required; |

|         |                                                |
|---------|------------------------------------------------|
| • | stock market volatility and market valuations; |

|         |                                                                                                                 |
|---------|-----------------------------------------------------------------------------------------------------------------|
| • | competition for, among other things, capital, acquisitions of reserves, undeveloped land and skilled personnel; |

|         |                                                     |
|---------|-----------------------------------------------------|
| • | incorrect assessments of the value of acquisitions; |

|         |                                                                        |
|---------|------------------------------------------------------------------------|
| • | the need to obtain required approvals from regulatory authorities; and |

|         |                                                                                    |
|---------|------------------------------------------------------------------------------------|
| • | the other factors considered under "Risk Factors" in this Annual Information Form. |

----

|                                                                                                                                                                                                                                                                                                                                                     |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                                                                                                                                                     |  |  |  |  |  |  |
| ($000s)                                                                                                                                                                                                                                                                                                                                             |   | 2014 |  |   | 2013 |  |
| Cash flow from operating activities                                                                                                                                                                                                                                                                                                                 |   | 146,977 |  |   | 199,508 |  |
| Changes in non-cash working capital                                                                                                                                                                                                                                                                                                                 |   | (26,488 | ) |   | (60,390 | ) |
| Funds flow from operations*                                                                                                                                                                                                                                                                                                                         |   | 120,489 |  |   | 139,118 |  |
| *  Funds flow from operations does not include interest or financing costs.  Interest expense is included in financing costs on the Company's Consolidated Statements of Earnings and     Comprehensive Income.  Cash interest paid is reported as a financing activity on the Company's Consolidated Statements of Cash Flows. |

|     |                                                                                                                                                                                                                                                                       |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (a) | in relation to the Company's interest in production and reserves, its "Company gross reserves", which are the Company's working interest (operating and non-operating) share before deduction of royalties and without including any royalty interest of the Company; |

|     |                                                                                           |
|-----|-------------------------------------------------------------------------------------------|
| (b) | in relation to wells, the total number of wells in which the Company has an interest; and |

|     |                                                                                               |
|-----|-----------------------------------------------------------------------------------------------|
| (c) | in relation to properties, the total area of properties in which the Company has an interest; |

----

|     |                                                                                                                                                                                                                                             |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (a) | in relation to the Company's interest in production and reserves, the Company's working interest (operating and non-operating) share after deduction of royalty obligations, plus the Company's royalty interest in production or reserves; |

|     |                                                                                                                                                            |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (b) | in relation to the Company's interest in wells, the number of wells obtained by aggregating the Company's working interest in each of its gross wells; and |

|     |                                                                                                                                                                   |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (c) | in relation to the Company's interest in a property, the total area in which the Company has an interest multiplied by the working interest owned by the Company; |

----

|                                                                                                                                                                                                                        |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                        |  |  |
| Name of Subsidiary                                                                                                                                                                                                     | Jurisdiction of Incorporation | Ownership |
| TransGlobe Petroleum International Inc.                                                                                                                                                                                | Turks & Caicos Islands, B.W.I. | 100% |
| TransGlobe West Gharib Inc.(1)                                                                                                                                                                                         | Turks & Caicos Islands, B.W.I. | 100% |
| TG West Yemen Inc. (1)                                                                                                                                                                                                 | Turks & Caicos Islands, B.W.I. | 100% |
| TG Holdings Yemen Inc.(1)                                                                                                                                                                                              | Turks & Caicos Islands, B.W.I. | 100% |
| TransGlobe Petroleum Egypt Inc.(1)                                                                                                                                                                                     | Turks & Caicos Islands, B.W.I. | 100% |
| TransGlobe GOS Inc.(1)                                                                                                                                                                                                 | Turks & Caicos Islands, B.W.I. | 100% |
| TG South Alamein II Inc. (1)                                                                                                                                                                                           | Turks & Caicos Islands, B.W.I. | 100% |
| TransGlobe West Bakr Inc. (1)                                                                                                                                                                                          | Turks & Caicos Islands, B.W.I. | 100% |
| TG Holdings Egypt Inc. (1)                                                                                                                                                                                             | Turks & Caicos Islands, B.W.I. | 100% |
| TG South Alamein Inc. (2)                                                                                                                                                                                              | Turks & Caicos Islands, B.W.I. | 100% |
| TG South Mariut Inc. (2)                                                                                                                                                                                               | Turks & Caicos Islands, B.W.I. | 100% |
| TG NW Gharib Inc. (1)                                                                                                                                                                                                  | Turks & Caicos Islands, B.W.I. | 100% |
| TG SW Gharib Inc. (1)                                                                                                                                                                                                  | Turks & Caicos Islands, B.W.I. | 100% |
| TG SE Gharib Inc. (1)                                                                                                                                                                                                  | Turks & Caicos Islands, B.W.I. | 100% |
| TG S Ghazalat Inc. (1)                                                                                                                                                                                                 | Turks & Caicos Islands, B.W.I. | 100% |
| TG Energy Marketing Inc. (1)                                                                                                                                                                                           | Turks & Caicos Islands, B.W.I. | 100% |
| Note:                                                                                                                                                                                                                  |   |   |
| (1)  These companies are 100% owned directly by TransGlobe Petroleum International Inc., which company is a wholly-owned subsidiary of the Company.                                                          |
| (2)  These companies are 100% owned directly by TG Holdings Egypt Inc., which company is wholly-owned by TransGlobe Petroleum International Inc., which company is a wholly-owned subsidiary of the Company. |

----

----

----

|                      |
|----------------------|
|                      |  |  |  |  |  |  |  |  |  |  |
| EASTERN DESERT EGYPT |
| Block                |   | West Gharib |   | West Bakr |   | NW Gharib |   | SE Gharib |   | SW Gharib |
| Basin                |   | Gulf of Suez |   | Gulf of Suez |   | Gulf of Suez |   | Gulf of Suez |   | Gulf of Suez |
| Year acquired        |   | 2007 |   | 2011 |   | 2013 |   | 2013 |   | 2013 |
| Status               |   | Development |   | Development |   | Exploration |   | Exploration |   | Exploration |
| Operator             |   | TransGlobe |   | TransGlobe |   | TransGlobe |   | TransGlobe |   | TransGlobe |
| TransGlobe WI (%)    |   | 100% |   | 100% |   | 100% |   | 100% |   | 100% |
| Block Area (acres)   |   | 24,035 |   | 11,600 |   | 148,300 |   | 125,000 |   | 48,000 |
| Expiry date          |   | 2019-2026 |   | 2020 |   | November 2016 |   | November 2016 |   | November 2016 |
| Extensions           |   |   |   |   |   |   |   |   |   |   |
| Exploration          |   | N/A |   | N/A |   | 2 + 2 years |   | 2 + 2 years |   | 2 + 2 years |
| Development          |   | + 5 years |   | + 5 years |   | 20 + 5 years |   | 20 + 5 years |   | 20 + 5 years |

|                                                                                                                                                                                                     |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                     |  |  |  |  |  |  |  |  |
| WESTERN DESERT EGYPT                                                                                                                                                                                |
| Block                                                                                                                                                                                               |   | East Ghazalat |   | South Alamein |   | South Ghazalat |   | NW Sitra |
| Basin                                                                                                                                                                                               |   | Western Desert |   | Western Desert |   | Western Desert |   | Western Desert |
| Year acquired                                                                                                                                                                                       |   | 2010 |   | 2012 |   | 2013 |   | 2015 |
| Status                                                                                                                                                                                              |   | Development |   | Exploration |   | Exploration |   | Exploration |
| Operator                                                                                                                                                                                            |   | North Petroleum |   | TransGlobe |   | TransGlobe |   | TransGlobe |
| TransGlobe WI (%)                                                                                                                                                                                   |   | 50% |   | 100% |   | 100% |   | 100% |
| Block Area (acres)                                                                                                                                                                                  |   | 14,698 |   | 197,000 |   | 465,299 |   | 480,850 |
| Expiry date                                                                                                                                                                                         |   | 2031 - 2034 |   | April 2014 * |   | November 2016 |   | July 2018 |
| Extensions                                                                                                                                                                                          |   |   |   |   |   |   |   |   |
| Exploration                                                                                                                                                                                         |   | N/A |   | N/A |   | 2 + 2 years |   | 3.5 years |
|                                                                                                                                                                                                |   |   |   |   |   |   |   |   |
| Development                                                                                                                                                                                         |   | + 5 years |   | 20 + 5 years |   | 20 + 5 years |   | 20 + 5 years |
| * The expiry date of the Boraq area of South Alamein has been suspended pending military approvals for access.  When access is granted, the Company will have approximately 20 months until expiry. |

----

----

|                                                                                                                                                                                                                                                                                  |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                                                                                  |  |  |  |  |  |  |  |  |
| YEMEN                                                                                                                                                                                                                                                                            |
| Block                                                                                                                                                                                                                                                                            |   | 32* |   | 72* |   | S-1 |   | 75 |
| Basin                                                                                                                                                                                                                                                                            |   | Masila |   | Masila |   | Marib |   | Marib |
| Year acquired                                                                                                                                                                                                                                                                    |   | 1997 |   | 2004/2005 |   | 1998 |   | 2007 |
| Status                                                                                                                                                                                                                                                                           |   | Development |   | Exploration |   | Development |   | Exploration |
| Operator                                                                                                                                                                                                                                                                         |   | DNO |   | Total |   | OXY |   | OXY |
| TransGlobe WI (%)                                                                                                                                                                                                                                                                |   | 13.81087% |   | 20% |   | 25% |   | 25% |
| Block Area (acres)                                                                                                                                                                                                                                                               |   | 146,000 |   | 450,000 |   | 285,000 |   | 263,000 |
| Expiry date                                                                                                                                                                                                                                                                      |   | Nov 2020 |   | 2014 |   | Oct 2023 |   | March 2015 |
| Extensions                                                                                                                                                                                                                                                                       |   |   |   |   |   |   |   |   |
| Exploration                                                                                                                                                                                                                                                                      |   | N/A |   | N/A |   | N/A |   | 2nd Phase |
|                                                                                                                                                                                                                                                                             |   |   |   |   |   |   |   | 36 months |
| Development                                                                                                                                                                                                                                                                      |   | + 5 years |   | 20 + 5 years |   | + 5 years |   | 20 + 5 years |
| * In January 2015, the Company relinquished its interests in Block 32 (13.81% working interest) and 72 (20% working interest) in Yemen (effective March 31, 2015 and February 28, 2015, respectively) due to ongoing political and tribal turmoil in the vicinity of the blocks. |

----

|                              |
|------------------------------|
|                              |  |  |  |  |  |  |  |  |  |  |
|  EASTERN DESERT - EGYPT |
| Block                        |   | West Gharib |   | West Bakr |   | NW Gharib |   | SE Gharib |   | SW Gharib |
| Production Tranche (MBopd)   |   | 0-5 / 5-10 |   | 0-50 |   | 0-5 / 5-10 |   | 0-5 / 5-10 |   | 0-5 / 5-10 |
|                         |   | 10-15 |   |   |   | >10 |   | >10 |   | >10 |
| Max. cost oil                |   | 30% |   | 30% |   | 25% |   | 25% |   | 25% |
| Excess cost oil              |   |   |   |   |   |   |   |   |   |   |
| Contractor                   |   | 30% |   | 0% |   | 5% |   | 5% |   | 5% |
| Depreciation per quarter     |   |   |   |   |   |   |   |   |   |   |
|    Operating       |   | 100% |   | 100% |   | 100% |   | 100% |   | 100% |
|    Capital         |   | 6.25% |   | 5% |   | 5% |   | 5% |   | 5% |
| Production Sharing Oil:      |   |   |   |   |   |   |   |   |   |   |
| Contractor                   |   | 30% / 27.5% |   | 15% |   | 15.0% / 14.5% |   | 15.0% / 14.5% |   | 15.0% / 14.5% |
|                         |   | 25% |   |   |   | 14.0% |   | 14% |   | 14.0% |
|  Government             |   | 70% / 72.5% |   | 85% |   | 85% / 85.5% |   | 85% / 85.5% |   | 85% / 85.5% |
|                         |   | 75% |   |   |   | 86% |   | 86% |   | 86% |

|                            |
|----------------------------|
|                            |  |  |  |  |  |  |  |  |
| WESTERN DESERT EGYPT       |   |   |   |   |   |   |   |   |
| Block                      |   | East Ghazalat |   | South Alamein |   | S Ghazalat |   | NW Sitra |
| Production Tranche (MBopd) |   | 0-5 |   | 0-5 |   | 0-5 |   | 0-5 |
|                       |   |   |   |   |   |   |   |   |
| Max. cost oil              |   | 25% |   | 30% |   | 25% |   | 28% |
| Excess cost oil            |   |   |   |   |   |   |   |   |
| Contractor                 |   | 0% |   | 0% |   | 5% |   | 10% |
| Depreciation per quarter   |   |   |   |   |   |   |   |   |
|    Operating     |   | 100% |   | 100% |   | 100% |   | 100% |
|    Capital       |   | 5% |   | 5% |   | 5% |   | 5% |
| Production Sharing Oil:    |   |   |   |   |   |   |   |   |
| Contractor                 |   | 20% |   | 14% |   | 17% |   | 24% |
|                       |   |   |   |   |   |   |   |   |
| Government                 |   | 80% |   | 86% |   | 83% |   | 76% |
|                       |   |   |   |   |   |   |   |   |

----

|                                                                                                                                                                                                                                                                                  |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                                                                                  |  |  |  |  |  |  |  |  |
| YEMEN                                                                                                                                                                                                                                                                            |
| Block                                                                                                                                                                                                                                                                            |   | 32* |   | 72* |   | S-1 |   | 75 |
| Production Tranche (MBopd)                                                                                                                                                                                                                                                       |   | 0-25 |   | 0-25 |   | 0-25 |   | 0-25 |
| Gross royalty                                                                                                                                                                                                                                                                    |   | 3% |   | 3% |   | 3% |   | 3% |
|                                                                                                                                                                                                                                                                             |   |   |   |   |   |   |   |   |
| Max. cost oil                                                                                                                                                                                                                                                                    |   | 60% |   | 50% |   | 50% |   | 50% |
|                                                                                                                                                                                                                                                                             |   |   |   |   |   |   |   |   |
| Excess cost oil                                                                                                                                                                                                                                                                  |   | Prod. Sharing |   | Prod. Sharing |   | Prod. Sharing |   | Prod. Sharing |
| Depreciation per quarter                                                                                                                                                                                                                                                         |   |   |   |   |   |   |   |   |
| Operating                                                                                                                                                                                                                                                                        |   | 100% |   | 100% |   | 100% |   | 100% |
| Capital                                                                                                                                                                                                                                                                          |   | 12.5% |   | 12.5% |   | 12.5% |   | 12.5% |
| Production Sharing Oil:                                                                                                                                                                                                                                                          |   |   |   |   |   |   |   |   |
| Contractor                                                                                                                                                                                                                                                                       |   | 33.25% |   | 32.4% |   | 34.2% |   | 34.2% |
|                                                                                                                                                                                                                                                                             |   |   |   |   |   |   |   |   |
| Government                                                                                                                                                                                                                                                                       |   | 66.75% |   | 67.6% |   | 65.8% |   | 65.8% |
|                                                                                                                                                                                                                                                                             |   |   |   |   |   |   |   |   |
| * In January 2015, the Company relinquished its interests in Block 32 (13.81% working interest) and 72 (20% working interest) in Yemen (effective March 31, 2015 and February 28, 2015, respectively) due to ongoing political and tribal turmoil in the vicinity of the blocks. |

|         |                                                                                          |
|---------|------------------------------------------------------------------------------------------|
| • | Production is expected to average 14,500 Bopd in Q1-2015 and 13,300 Bopd in Q2-2015; and |

|         |                                                                                                                                         |
|---------|-----------------------------------------------------------------------------------------------------------------------------------------|
| • | Exploration and development spending is budgeted to be $37.5 million, to be funded from funds flow from operations and working capital. |

----

----

|                                 |
|---------------------------------|
|                                 |
| SUMMARY OF OIL AND GAS RESERVES |
| AS OF DECEMBER 31, 2014         |
| (FORECAST PRICES AND COSTS)     |

|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   | Light & Medium |   |   |   |   |   |   |   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   | Crude Oil |   | Heavy Oil |   | Total Bbls |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   | Gross(1) |  |   | Net(2) |  |   | Gross(1) |  |   | Net(2) |  |   | Gross(1) |  |   | Net(2) |  |
| By Category                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   | (Mbbls) |  |   | (Mbbls) |  |   | (Mbbls) |  |   | (Mbbls) |  |   | (Mbbls) |  |   | (Mbbls) |  |
| Proved                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |   |   |   |   |   |   |   |   |   |   |   |   |
| Developed producing                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |   | 3,447 |  |   | 2,185 |  |   | 12,851 |  |   | 7,314 |  |   | 16,298 |  |   | 9,499 |  |
| Developed non-producing                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   | 213 |  |   | 140 |  |   | 883 |  |   | 497 |  |   | 1,096 |  |   | 637 |  |
| Undeveloped                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   | 260 |  |   | 170 |  |   | 4,484 |  |   | 2,043 |  |   | 4,744 |  |   | 2,213 |  |
| Total Proved                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   | 3,920 |  |   | 2,495 |  |   | 18,218 |  |   | 9,854 |  |   | 22,138 |  |   | 12,349 |  |
| Probable                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |   | 2,314 |  |   | 1,371 |  |   | 9,029 |  |   | 4,246 |  |   | 11,343 |  |   | 5,617 |  |
| Proved+Probable                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   | 6,234 |  |   | 3,866 |  |   | 27,247 |  |   | 14,100 |  |   | 33,481 |  |   | 17,966 |  |
| Possible                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |   | 1,357 |  |   | 729 |  |   | 8,504 |  |   | 3,723 |  |   | 9,861 |  |   | 4,452 |  |
| Proved+Probable+ Possible                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |   | 7,591 |  |   | 4,595 |  |   | 35,751 |  |   | 17,823 |  |   | 43,342 |  |   | 22,418 |  |
| Notes:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
| 1)   Gross reserves are the Company's working interest share before the deduction of royalties.                                                                                                                                                                                                                                                                                                                                                                                                        |
| 2)  Net reserves are the Company's working interest share after the deduction of royalties.  Net reserves in Egypt include the Company's share of future cost recovery and production sharing oil after the Government's royalty interest but before reserves relating to income taxes payable.  Under this method, a portion of the reported reserves will increase as oil prices decrease (and vice versa) as the barrels necessary to achieve cost recovery change with prevailing oil prices. |

|                                           |
|-------------------------------------------|
|                                           |
| NET PRESENT VALUES OF FUTURE NET REVENUES |
| AS OF DECEMBER 31, 2014                   |
| (FORECAST PRICES & COSTS)             |

|                                                                                                                                                                                |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | Unit value |
|                                                                                                                                                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | Before Tax(1) |
|                                                                                                                                                                           |   | Before Income Tax(1) |   | After Income Tax(1) |   | (discounted at |
| US$                                                                                                                                                                            |   | Discounted at %/yr |   | Discounted at %/yr |   | 10% / year) |
| $MM                                                                                                                                                                            |   | 0% |  |   | 5% |  |   | 10% |  |   | 15% |  |   | 20% |  |   | 0% |  |   | 5% |  |   | 10% |  |   | 15% |  |   | 20% |  |   | ($/Bbl) |
| Proved                                                                                                                                                                         |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Developed producing                                                                                                                                                            |   | 268.8 |  |   | 233.7 |  |   | 207.2 |  |   | 186.6 |  |   | 170.1 |  |   | 268.8 |  |   | 233.7 |  |   | 207.2 |  |   | 186.6 |  |   | 170.1 |  |   | 21.81 |
| Developed non-producing                                                                                                                                                        |   | 26.3 |  |   | 20.6 |  |   | 16.5 |  |   | 13.6 |  |   | 11.5 |  |   | 26.3 |  |   | 20.6 |  |   | 16.5 |  |   | 13.6 |  |   | 11.5 |  |   | 25.90 |
| Undeveloped                                                                                                                                                                    |   | 47.1 |  |   | 37.8 |  |   | 30.9 |  |   | 25.6 |  |   | 21.6 |  |   | 47.1 |  |   | 37.8 |  |   | 30.9 |  |   | 25.6 |  |   | 21.6 |  |   | 13.96 |
| Total Proved                                                                                                                                                                   |   | 342.3 |  |   | 292.0 |  |   | 254.6 |  |   | 225.8 |  |   | 203.2 |  |   | 342.3 |  |   | 292.0 |  |   | 254.6 |  |   | 225.8 |  |   | 203.2 |  |   | 20.62 |
| Probable                                                                                                                                                                       |   | 160.8 |  |   | 117.9 |  |   | 89.7 |  |   | 70.5 |  |   | 56.9 |  |   | 160.8 |  |   | 117.9 |  |   | 89.7 |  |   | 70.5 |  |   | 56.9 |  |   | 15.97 |
| Total Proved+Probable                                                                                                                                                          |   | 503.1 |  |   | 409.9 |  |   | 344.3 |  |   | 296.3 |  |   | 260.1 |  |   | 503.1 |  |   | 409.9 |  |   | 344.3 |  |   | 296.3 |  |   | 260.1 |  |   | 19.16 |
| Possible                                                                                                                                                                       |   | 149.4 |  |   | 102.5 |  |   | 74.8 |  |   | 57.3 |  |   | 45.7 |  |   | 149.4 |  |   | 102.5 |  |   | 74.8 |  |   | 57.3 |  |   | 45.7 |  |   | 16.80 |
| Total Proved+Probable +Possible                                                                                                                                           |   | 652.5 |  |   | 512.4 |  |   | 419.1 |  |   | 353.6 |  |   | 305.8 |  |   | 652.5 |  |   | 512.4 |  |   | 419.1 |  |   | 353.6 |  |   | 305.8 |  |   | 18.69 |
| Note:                                                                                                                                                                          |   |   |
| 1) In Egypt, under the terms of the PSCs, income tax is current and assessed on all production sharing oil; therefore all Egypt future net revenues are after income tax. |

----

|                             |
|-----------------------------|
|                             |
| TOTAL FUTURE NET REVENUES   |
| (UNDISCOUNTED)              |
| AS OF DECEMBER 31, 2014     |
| (FORECAST PRICES AND COSTS) |

|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |   |  |   |   |  |   |   |  |   |   |  |   |   |   | Future Net |  |   |   |  |   | Future Net |  |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |   |  |   |   |  |   |   |  |   |   |  |   | Abandonment |  |   | Revenue |  |   |   |  |   | Revenue |  |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |   |  |   |   |  |   |   |  |   |   |  |   | and |  |   | Before |  |   |   |  |   | After |  |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |   |  |   |   |  |   | Operating |  |   | Development |  |   | Reclamation |  |   | Income |  |   | Income |  |   | Income |  |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   | Revenue |  |   | Royalties |  |   | Costs(1) |  |   | Costs |  |   | Costs(2) |  |   | Taxes(1) |  |   | Taxes(1) |  |   | Taxes(1) |  |
| Reserves Category                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   | (US$MM) |  |   | (US$MM) |  |   | (US$MM) |  |   | (US$MM) |  |   | (US$MM) |  |   | (US$MM) |  |   | (US$MM) |  |   | (US$MM) |  |
| Proved Reserves                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |   | 894.2 |  |   | 173.8 |  |   | 350.4 |  |   | 27.7 |  |   | — |  |   | 342.3 |  |   | — |  |   | 342.3 |  |
| Proved+Probable Reserves                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |   | 1,353.8 |  |   | 269.2 |  |   | 521.4 |  |   | 60.1 |  |   | — |  |   | 503.1 |  |   | — |  |   | 503.1 |  |
| Proved+Probable                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Possible Reserves                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   | 1,730.9 |  |   | 357.2 |  |   | 643.2 |  |   | 78.1 |  |   | — |  |   | 652.5 |  |   | — |  |   | 652.5 |  |
| Notes:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
| 1)   In Egypt, under the terms of the PSCs, income tax is current and assessed on all production sharing oil; therefore all Egypt future net revenues are after income tax. Income taxes payable in Egypt have been recorded as Operating Costs for reporting purposes.                                                                                                                                                                                                           |
| 2)   Please see "Additional Information Concerning Abandonment and Reclamation Costs" below.                                                                                                                                                                                                                                                                                                                                                                                      |
| 3)   Values are calculated by considering existing tax pools for the Company in the evaluation of the Company's properties and take into account current federal tax regulations. Values do not represent an estimate of the value at the business entity level, which may be significantly different. For information at the business entity level, please see the Company's financial statements and management's discussion and analysis for the year ended December 31, 2014. |

|                                          |
|------------------------------------------|
|                                          |
| NET PRESENT VALUE OF FUTURE NET REVENUES |
| BY PRODUCTION GROUP                      |
| AS OF DECEMBER 31, 2014                  |
| (FORECAST PRICES AND COSTS)              |

|                                                                                                                                                                             |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                             |  |  |  |  |  |  |  |  |
|                                                                                                                                                                        |   |   |   |   |   |   |
|                                                                                                                                                                        |   |   |   | Future net |  |   |   |
|                                                                                                                                                                        |   |   |   | Revenue |  |   | Unit Value |  |
|                                                                                                                                                                        |   |   |   | Before Taxes(1) |  |   | Before Tax(1) |  |
|                                                                                                                                                                        |   |   |   | (discounted |  |   | (discounted |  |
|                                                                                                                                                                        |   |   |   | at |  |   | at |  |
|                                                                                                                                                                        |   |   |   | 10%/year) |  |   | 10%/year) |  |
| Reserves Category                                                                                                                                                           |   | Product Group |   | (US$MM) |  |   | ($/Bbl) |  |
| Total Proved                                                                                                                                                                |   | Light and Medium Oil |   | 50.4 |  |   | 20.2 |  |
|                                                                                                                                                                        |   | Heavy Oil |   | 204.2 |  |   | 20.7 |  |
| Proved+Probable                                                                                                                                                             |   | Light and Medium Oil |   | 75.2 |  |   | 19.5 |  |
|                                                                                                                                                                        |   | Heavy Oil |   | 269.1 |  |   | 19.1 |  |
| Proved+Probable +Possible                                                                                                                                                   |   | Light and Medium Oil |   | 91.8 |  |   | 20.0 |  |
|                                                                                                                                                                        |   | Heavy Oil |   | 327.3 |  |   | 18.4 |  |
| Note:                                                                                                                                                                       |   |   |   |   |   |   |
| (1)  In Egypt, under the terms of the PSCs, income tax is current and assessed on all production sharing oil; therefore all Egypt future net revenues are after income tax. |

----

|                                 |
|---------------------------------|
|                                 |
| SUMMARY OF OIL AND GAS RESERVES |
| AS OF DECEMBER 31, 2014         |
| (CONSTANT PRICES AND COSTS)     |

|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   | Light & Medium |   |   |   |   |   |   |   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   | Crude Oil |   | Heavy Oil |   | Total Bbls |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   | Gross(1) |  |   | Net(2) |  |   | Gross(1) |  |   | Net(2) |  |   | Gross(1) |  |   | Net(2) |  |
| By Category                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   | (Mbbls) |  |   | (Mbbls) |  |   | (Mbbls) |  |   | (Mbbls) |  |   | (Mbbls) |  |   | (Mbbls) |  |
| Proved                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   |   |   |   |   |   |   |   |   |   |   |   |
| Developed producing                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   | 3,531 |  |   | 2,162 |  |   | 12,917 |  |   | 6,917 |  |   | 16,448 |  |   | 9,079 |  |
| Developed non-producing                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |   | 236 |  |   | 133 |  |   | 895 |  |   | 390 |  |   | 1,131 |  |   | 523 |  |
| Undeveloped                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   | 260 |  |   | 157 |  |   | 4,507 |  |   | 1,733 |  |   | 4,767 |  |   | 1,890 |  |
| Total Proved                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   | 4,027 |  |   | 2,452 |  |   | 18,319 |  |   | 9,040 |  |   | 22,346 |  |   | 11,492 |  |
| Probable                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   | 2,249 |  |   | 1,207 |  |   | 8,955 |  |   | 3,792 |  |   | 11,204 |  |   | 4,999 |  |
| Proved+Probable                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |   | 6,276 |  |   | 3,659 |  |   | 27,274 |  |   | 12,832 |  |   | 33,550 |  |   | 16,491 |  |
| Possible                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   | 1,315 |  |   | 682 |  |   | 8,519 |  |   | 3,509 |  |   | 9,834 |  |   | 4,191 |  |
| Proved+Probable+ Possible                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   | 7,591 |  |   | 4,341 |  |   | 35,793 |  |   | 16,341 |  |   | 43,384 |  |   | 20,682 |  |
| Notes:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   |   |   |   |   |   |   |   |   |   |   |   |
| (1)  Gross reserves are the Company's working interest share before the deduction of royalties.                                                                                                                                                                                                                                                                                                                                                                                                  |
| (2)  Net reserves are the Company's working interest share after the deduction of royalties. Net reserves in Egypt include the Company's share of future cost recovery and production sharing oil after the Government's royalty interest but before reserves relating to income taxes payable. Under this method, a portion of the reported reserves will increase as oil prices decrease (and vice versa) as the barrels necessary to achieve cost recovery change with prevailing oil prices. |

|                                           |
|-------------------------------------------|
|                                           |
| NET PRESENT VALUES OF FUTURE NET REVENUES |
| AS OF DECEMBER 31, 2014                   |
| (CONSTANT PRICES AND COSTS)               |

|                                                                                                                                                                                       |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                       |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                                                                                                                                                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | Unit value |
|                                                                                                                                                                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | Before Tax(1) |
|                                                                                                                                                                                  |   | Before Income Tax(1) |   | After Income Tax(1) |   | (discounted at |
| US$                                                                                                                                                                                   |   | Discounted at %/yr |   | Discounted at %/yr |   | 10% / year) |
| $MM                                                                                                                                                                                   |   | 0% |  |   | 5% |  |   | 10% |  |   | 15% |  |   | 20% |  |   | 0% |  |   | 5% |  |   | 10% |  |   | 15% |  |   | 20% |  |   | ($/Bbl) |
| Proved                                                                                                                                                                                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Developed producing                                                                                                                                                                   |   | 375.2 |  |   | 334.7 |  |   | 303.9 |  |   | 279.8 |  |   | 260.3 |  |   | 375.2 |  |   | 334.7 |  |   | 303.9 |  |   | 279.8 |  |   | 260.3 |  |   | 33.47 |
| Developed non-producing                                                                                                                                                               |   | 21.2 |  |   | 17.0 |  |   | 14.1 |  |   | 12.0 |  |   | 10.4 |  |   | 21.2 |  |   | 17.0 |  |   | 14.1 |  |   | 12.0 |  |   | 10.4 |  |   | 26.96 |
| Undeveloped                                                                                                                                                                           |   | 46.8 |  |   | 37.2 |  |   | 30.3 |  |   | 25.1 |  |   | 21.1 |  |   | 46.8 |  |   | 37.2 |  |   | 30.3 |  |   | 25.1 |  |   | 21.1 |  |   | 16.03 |
| Total Proved                                                                                                                                                                          |   | 443.1 |  |   | 388.9 |  |   | 348.3 |  |   | 316.9 |  |   | 291.8 |  |   | 443.1 |  |   | 388.9 |  |   | 348.3 |  |   | 316.9 |  |   | 291.8 |  |   | 30.31 |
| Probable                                                                                                                                                                              |   | 165.0 |  |   | 122.6 |  |   | 94.7 |  |   | 75.5 |  |   | 61.8 |  |   | 165.0 |  |   | 122.6 |  |   | 94.7 |  |   | 75.5 |  |   | 61.8 |  |   | 18.94 |
| Proved+Probable                                                                                                                                                                       |   | 608.1 |  |   | 511.6 |  |   | 443.0 |  |   | 392.4 |  |   | 353.6 |  |   | 608.1 |  |   | 511.6 |  |   | 443.0 |  |   | 392.4 |  |   | 353.6 |  |   | 26.86 |
| Possible                                                                                                                                                                              |   | 158.8 |  |   | 113.0 |  |   | 85.0 |  |   | 66.7 |  |   | 54.3 |  |   | 158.8 |  |   | 113.0 |  |   | 85.0 |  |   | 66.7 |  |   | 54.3 |  |   | 20.28 |
| Proved+Probable+ Possible                                                                                                                                                        |   | 766.9 |  |   | 624.5 |  |   | 528.0 |  |   | 459.1 |  |   | 407.9 |  |   | 766.9 |  |   | 624.5 |  |   | 528.0 |  |   | 459.1 |  |   | 407.9 |  |   | 25.53 |
| Note:                                                                                                                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| (1)  In Egypt, under the terms of the PSCs, income tax is current and assessed on all production sharing oil; therefore all Egypt future net revenues are after income tax. |

----

|                             |
|-----------------------------|
|                             |
| TOTAL FUTURE NET REVENUES   |
| (UNDISCOUNTED)              |
| AS OF DECEMBER 31, 2014     |
| (CONSTANT PRICES AND COSTS) |

|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   |   |  |   |   |  |   |   |  |   |   |  |   | Well |  |   | Future Net |  |   |   |  |   | Future Net |  |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   |   |  |   |   |  |   |   |  |   |   |  |   | Abandonment |  |   | Revenue |  |   |   |  |   | Revenue |  |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   |   |  |   |   |  |   |   |  |   |   |  |   | and |  |   | Before |  |   |   |  |   | After |  |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   |   |  |   |   |  |   | Operating |  |   | Development |  |   | Reclamation |  |   | Income |  |   | Income |  |   | Income |  |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   | Revenue |  |   | Royalties |  |   | Costs(1) |  |   | Costs |  |   | Costs(2) |  |   | Taxes(1) |  |   | Taxes(1) |  |   | Taxes(1) |  |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   | (US$MM) |  |   | (US$MM) |  |   | (US$MM) |  |   | (US$MM) |  |   | (US$MM) |  |   | (US$MM)  |  |   | (US$MM) |  |   | (US$MM)   |  |
| Proved Reserves                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   | 1,017.7 |  |   | 212.8 |  |   | 334.5 |  |   | 27.2 |  |   | — |  |   | 443.1 |  |   | — |  |   | 443.1 |  |
| Proved+Probable Reserves                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   | 1,459.2 |  |   | 312.0 |  |   | 480.1 |  |   | 59.0 |  |   | — |  |   | 608.1 |  |   | — |  |   | 608.1 |  |
| Proved+Probable+Possible Reserves                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |   | 1,833.1 |  |   | 403.3 |  |   | 586.2 |  |   | 76.6 |  |   | — |  |   | 766.9 |  |   | — |  |   | 766.9 |  |
| Notes:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| (1)    In Egypt, under the terms of the PSCs, income tax is current and assessed on all production sharing oil; therefore all Egypt future net revenues are after income tax. Income taxes payable in Egypt have been recorded as operating costs for reporting purposes.                                                                                                                                                                                                          |
| (2)    Please see "Additional Information Concerning Abandonment and Reclamation Costs" below.                                                                                                                                                                                                                                                                                                                                                                                     |
| (3)    The evaluation of the Company's properties values are calculated by considering existing tax pools for the Company, and take into account current federal tax regulations. Values do  not represent an estimate of the value at the business entity level, which may be significantly different. For information at the business entity level, please see the Company's financial statements and management's discussion and analysis for the year ended December 31, 2014. |

|                                          |
|------------------------------------------|
|                                          |
| NET PRESENT VALUE OF FUTURE NET REVENUES |
| BY PRODUCTION GROUP                      |
| AS OF DECEMBER 31, 2014                  |
| (CONSTANT PRICES AND COSTS)              |

|                                                                                                                                                                                             |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                             |  |  |  |  |  |  |
|                                                                                                                                                                                        |   |   |   | Future net |   | Unit Value |
|                                                                                                                                                                                        |   |   |   | Revenue |   | Before Tax(1) |
|                                                                                                                                                                                        |   |   |   | Before Taxes(1) |   | (discounted |
|                                                                                                                                                                                        |   |   |   | (discounted at |   | at |
|                                                                                                                                                                                        |   | Product |   | 10%/year) |   | 10%/year) |
| Reserves Category                                                                                                                                                                           |   | Group |   | (US$MM) |   | ($/Bbl) |
| Total Proved                                                                                                                                                                                |   | Light and Medium Oil |   | 72.9 |   | 29.7 |
|                                                                                                                                                                                        |   | Heavy Oil |   | 275.4 |   | 30.5 |
| Proved+Probable                                                                                                                                                                             |   | Light and Medium Oil |   | 99.3 |   | 27.1 |
|                                                                                                                                                                                        |   | Heavy Oil |   | 343.7 |   | 26.8 |
| Proved+Probable +Possible                                                                                                                                                                   |   | Light and Medium Oil |   | 118.1 |   | 27.2 |
|                                                                                                                                                                                        |   | Heavy Oil |   | 409.9 |   | 25.1 |
| Note:                                                                                                                                                                                       |   |   |   |   |   |   |
| (1)   In Egypt, under the terms of the PSCs, income tax is current and assessed on all production sharing oil; therefore all Egypt future net revenues are after income tax. |

----

|        |
|--------|
|        |  |  |
| 1.     | Columns may not add due to rounding. |
|   |   |   |
| 2.     | The crude oil, NGLs and natural gas reserve estimates presented in the Reserves Data are based on the definitions and guidelines contained in the COGE Handbook. A summary of those definitions is set forth below. |
|   |   |   |
|   | "Development costs" means costs incurred to obtain access to reserves and to provide facilities for extracting, treating, gathering and storing the oil and gas from reserves. More specifically, development costs, including applicable operating costs of support equipment and facilities and other costs of development activities, are costs incurred to: |
|   |   |   |
|   | (a) | gain access to and prepare well locations for drilling, including surveying well locations for the purpose of determining specific development drilling sites, clearing ground, draining, road building, and relocating public roads, gas lines and power lines, to the extent necessary in developing the reserves; |
|   |   |   |
|   | (b) | drill and equip development wells, development-type stratigraphic test wells and service wells, including the costs of platforms and of well equipment such as casing, tubing, pumping equipment and wellhead assembly; |
|   |   |   |
|   | (c) | acquire, construct and install production facilities such as flow lines, separators, treaters, heaters, manifolds, measuring devices and production storage tanks, natural gas cycling and processing plants, and central utility and waste disposal systems; and |
|   |   |   |
|   | (d) | provide improved recovery systems. |
|   |   |   |
|   | "Exploration costs" means costs incurred in identifying areas that may warrant examination and in examining specific areas that are considered to have prospects that may contain oil and gas reserves, including costs of drilling exploratory wells and exploratory-type stratigraphic test wells. Exploration costs may be incurred both before acquiring the related property (sometimes referred to as "prospecting" costs) and after acquiring the property. Exploration costs, which include applicable operating costs of support equipment and facilities and other costs of exploration activities, are: |
|   |   |   |
|   | (a) | costs of topographical, geochemical, geological and geophysical studies, rights of access to properties to conduct those studies, and salaries and other expenses of geologists, geophysical crews and others conducting those studies (sometimes referred to as "geological and geophysical costs"); |
|   |   |   |
|   | (b) | costs of carrying and retaining unproved properties, such as delay rentals, taxes (other than income and capital taxes) on properties, legal costs for title defence, and the maintenance of land and lease records; |
|   |   |   |
|   | (c) | dry hole contributions and bottom hole contributions; |
|   |   |   |
|   | (d) | costs of drilling and equipping exploratory wells; and |
|   |   |   |
|   | (e) | costs of drilling exploratory type stratigraphic test wells. |
|   |   |   |
|   | Reserve Categories |
|   |   |
|   | Reserves are estimated remaining quantities of oil and natural gas and related substances anticipated to be recoverable from known accumulations, from a given date forward, based on: |
|   |   |   |
|   | • | analysis of drilling, geological, geophysical and engineering data; |
|   |   |   |
|   | • | the use of established technology; and |
|   |   |   |
|   | • | specified economic conditions which are generally accepted as being reasonable and shall be disclosed. |

----

|        |
|--------|
|        |  |  |  |
|   | Reserves are classified according to the degree of certainty associated with the estimates. |
|   |   |   |   |
|   | (a) | Proved reserves are those reserves that can be estimated with a high degree of certainty to be recoverable. It is likely that the actual remaining quantities recovered will exceed the estimated proved reserves. |
|   |   |   |   |
|   | (b) | Probable reserves are those additional reserves that are less certain to be recovered than proved reserves. It is equally likely that the actual remaining quantities recovered will be greater or less than the sum of the estimated proved plus probable reserves. |
|   |   |   |   |
|   | (c) | Possible reserves are those additional reserves that are even less certain to be recovered than probable reserves. It is unlikely that the actual remaining quantities recovered will be greater than the sum of the estimated proved plus probable plus possible reserves. |
|   |   |   |   |
|   |   | Other criteria that must also be met for the categorization of reserves are provided in Section 5.5.4 of the COGE Handbook. |
|   |   |
|   | Each of the reserve categories (proved, probable and possible) may be divided into developed and undeveloped categories: |
|   |   |   |   |
|   | (d) | Developed reserves are those reserves that are expected to be recovered from existing wells and installed facilities or, if facilities have not been installed, that would involve a low expenditure (for example, when compared to the cost of drilling a well) to put the reserves on production. The developed category may be subdivided into producing and non-producing. |
|   |   |   |   |
|   | (e) | Developed producing reserves are those reserves that are expected to be recovered from completion intervals open at the time of the estimate. These reserves may be currently producing or, if shut in, they must have previously been on production, and the date of resumption of production must be known with reasonable certainty. |
|   |   |   |   |
|   | (f) | Developed non-producing reserves are those reserves that either have not been on production, or have previously been on production, but are shut in, and the date of resumption of production is unknown. |
|   |   |   |   |
|   | (g) | Undeveloped reserves are those reserves expected to be recovered from known accumulations where a significant expenditure (for example, when compared to the cost of drilling a well) is required to render them capable of production. They must fully meet the requirements of the reserves classification (proved, probable, possible) to which they are assigned. |
|   |   |   |   |
|   | In multi-well pools it may be appropriate to allocate total pool reserves between the developed and undeveloped categories or to subdivide the developed reserves for the pool between developed producing and developed non-producing. This allocation should be based on the estimator's assessment as to the reserves that will be recovered from specific wells, facilities and completion intervals in the pool and their respective development and production status. |
|   |   |   |   |
|   | Levels of Certainty for Reported Reserves |
|   |   |   |   |
|   | The qualitative certainty levels referred to in the definitions above are applicable to individual reserve entities (which refers to the lowest level at which reserves calculations are performed) and to reported reserves (which refers to the highest level sum of individual entity estimates for which reserves are presented). Reported reserves should target the following levels of certainty under a specific set of economic conditions: |
|   |   |   |   |

|     |                                                                                                                              |
|-----|------------------------------------------------------------------------------------------------------------------------------|
| (i) | at least a 90 percent probability that the quantities actually recovered will equal or exceed the estimated proved reserves; |

|      |                                                                                                                                    |
|------|------------------------------------------------------------------------------------------------------------------------------------|
| (ii) | at least a 50 percent probability that the quantities actually recovered will equal or exceed the sum of the estimated proved plus |

|       |                                                                                                                                                                     |
|-------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (iii) | at least a 10 percent probability that the quantities actually recovered will equal or exceed the sum of the estimated proved plus probable plus possible reserves. |

----

|                                                                        |
|------------------------------------------------------------------------|
|                                                                        |  |  |  |  |  |  |  |  |
|                                                              |   |   |   | Brent   |   |   |   |   |
|                                                                   |   | WTI Cushing |   | Reference |   | Inflation |   | Exchange |
|                                                                   |   | Oklahoma |   | Price |   | Rates(1) % |   | Rate |
|      Year                                               |   | (US$Bbl) |   | (US$/Bbl) |   | Year |   | (Cdn$/US$) |
| 2014                                                                   |   | 95.93 |   | 102.70 |   | 2.1 |   | 0.91 |
| Forecast                                                               |   |   |   |   |   |   |   |   |
| 2015                                                                   |   | 65.00 |   | 69.00 |   | — |   | 0.85 |
| 2016                                                                   |   | 71.40 |   | 75.40 |   | 2.0 |   | 0.85 |
| 2017                                                                   |   | 78.03 |   | 82.03 |   | 2.0 |   | 0.85 |
| 2018                                                                   |   | 84.90 |   | 88.90 |   | 2.0 |   | 0.85 |
| 2019                                                                   |   | 92.01 |   | 96.01 |   | 2.0 |   | 0.85 |
| 2020                                                                   |   | 93.85 |   | 97.85 |   | 2.0 |   | 0.85 |
| 2021                                                                   |   | 95.72 |   | 99.72 |   | 2.0 |   | 0.85 |
| Thereafter                                                             |   |  +2.0%/year |   |  +2.0%/year |   |  +2.0%/year |   |  +0%/year |
| Note:                                                                  |
| (1) Inflation rates for forecasting expenditure prices and costs. |

|                                  |
|----------------------------------|
|                                  |
| RECONCILIATION OF GROSS RESERVES |
| BY PRODUCT TYPE                  |
| COMPANY                          |
| AS OF DECEMBER 31, 2014          |
| (FORECAST PRICES AND COSTS)      |

|                        |
|------------------------|
|                        |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                   |   | Light & Medium Oil |   | Heavy Oil |
|                   |   |   |   |   |   | Gross Proved |  |   |   |   |   |   | Gross Proved |  |
|                   |   | Gross Proved |  |   | Gross Probable |  |   | Plus Probable |  |   | Gross Proved |  |   | Gross Probable |  |   | Plus Probable |  |
| Factors                |   | (MBbl) |  |   | (MBbl) |  |   | (MBbl) |  |   | (MBbl) |  |   | (MBbl) |  |   | (MBbl) |  |
| December 31, 2013 |   | 5,548 |  |   | 4,548 |  |   | 10,096 |  |   | 26,086 |  |   | 9,095 |  |   | 35,181 |  |
| Extensions             |   | — |  |   | 86 |  |   | 86 |  |   | 736 |  |   | 328 |  |   | 1,064 |  |
| Improved recovery      |   | — |  |   | — |  |   | — |  |   | — |  |   | — |  |   | — |  |
| Technical Revisions    |   | (398 | ) |   | (2,266 | ) |   | (2,664 | ) |   | (3,741 | ) |   | (656 | ) |   | (4,397 | ) |
| Discoveries            |   | — |  |   | — |  |   | — |  |   | 214 |  |   | 348 |  |   | 562 |  |
| Acquisitions           |   | — |  |   | — |  |   | — |  |   | — |  |   | — |  |   | — |  |
| Dispositions           |   | — |  |   | — |  |   | — |  |   | — |  |   | — |  |   | — |  |
| Economic Factors       |   | (112 | ) |   | (54 | ) |   | (166 | ) |   | (241 | ) |   | (86 | ) |   | (327 | ) |
| Production             |   | (1,118 | ) |   | — |  |   | (1,118 | ) |   | (4,836 | ) |   | — |  |   | (4,836 | ) |
| December 31, 2014 |   | 3,920 |  |   | 2,314 |  |   | 6,234 |  |   | 18,218 |  |   | 9,029 |  |   | 27,247 |  |

----

|                                  |
|----------------------------------|
|                                  |
| RECONCILIATION OF GROSS RESERVES |
| BY PRINCIPAL PRODUCT TYPE        |
| EGYPT                            |
| AS OF DECEMBER 31, 2014          |
| (FORECAST PRICES AND COSTS)      |

|                        |
|------------------------|
|                        |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                   |   | Light & Medium Oil |   | Heavy Oil |
|                   |   |   |   |   |   | Gross Proved |  |   |   |   |   |   | Gross Proved |  |
|                   |   | Gross Proved |  |   | Gross Probable |  |   | Plus Probable |  |   | Gross Proved |  |   | Gross Probable |  |   | Plus Probable |  |
| Factors                |   | (MBbl) |  |   | (MBbl) |  |   | (MBbl) |  |   | (MBbl) |  |   | (MBbl) |  |   | (MBbl) |  |
| December 31, 2013 |   | 2,734 |  |   | 2,883 |  |   | 5,617 |  |   | 26,086 |  |   | 9,095 |  |   | 35,181 |  |
| Extensions             |   | — |  |   | 86 |  |   | 86 |  |   | 736 |  |   | 328 |  |   | 1,064 |  |
| Improved recovery      |   | — |  |   | — |  |   | — |  |   | — |  |   | — |  |   | — |  |
| Technical Revisions    |   | 2,182 |  |   | (637 | ) |   | 1,545 |  |   | (3,741 | ) |   | (656 | ) |   | (4,397 | ) |
| Discoveries            |   | — |  |   | — |  |   | — |  |   | 214 |  |   | 348 |  |   | 562 |  |
| Acquisitions           |   | — |  |   | — |  |   | — |  |   | — |  |   | — |  |   | — |  |
| Dispositions           |   | — |  |   | — |  |   | — |  |   | — |  |   | — |  |   | — |  |
| Economic Factors       |   | (18 | ) |   | (18 | ) |   | (36 | ) |   | (241 | ) |   | (86 | ) |   | (327 | ) |
| Production             |   | (978 | ) |   | — |  |   | (978 | ) |   | (4,836 | ) |   | — |  |   | (4,836 | ) |
| December 31, 2014 |   | 3,920 |  |   | 2,314 |  |   | 6,234 |  |   | 18,218 |  |   | 9,029 |  |   | 27,247 |  |

|                                  |
|----------------------------------|
|                                  |
| RECONCILIATION OF GROSS RESERVES |
| BY PRINCIPAL PRODUCT TYPE        |
| YEMEN                            |
| AS OF DECEMBER 31, 2014          |
| (FORECAST PRICES AND COSTS)      |

|                        |
|------------------------|
|                        |  |  |  |  |  |  |  |  |  |
|                   |   | Light & Medium Oil |
|                   |   | Gross |  |   | Gross |  |   | Gross Proved |  |
|                   |   | Proved |  |   | Probable |  |   | Plus Probable |  |
| Factors                |   | (MBbl) |  |   | (MBbl) |  |   | (MBbl) |  |
| December 31, 2013 |   | 2,814 |  |   | 1,666 |  |   | 4,480 |  |
| Extensions             |   | — |  |   | — |  |   | — |  |
| Improved recovery      |   | — |  |   | — |  |   | — |  |
| Technical Revisions    |   | (2,580 | ) |   | (1,630 | ) |   | (4,210 | ) |
| Discoveries            |   | — |  |   | — |  |   | — |  |
| Acquisitions           |   | — |  |   | — |  |   | — |  |
| Dispositions           |   | — |  |   | — |  |   | — |  |
| Economic Factors       |   | (94 | ) |   | (36 | ) |   | (130 | ) |
| Production             |   | (140 | ) |   | — |  |   | (140 | ) |
| December 31, 2014 |   | — |  |   | — |  |   | — |  |

----

|                                                                                                                                                                                                                                                                |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                                                                |  |  |  |  |  |  |  |  |
|                                                                                                                                                                                                                                                           |   | Light and Medium Oil |   | Heavy Oil |
| Year                                                                                                                                                                                                                                                           |   | (MBbl) |   | (MBbl) |
|                                                                                                                                                                                                                                                           |   | First Attributed |   | Cumulative at Year End |   | First Attributed |   | Cumulative at Year End |
| Prior thereto                                                                                                                                                                                                                                                  |   | 364 |   | 364 |   | 1,576 |   | 1,576 |
| 2012(1)                                                                                                                                                                                                                                                        |   | 127 |   | 127 |   | 120 |   | 983 |
| 2013(2)                                                                                                                                                                                                                                                        |   | — |   | — |   | 5,174 |   | 7,220 |
| 2014(3)                                                                                                                                                                                                                                                        |   | 260 |   | 260 |   | 125 |   | 4,485 |
| Notes:                                                                                                                                                                                                                                                         |
| (1)  In 2012, proved undeveloped medium oil was assigned to Egypt with one vertical development well at Hana and heavy oil to Egypt with water flood development at H-Field.  No new proved undeveloped reserves were assigned in Yemen.             |
| (2)  In 2013, proved undeveloped heavy oil was assigned to Egypt with twelve vertical development wells at K-Field, five at H-Field, one at Arta and one at Hoshia.  No new proved undeveloped reserves were assigned in Yemen.                      |
| (3)  In 2014, proved undeveloped medium oil was assigned to Egypt with one vertical development well at Hana West and heavy oil to Egypt with three vertical development wells at NW Gharib.  No proved undeveloped reserves were assigned in Yemen. |

|                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                                                                                                                                                                                                                                                              |  |  |  |  |  |  |  |  |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                         |   | Light and Medium Oil |   | Heavy Oil |
| Year                                                                                                                                                                                                                                                                                                                                                                                                                                                         |   | (MBbl) |   | (MBbl) |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                         |   | First Attributed |   | Cumulative at Year End |   | First Attributed |   | Cumulative at Year End |
| Prior thereto                                                                                                                                                                                                                                                                                                                                                                                                                                                |   | 2,300 |   | 2,300 |   | 4,461 |   | 4,461 |
| 2012(1)                                                                                                                                                                                                                                                                                                                                                                                                                                                      |   | 36 |   | 2,075 |   | 2,074 |   | 4,455 |
| 2013(2)                                                                                                                                                                                                                                                                                                                                                                                                                                                      |   | 300 |   | 1,548 |   | 2,317 |   | 2,385 |
| 2014(3)                                                                                                                                                                                                                                                                                                                                                                                                                                                      |   | 88 |   | 552 |   | 251 |   | 3,863 |
| Notes:                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| (1)  In 2012, probable undeveloped heavy oil was assigned to Egypt with one vertical development well at Arta, one at Fadl, one at H-Field and four at K-Field.  Light oil was assigned to Yemen with one vertical development well at Tasour.  All development activities are anticipated to take place during 2013.                                                                                                                              |
| (2)  In 2013, probable undeveloped medium oil was assigned to Egypt with one vertical development well at Hana.  Heavy oil was assigned to Egypt with two vertical development wells at H-Field and twelve at K-Field.  Light oil was assigned to Yemen with one vertical development well at Salsala.  All development activities are anticipated to take place during 2014 with the exception of eight K-Field wells which will be done in 2015. |
| (3)  In 2014, probable undeveloped heavy oil was assigned to Egypt with three vertical development wells at NW Gharib.  No probable undeveloped reserves were assigned in Yemen.  All development activities are anticipated to take place between 2015 and 2017.                                                                                                                                                                                  |

----

|                          |
|--------------------------|
|                          |
| FUTURE DEVELOPMENT COSTS |
| AS OF DECEMBER 31, 2014  |

|                    |
|--------------------|
|                    |  |  |  |  |  |  |
| (US$MM)            |   | Forecast Prices and Costs |
|               |   |   |  |   | Proved Plus |  |
|               |   | Proved |  |   | Probable |  |
| Year               |   | Reserves |  |   | Reserves |  |
| 2015               |   | 3.3 |  |   | 3.3 |  |
| 2016               |   | 16.7 |  |   | 34.2 |  |
| 2017               |   | 5.1 |  |   | 19.4 |  |
| 2018               |   | 0.7 |  |   | 1.1 |  |
| 2019               |   | 1.1 |  |   | 1.1 |  |
| Remaining          |   | 0.6 |  |   | 1.0 |  |
| Total Undiscounted |   | 27.5 |  |   | 60.1 |  |

|        |
|--------|
|        |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|   |   | Oil Wells |   | Natural Gas Wells |
|   |   | Producing |   | Non-Producing |   | Producing |   | Non-Producing |
|   |   | Gross |  |   | Net |  |   | Gross |  |   | Net |  |   | Gross |  |   | Net |  |   | Gross |  |   | Net |  |
| Egypt  |   | 135 |  |   | 131.0 |  |   | 123 |  |   | 122.5 |  |   | — |  |   | — |  |   | 2 |  |   | 1 |  |
| Yemen  |   | 14 |  |   | 1.9 |  |   | 37 |  |   | 7.9 |  |   | — |  |   | — |  |   | 5 |  |   | 1.3 |  |
| Total  |   | 149 |  |   | 132.9 |  |   | 160 |  |   | 130.4 |  |   | — |  |   | — |  |   | 7 |  |   | 2.3 |  |

|        |
|--------|
|        |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|   |   | Developed Acres |   | Undeveloped Acres |   | Total Acres |
|   |   | Gross |  |   | Net |  |   | Gross |  |   | Net |  |   | Gross |  |   | Net |  |
| Egypt  |   | 17,105 |  |   | 16,385 |  |   | 1,515,947 |  |   | 1,509,318 |  |   | 1,533,052 |  |   | 1,525,703 |  |
| Yemen  |   | 36,210 |  |   | 7,121 |  |   | 1,107,294 |  |   | 239,900 |  |   | 1,143,504 |  |   | 247,021 |  |
| Total  |   | 53,315 |  |   | 23,506 |  |   | 2,623,241 |  |   | 1,749,218 |  |   | 2,676,556 |  |   | 1,772,724 |  |

----

|                                                   |
|---------------------------------------------------|
|                                                   |  |  |  |  |  |  |  |  |  |
|                                              |   | Egypt |  |   | Yemen |  |   | Total |  |
| (US$M)                                            |   |   |   |   |   |   |
| Property acquisition costs                        |   |   |   |   |   |   |
|        Proved properties      |   | — |  |   | — |  |   | — |  |
|        Undeveloped properties |   | — |  |   | — |  |   | — |  |
| Exploration costs                                 |   | 35,745 |  |   | 938 |  |   | 36,683 |  |
| Development costs                                 |   | 67,844 |  |   | 630 |  |   | 68,474 |  |
| Corporate and other                               |   | 2,382 |  |   | — |  |   | 2,382 |  |
| Total                                             |   | 105,971 |  |   | 1,568 |  |   | 107,539 |  |

----

|                      |
|----------------------|
|                      |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Egypt                |   | Gross |   | Net |
|                 |   | Exploration |  |   | Development |  |   | Total |  |   | Exploration |  |   | Development |  |   | Total |  |
| Natural Gas          |   | — |  |   | 1.0 |  |   | 1.0 |  |   | — |  |   | 0.5 |  |   | 0.5 |  |
| Crude Oil            |   | 4.0 |  |   | 24.0 |  |   | 28.0 |  |   | 4.0 |  |   | 22.5 |  |   | 26.5 |  |
| Service              |   | — |  |   | 1.0 |  |   | 1.0 |  |   | — |  |   | 1.0 |  |   | 1.0 |  |
| Dry and Abandoned(1) |   | 9.0 |  |   | 4.0 |  |   | 13.0 |  |   | 8.5 |  |   | 4.0 |  |   | 12.5 |  |
| Total                |   | 13.0 |  |   | 30.0 |  |   | 43.0 |  |   | 12.5 |  |   | 28.0 |  |   | 40.5 |  |

|                            |
|----------------------------|
|                            |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                       |   | Egypt |   | Yemen |   | Total |
|                       |   | West Gharib |  |   | West Gharib |  |   | West Bakr |  |   | East Ghazalat |  |   | Block S1&32 |  |   | Company |  |
|                       |   |   |   |   |   |   |   | Light and |  |   | Light and |  |   |   |
|                       |   | Medium Oil |  |   | Heavy Oil |  |   | Heavy Oil |  |   | Medium Oil |  |   | Medium Oil |  |   | Bbls |  |
|                       |   | Gross |  |   | Gross |  |   | Gross |  |   | Gross |  |   | Gross |  |   | Gross |  |
|                       |   | (Bbls/d) |  |   | (Bbls/d) |  |   | (Bbls/d) |  |   | (Bbls/d) |  |   | (Bbls/d) |  |   | (Bbls/d) |  |
| Proved Developed Producing |   | 1,734 |  |   | 5,196 |  |   | 4,937 |  |   | 458 |  |   | — |  |   | 12,325 |  |
| Proved Developed           |   |  |  |   |  |  |   |  |  |   |  |  |   |  |  |   |  |  |
| Non-Producing              |   | — |  |   | 53 |  |   | 178 |  |   | — |  |   | — |  |   | 231 |  |
| Proved Undeveloped         |   | 9 |  |   | 75 |  |   | 663 |  |   | — |  |   | — |  |   | 747 |  |
| Total Proved               |   | 1,743 |  |   | 5,324 |  |   | 5,778 |  |   | 458 |  |   | — |  |   | 13,303 |  |
| Total Probable             |   | 120 |  |   | 352 |  |   | 532 |  |   | 28 |  |   | — |  |   | 1,031 |  |
| Total Proved Plus Probable |   | 1,863 |  |   | 5,676 |  |   | 6,310 |  |   | 486 |  |   | — |  |   | 14,334 |  |

----

|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |  |  |  |  |  |  |  |  |  |  |  |  |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   | 2014 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   | Quarter Ended |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   | Mar. 31 |  |   | Jun. 30 |  |   | Sep. 30 |  |   | Dec. 31 |  |
| Average Daily Sales Volumes                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |   |   |   |   |   |   |   |   |
| Egypt(1)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |   |   |   |   |   |   |   |
|  Heavy Crude Oil (Bbls/d)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   | 14,789 |  |   | 13,333 |  |   | 12,286 |  |   | 13,145 |  |
|  Light and Medium Crude Oil (Bbls/d)                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |   | 2,502 |  |   | 2,623 |  |   | 2,612 |  |   | 1,817 |  |
| Yemen                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |   |   |   |   |   |   |   |
|  Light and Medium Crude Oil (Bbls/d)                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |   | 641 |  |   | 529 |  |   | 234 |  |   | 177 |  |
| Combined (Bbls/d)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |   | 17,932 |  |   | 16,485 |  |   | 15,132 |  |   | 15,139 |  |
| Average Price Received                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |   |   |   |   |   |   |   |
| Egypt(1)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |   |   |   |   |   |   |   |
|  Heavy Crude Oil (US$/Bbl)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |   | 94.43 |  |   | 95.74 |  |   | 88.36 |  |   | 66.47 |  |
|  Light and Medium Crude Oil (US$/Bbl)                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   | 94.43 |  |   | 95.74 |  |   | 88.36 |  |   | 66.47 |  |
| Yemen                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |   |   |   |   |   |   |   |
|  Light and Medium Crude Oil (US$/Bbl)                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   | 107.40 |  |   | 107.79 |  |   | 102.84 |  |   | 61.29 |  |
| Combined (US$/Bbl)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   | 94.89 |  |   | 96.14 |  |   | 88.59 |  |   | 66.41 |  |
| Royalties and Taxes                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |   |   |   |   |   |   |   |   |
| Egypt(1)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |   |   |   |   |   |   |   |
|  Heavy Crude Oil (US$/Bbl)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |   | 59.41 |  |   | 58.14 |  |   | 51.34 |  |   | 36.24 |  |
|  Light and Medium Crude Oil (US$/Bbl)                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   | 59.41 |  |   | 58.14 |  |   | 51.34 |  |   | 36.24 |  |
| Yemen                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |   |   |   |   |   |   |   |
|  Light and Medium Crude Oil (US$/Bbl)                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   | 38.31 |  |   | 38.54 |  |   | (7.06 | ) |   | 34.33 |  |
| Combined (US$/Bbl)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   | 58.66 |  |   | 57.51 |  |   | 50.44 |  |   | 36.22 |  |
| Operating Expenses                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   |   |   |   |   |   |   |   |
| Egypt(1)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |   |   |   |   |   |   |   |
|  Heavy Crude Oil (US$/Bbl)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |   | 10.48 |  |   | 11.01 |  |   | 11.39 |  |   | 12.40 |  |
|  Light and Medium Crude Oil (US$/Bbl)                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   | 10.48 |  |   | 11.01 |  |   | 11.39 |  |   | 12.40 |  |
| Yemen(2)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |   |   |   |   |   |   |   |
|  Light and Medium Crude Oil (US$/Bbl)                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   | 56.70 |  |   | 63.15 |  |   | 122.31 |  |   | 156.41 |  |
| Combined (US$/Bbl)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   | 12.13 |  |   | 12.68 |  |   | 13.11 |  |   | 14.09 |  |
| Netback Received                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   |   |   |   |   |   |   |   |
| Egypt(1)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |   |   |   |   |   |   |   |
|  Heavy Crude Oil (US$/Bbl)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |   | 24.54 |  |  | 26.59 |  |  | 25.63 |  |  | 17.83 |  |
|  Light and Medium Crude Oil (US$/Bbl)                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   | 24.54 |  |  | 26.59 |  |  | 25.63 |  |  | 17.83 |  |
| Yemen(2)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |   |   |   |   |   |   |   |
|  Light and Medium Crude Oil (US$/Bbl)                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   | 12.39 |  |  | 6.10 |  |  | (12.41 | ) |  | (129.45 | ) |
| Combined (US$/Bbl)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   | 24.10 |  |  | 25.95 |  |  | 25.04 |  |  | 16.10 |  |
| Notes:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |   |   |   |   |   |   |   |
| (1) Under the terms of the current marketing contract, all production from West Gharib is sold as a blended crude oil.  Royalties and taxes are calculated on a concession basis without distinction between Heavy Crude Oil and, Medium and Light Crude Oil.                                                                                                                                                                                                                                                   |
| (2) In Yemen, the Company experienced increased operating costs per Bbl in both 2013 and 2014, which negatively impacted the netback per Bbl received.  Operating expenses on a per Bbl basis were elevated in 2013 and 2014 as a result of production being shut-in on Block S-1 for the majority of both years.  While production volumes were down, the Company continued to incur the majority of the production and operating costs on Block S-1 which significantly increased operating expenses per Bbl. |

----

|                                 |
|---------------------------------|
|                                 |  |  |  |  |  |  |  |  |  |
|                            |   |   |  |   | Light and |  |   |   |  |
|                            |   | Heavy Crude |  |   | Medium |  |   |   |  |
|                            |   | Oil |  |   | Crude |  |   | Total |  |
|                            |   | (Bbls/d) |  |   | (Bbls/d) |  |   | (Bbls/d) |  |
| Egypt                           |   |   |   |   |   |   |
|    Arta/East Arta     |   | 7,020 |  |   | — |  |   | 7,020 |  |
|    Hana               |   | — |  |   | 1,074 |  |   | 1,074 |  |
|    Hana West          |   | — |  |   | 847 |  |   | 847 |  |
|    Hoshia             |   | 674 |  |   | — |  |   | 674 |  |
|    West Bakr          |   | 5,499 |  |   | — |  |   | 5,499 |  |
|    East Ghazalat |   | — |  |   | 616 |  |   | 616 |  |
|    Other Egypt        |   | 33 |  |   | — |  |   | 33 |  |
| Yemen                           |   |  |   |  |   |  |
|    Block S-1          |   | — |  |   | 162 |  |   | 162 |  |
|    Block 32           |   | — |  |   | 178 |  |   | 178 |  |
| Total                           |   | 13,226 |  |   | 2,877 |  |   | 16,103 |  |

|                                                                                         |
|-----------------------------------------------------------------------------------------|
|                                                                                         |  |  |  |  |  |  |  |  |  |
| Contingent Resources at December 31, 2014                                               |   |   |   |   |   |   |
| (Mbbls)                                                                                 |   |   |   |   |   |   |
|                                                                                    |   | Low Estimate |  |   | Best Estimate |  |   | High Estimate |  |
| Egypt                                                                                   |   |   |   |   |   |   |
| South Alamein                                                                           |   | 475 |  |   | 1,426 |  |   | 2,881 |  |
| Total Egypt                                                                             |   | 475 |  |   | 1,426 |  |   | 2,881 |  |
|                                                                                    |   |   |   |   |   |   |
| Yemen                                                                                   |   |   |   |   |   |   |
| Block S-1                                                                               |   | 2,775 |  |   | 3,734 |  |   | 4,333 |  |
| Block 32 *                                                                              |   | 180 |  |   | 254 |  |   | 354 |  |
| Total Yemen *                                                                           |   | 2,955 |  |   | 3,988 |  |   | 4,686 |  |
| Total Company *                                                                         |   | 3,430 |  |   | 5,415 |  |   | 7,567 |  |
| Note:                                                                                   |
| * Effective March 31, 2015, the Company relinquished its interest in Block 32 in Yemen. |

----

|                                             |
|---------------------------------------------|
|                                             |  |  |  |  |
| Development Area                            |   | Contingency |   | Chance of Contingency being Removed |
| Egypt - South Alamein                       |   | Unable to gain military regulatory approval to access lands. |   | 50% |
| Yemen - Block S-1: An Nagyah and Osaylan    |   | Political stability and unrest |   | 60% |
| Yemen - Block 32: Tasour, Godah and Salsala |   | Political stability and unrest |   | 80% |

|                                                                                         |
|-----------------------------------------------------------------------------------------|
|                                                                                         |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                                                                    |   | Economic Contingent Resources |   | Economic Contingent Resources |
|                                                                                    |   | Undiscounted |   | Discounted at 10% |
|                                                                                    |   | Low estimate |  |   | Best estimate |  |   | High estimate |  |   | Low estimate |  |   | Best estimate |  |   | High estimate |  |
| Egypt                                                                                   |   |   |   |   |   |   |   |   |   |   |   |   |
| South Alamein                                                                           |   | 7,546 |  |   | 23,942 |  |   | 55,176 |  |   | 5,414 |  |   | 15,569 |  |   | 33,571 |  |
| Total Egypt                                                                             |   | 7,546 |  |   | 23,942 |  |   | 55,176 |  |   | 5,414 |  |   | 15,569 |  |   | 33,571 |  |
| Yemen                                                                                   |   |   |   |   |   |   |   |   |   |   |   |   |
| Block S-1                                                                               |   | 44,821 |  |   | 63,069 |  |   | 73,674 |  |   | 29,152 |  |   | 39,697 |  |   | 45,792 |  |
| Block 32 *                                                                              |   | 493 |  |   | 571 |  |   | 1,886 |  |   | 418 |  |   | 378 |  |   | 1,139 |  |
| Total Yemen *                                                                           |   | 45,314 |  |   | 63,640 |  |   | 75,560 |  |   | 29,570 |  |   | 40,074 |  |   | 46,931 |  |
| Total Company *                                                                         |   | 52,860 |  |   | 87,582 |  |   | 130,736 |  |   | 34,984 |  |   | 55,643 |  |   | 80,503 |  |
| Note:                                                                                   |
| * Effective March 31, 2015, the Company relinquished its interest in Block 32 in Yemen. |

----

|                                   |
|-----------------------------------|
|                                   |  |  |  |  |  |  |  |  |  |  |
| DeGolyer Forecast Pricing ($/bbl) |   |   |   |   |   |   |   |   |   |   |
| Brent Forecast Pricing ($/Bbl)    |   | 2015 |   | 2016 |   | 2017 |   | 2018 |   | 2019 |
| Year-end 2014                     |   | $69.00 |   | $75.40 |   | $82.03 |   | $88.90 |   | $96.01 |

|                                                                                         |
|-----------------------------------------------------------------------------------------|
|                                                                                         |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|                                                                                    |   | Economic Contingent Resources |   | Economic Contingent Resources |
|                                                                                    |   | Undiscounted |   | Discounted at 10% |
|                                                                                    |   | Low estimate |  |   | Best estimate |  |   | High estimate |  |   | Low estimate |  |   | Best estimate |  |   | High estimate |  |
| Egypt                                                                                   |   |   |   |   |   |   |   |   |   |   |   |   |
| South Alamein                                                                           |   | 10,283 |  |   | 30,794 |  |   | 66,600 |  |   | 7,459 |  |   | 20,496 |  |   | 41,439 |  |
| Total Egypt                                                                             |   | 10,283 |  |   | 30,794 |  |   | 66,600 |  |   | 7,459 |  |   | 20,496 |  |   | 41,439 |  |
| Yemen                                                                                   |   |   |   |   |   |   |   |   |   |   |   |   |
| Block S-1                                                                               |   | 54,503 |  |   | 74,647 |  |   | 86,482 |  |   | 36,358 |  |   | 48,153 |  |   | 55,055 |  |
| Block 32 *                                                                              |   | 2,372 |  |   | 3,434 |  |   | 4,948 |  |   | 2,145 |  |   | 2,906 |  |   | 3,878 |  |
| Total Yemen *                                                                           |   | 56,875 |  |   | 78,081 |  |   | 91,430 |  |   | 38,503 |  |   | 51,059 |  |   | 58,933 |  |
| Total Company *                                                                         |   | 67,158 |  |   | 108,876 |  |   | 158,030 |  |   | 45,961 |  |   | 71,555 |  |   | 100,372 |  |
| Note:                                                                                   |
| * Effective March 31, 2015, the Company relinquished its interest in Block 32 in Yemen. |

|                         |
|-------------------------|
|                         |  |  |
| Constant Pricing ($Bbl) |   | Year-end 2014 |
| South Alamein           |   | $91.64 |
| Block S-1               |   | $100.08 |
| Block 32                |   | $98.92 |

----

----

----

----

|                                    |
|------------------------------------|
|                                    |  |  |  |  |  |  |  |  |  |
| (Canadian dollars, except volumes) |   | Price Range |   |   |   |
|                               |   | High |  |   | Low |  |   |   |  |
|                               |   | ($/share) |  |   | ($/share) |  |   | Volume |  |
| 2014                               |   |   |   |   |   |   |
| January                            |   | 9.39 |  |   | 8.09 |  |   | 4,346,604 |  |
| February                           |   | 8.29 |  |   | 7.50 |  |   | 8,237,043 |  |
| March                              |   | 8.69 |  |   | 8.09 |  |   | 5,273,260 |  |
| April                              |   | 8.84 |  |   | 7.89 |  |   | 5,143,728 |  |
| May                                |   | 8.96 |  |   | 6.91 |  |   | 7,070,158 |  |
| June                               |   | 8.20 |  |   | 7.59 |  |   | 4,233,779 |  |
| July                               |   | 8.15 |  |   | 6.80 |  |   | 4,723,545 |  |
| August                             |   | 7.42 |  |   | 6.67 |  |   | 3,868,263 |  |
| September                          |   | 7.41 |  |   | 6.49 |  |   | 5,317,774 |  |
| October                            |   | 6.60 |  |   | 4.89 |  |   | 6,276,351 |  |
| November                           |   | 4.88 |  |   | 3.64 |  |   | 5,192,657 |  |
| December                           |   | 4.82 |  |   | 3.32 |  |   | 14,465,787 |  |
| 2015                               |   |   |   |   |   |   |
| January                            |   | 4.79 |  |   | 3.28 |  |   | 8,178,162 |  |
| February                           |   | 4.17 |  |   | 3.57 |  |   | 4,856,946 |  |
| March (1 to 11)                    |   | 3.91 |  |   | 3.68 |  |   | 1,579,223 |  |

|                                |
|--------------------------------|
|                                |  |  |  |  |  |  |  |  |  |
| (U.S. dollars, except volumes) |   | Price Range |   |   |   |
|                           |   | High |  |   | Low |  |   |   |  |
|                           |   | ($/share) |  |   | ($/share) |  |   | Volume |  |
| 2014                           |   |   |   |   |   |   |
| January                        |   | 8.58 |  |   | 7.28 |  |   | 3,034,322 |  |
| February                       |   | 7.48 |  |   | 6.78 |  |   | 2,735,953 |  |
| March                          |   | 7.84 |  |   | 7.30 |  |   | 3,747,428 |  |
| April                          |   | 8.00 |  |   | 7.16 |  |   | 2,452,220 |  |
| May                            |   | 8.22 |  |   | 6.38 |  |   | 2,350,373 |  |
| June                           |   | 7.58 |  |   | 6.94 |  |   | 2,601,023 |  |
| July                           |   | 7.53 |  |   | 6.27 |  |   | 2,380,250 |  |
| August                         |   | 6.84 |  |   | 6.10 |  |   | 3,337,561 |  |
| September                      |   | 6.78 |  |   | 5.83 |  |   | 2,676,669 |  |
| October                        |   | 5.91 |  |   | 4.34 |  |   | 5,081,009 |  |
| November                       |   | 4.31 |  |   | 3.26 |  |   | 4,808,425 |  |
| December                       |   | 4.14 |  |   | 2.86 |  |   | 8,825,386 |  |
| 2015                           |   |   |   |   |   |   |
| January                        |   | 4.08 |  |   | 2.75 |  |   | 8,415,706 |  |
| February                       |   | 3.34 |  |   | 2.87 |  |   | 5,294,287 |  |
| March (1 to 11)                |   | 3.17 |  |   | 2.90 |  |   | 2,215,891 |  |

----

|                                    |
|------------------------------------|
|                                    |  |  |  |  |  |  |  |  |  |
| (Canadian dollars, except volumes) |   | Price Range |   |   |   |
|                               |   | High |  |   | Low |  |   |   |  |
|                               |   | ($/share) |  |   | ($/share) |  |   | Volume |  |
| 2014                               |   |   |  |   |   |  |   |   |  |
| January                            |   | 96.50 |  |   | 94.00 |  |   | 1,586,000 |  |
| February                           |   | 94.50 |  |   | 92.00 |  |   | 7,884,000 |  |
| March                              |   | 100.63 |  |   | 94.25 |  |   | 27,162,000 |  |
| April                              |   | 99.43 |  |   | 97.00 |  |   | 2,255,000 |  |
| May                                |   | 99.25 |  |   | 95.02 |  |   | 2,017,000 |  |
| June                               |   | 97.38 |  |   | 96.02 |  |   | 982,400 |  |
| July                               |   | 97.74 |  |   | 95.00 |  |   | 2,908,000 |  |
| August                             |   | 96.50 |  |   | 94.50 |  |   | 914,000 |  |
| September                          |   | 96.50 |  |   | 93.51 |  |   | 1,607,500 |  |
| October                            |   | 95.75 |  |   | 93.35 |  |   | 4,281,000 |  |
| November                           |   | 93.50 |  |   | 87.00 |  |   | 1,199,000 |  |
| December                           |   | 86.50 |  |   | 77.50 |  |   | 1,327,000 |  |
| 2015                               |   |   |   |   |   |   |
| January                            |   | 83.00 |  |   | 76.00 |  |   | 3,551,000 |  |
| February                           |   | 85.99 |  |   | 82.25 |  |   | 2,220,500 |  |
| March (1 to 11)                    |   | 85.75 |  |   | 84.25 |  |   | 533,000 |  |

|                  |
|------------------|
|                  |  |  |  |  |
| Date of Issuance |   | Number of Stock Options |   | Price per Stock Option |
| March 6, 2014    |   | 75,000 |   | Cdn$8.50 |
| May 20, 2014     |   | 1,133,000 |   | Cdn$7.26 |

|                        |
|------------------------|
|                        |  |  |  |  |
| Date of Issuance       |   | Number of RSUs |   | Price per RSU |
| May 20, 2014 (1)       |   | 288,500 |   | N/A |
| May 28, 2014 (2)       |   | 4,313 |   | N/A |
| June 30, 2014 (2)      |   | 1,986 |   | N/A |
| August 14, 2014 (1)    |   | 54,682 |   | N/A |
| August 24, 2014 (1)    |   | 23,343 |   | N/A |
| September 30, 2014 (2) |   | 3,169 |   | N/A |
| November 19, 2014 (1)  |   | 47,603 |   | N/A |
| December 31, 2014 (2)  |   | 5,738 |   | N/A |

----

|                        |
|------------------------|
|                        |  |  |  |  |
| Date of Issuance       |   | Number of PSUs |   | Price per PSU |
| May 20, 2014 (1)       |   | 280,900 |   | N/A |
| May 28, 2014 (2)       |   | 4,199 |   | N/A |
| June 30, 2014 (2)      |   | 1,934 |   | N/A |
| September 30, 2014 (2) |   | 2,455 |   | N/A |
| December 31, 2014 (2)  |   | 4,017 |   | N/A |

|                        |
|------------------------|
|                        |  |  |  |  |
| Date of Issuance       |   | Number of DSUs |   | Price per DSU |
| May 20, 2014 (1)       |   | 86,453 |   | N/A |
| May 28, 2014 (2)       |   | 1,292 |   | N/A |
| June 30, 2014 (2)      |   | 595 |   | N/A |
| August 14, 2014 (1)    |   | 57,802 |   | N/A |
| September 30, 2014 (2) |   | 1,249 |   | N/A |
| December 31, 2014 (2)  |   | 2,044 |   | N/A |

----

|                                            |
|--------------------------------------------|
|                                            |  |  |  |  |  |  |
|                                       |   |   |   | Year Became |   |   |
| Name and Place of                          |   |   |   | Director or |   | Principal Occupation and Positions |
| Residence                                  |   | Position Held |   | Officer |   | for the Past Five Years |
| Robert G. Jennings (1)(3)Alberta, Canada   |   | Chairman of the Board and Director |   | 2011 |   | Retired as Chairman and CEO of Jennings Capital Inc. in May, 2011. Prior to founding Jennings Capital in 1993, Senior Vice President and Director with Midland Walwyn Capital Inc, co-founder of Carson Jennings & Associates, Director and Vice President with McLeod Young Weir. |
| Ross G. ClarksonAlberta, Canada            |   | President, ChiefExecutive Officer andDirector |   | 1995 |   | President and Chief Executive Officer of the Company since December 4, 1996, with over 40 years' oil and gas industry experience as a senior geological advisor. |
| Lloyd W. HerrickAlberta, Canada            |   | Vice-President, ChiefOperating Officer andDirector |   | 1999 |   | Vice-President and Chief Operating Officer of the Company since April 28, 1999, with over 40 years' experience in both domestic and international oil and gas exploration and development. |
| Geoffrey C. Chase (1)(2)(4)Alberta, Canada |   | Director |   | 2000 |   | Retired Senior Vice-President, Business Development with Ranger Oil Limited, with over 35 years' experience in the oil and gas industry. |
| David B. Cook(1)(3)Alberta, Canada         |   | Director |   | 2014 |   | Currently Chief Executive Officer of DONG Exploration and Production (part of the DONG Energy Group) located in Copenhagen, Denmark.  Previously served as Executive Officer and Head of Oil and Gas at TAQA North ltd ("TAQA")  where he lead the Company's upstream and midstream interests in the Middle East, North America, the United Kingdom and Europe.  Prior to joining TAQA, he served as Vice President for BP Russia, responsible for British Petroleum's ("BP") non-TNK-BP exploration and production activities in Russia. |
| Fred J. Dyment (1)(2)(3)Alberta, Canada    |   | Director |   | 2004 |   | Chartered accountant with over 30 years' experience in the oil and gas industry. Previously President and Chief Executive Officer, Maxx Petroleum Company (2000 – 2001). Prior thereto Controller, Vice-President, Finance and President and Chief Executive Officer of Ranger Oil Limited from 1978 – 2000. |
| Bob (G.R.) MacDougall(2)(4)Alberta, Canada |   | Director |   | 2014 |   | Previously served as Executive Vice President and Chief Operating Officer of Vermilion Energy Inc. from 2004 until his retirement in 2012 where he led the company's operating business both domestically and internationally, with assets in France, The Netherlands, Australia and Ireland.  Prior to this, Mr. MacDougall was with Chevron for nearly 20 years in production and drilling operations and served as General Manager of Production and Operations for ChevronTexaco's Western Canadian producing properties.  He has over 30 years’ experience in domestic and international oil and gas operations as well as and senior executive management experience. |
| Susan M. MacKenzieAlberta, Canada          |   | Director |   | 2014 |   | Served as Chief Operating Officer with Oilsands Quest Inc., a NYSE Amex-listed oil sands company, from April - September 2010.  Prior thereto, Ms. MacKenzie was employed for 12 years at PetroCanada, where she held senior roles including Vice President, Human Resources and Vice President of In Situ Development and Operations.  Prior thereto employed with Amoco Canada Petroleum Company Ltd. for 14 years in a variety of engineering and leadership roles in natural gas, conventional oil and heavy oil exploitation. |
| Randy C. NeelyAlberta, Canada              |   | Vice-President,Finance, ChiefFinancial Officer andSecretary |   | 2012 |   | Vice President Finance and Chief Financial Officer of the Company since May 8, 2012 with over 20 years in executive financial positions within the oil and gas industry. |
| Albert E. GressAlberta, Canada             |   | Vice President,Business Development |   | 2011 |   | Vice President Business Development since March 13, 2011.  Certified Public Accountant with over 15 years’ experience in the international petroleum industry. Prior to joining TransGlobe as Country Manager of Egypt in 2007, led operations in Egypt for Madrid-based CEPSA and for Devon Energy and worked as a business development advisor for CEPSA in Madrid. |
| Brett NorrisAlberta, Canada                |   | Vice President,Exploration |   | 2012 |   | Vice President Exploration since April 8, 2012 and with the Company since 2006.  A professional geologist with over 24  years of domestic and international experience.  A registered member of the Association of Professional Engineer and Geosciences of Alberta ("APEGGA"). |

|     |                                          |
|-----|------------------------------------------|
| (1) | Member of the Company's Audit Committee. |

|     |                                                 |
|-----|-------------------------------------------------|
| (2) | Member of the Company's Compensation Committee. |

|     |                                                              |
|-----|--------------------------------------------------------------|
| (3) | Member of the Company's Governance and Nominating Committee. |

|     |                                             |
|-----|---------------------------------------------|
| (4) | Member of the Company's Reserves Committee. |

|     |                                                                                                                                                                                                                                            |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (5) | As at March 11, 2015, the directors and officers of TransGlobe, as a group, beneficially owned or controlled or directed, directly or indirectly, 3,349,276 Common Shares or approximately 4% of the issued and outstanding Common Shares. |

----

|     |                                                                                                      |
|-----|------------------------------------------------------------------------------------------------------|
| (6) | Mr. Gary S. Guidry tendered his resignation from the Company's board of directors on March 11, 2014. |

|     |                                                                                 |
|-----|---------------------------------------------------------------------------------|
| (7) | Mr. Erwin Noyes retired from the Company's board of directors on June 10, 2014. |

|     |                                                                                                                                                                                                                                                                                                                                        |
|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (a) | while the person was acting in the capacity as director, chief executive officer or chief financial officer, was the subject of a cease trade or similar order or an order that denied the company access to any exemption under securities legislation, that was in effect for a period of more than thirty (30) consecutive days; or |

|     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (b) | was subject to an order that resulted, after the director, executive officer ceased to be a director, chief executive officer or chief financial officer of an issuer, in the issuer being the subject of a cease trade or similar order or an order that denied the relevant issuer access to any exemption under securities legislation, for a period of more than thirty (30) consecutive days, which resulted from an event that occurred while that person was acting as a director, chief executive officer or chief financial officer of the issuer. |

----

----

|                                   |
|-----------------------------------|
|                                   |  |  |  |
| Name and Place of Residence       | Independent | Financially Literate | Relevant Education and Experience |
|                              |   |   |   |
| Fred J. DymentAlberta, Canada     | Yes | Yes | Mr. Dyment is an independent businessman.  Mr. Dyment is an experienced senior executive and board director, with over 40 years of experience in the oil and natural gas industry. From 1978 to 2000, Mr. Dyment held increasingly senior positions with Ranger Oil Limited, including Chief Financial Officer, President and Chief Executive Officer.  Mr. Dyment also held the position of President and Chief Executive Officer at Maxx Petroleum Company from 2000 to 2001.  Mr. Dyment is currently Chairman of WesternZagros Resources Ltd., an international resource company engaged in acquiring properties and exploring for, developing and producing crude oil and natural gas.  Mr. Dyment received a Chartered Accountant designation from the province of Ontario in 1972. |
| Geoffrey C. ChaseAlberta, Canada  | Yes | Yes | Mr. Chase is a retired (1999) professional engineer.  Mr. Chase has over 40 years’ experience in both Canadian and international oil and gas operations, the majority of which was gained while at Ranger Oil Limited. As well as responsibility for production, drilling and construction operations as Vice President - Production at Ranger, Mr. Chase was involved in numerous merger and acquisition activities in Canada and internationally. In 1995, as Senior Vice President of Business Development, he became responsible for identifying and assessing development opportunities in West Africa, South America and elsewhere. Also while at Ranger, Mr. Chase participated in the formation of Direct Energy Marketing Ltd., a joint venture marketing company, serving on its Board from 1986 and was Chairman from 1990 until 1994. Mr. Chase obtained his ICD.D designation from the Institute of Corporate Directors in 2010 and is a Life Member of APEGA. |
| Robert G. JenningsAlberta, Canada | Yes | Yes | Mr. Jennings is an independent businessman.  He retired in 2011 from Jennings Capital Inc. which he established in 1993, as a full service, independent investment firm providing corporations with research, corporate finance and sales services in both the national and international marketplace.  From 1969 to 1979, Mr. Jennings was with McLeod Young (predecessor to ScotiaMcLeod), where he held positions of increasing responsibility, initially as an oil and gas analyst, then in the corporate finance area.  In 1976 he was promoted to Vice President of corporate finance for the Alberta area and held that position until 1979.In January 1979, Mr. Jennings created a boutique firm, Carson Jennings & Associates, focused on oil and gas private placements and merger/acquisition activities.  In September 1988, Mr. Jennings sold the firm to Walwyn Stodgell Ltd., (prior to Walwyn’s takeover of Midland Doherty), accepting the position of Senior Vice President and Director of Corporate and Government Finance for Western Canada with Midland Walwyn Capital Inc.  He remained in the position until August 1993, when he founded Jennings Capital Inc. in Calgary.Mr. Jennings has and currently serves as a board member on certain private companies as well as educational and charitable organizations |
| David B. CookCopenhagen, Denmark  | Yes | Yes | Mr. Cook is currently Chief Executive Officer of DONG Exploration and Production (part of the DONG Energy Group) located in Copenhagen, Denmark. Mr. Cook previously served as Executive Officer and Head of Oil and Gas at TAQA North ltd ("TAQA")  where he lead the Company's upstream and midstream interests in the Middle East, North America, the United Kingdom and Europe.  Prior to joining TAQA, he served as Vice President for BP Russia, responsible for British Petroleum's ("BP") non-TNK-BP exploration and production activities in Russia.  Mr. Cook has held a variety of global technical, commercial and managerial positions based from the US, UK, Russia and the Middle East as well as board of director roles.  Mr. Cook holds a BSc in Geophysics and a PhD in Geological Sciences. |

----

|                    |
|--------------------|
|                    |  |  |  |  |  |  |  |  |
|               |   | Fiscal Year Ended |   | Fiscal Year Ended |
|               |   | December 31, 2014 |   | December 31, 2013 |
| Audit Fees         |   | $ | 456,816 |  |   | $ | 541,969 |  |
| Audit Related Fees |   | $ | 39,824 |  |   | $ | 15,459 |  |
| Tax Fees           |   | $ | 94,080 |  |   | $ | 6,206 |  |
| All Other Fees     |   | NIL |  |   | NIL |  |
| TOTAL              |   | $ | 590,720 |  |   | $ | 563,634 |  |

|         |                                                                                                                               |
|---------|-------------------------------------------------------------------------------------------------------------------------------|
| • | the differential between the price paid by refiners for light, quality oil and various grades of oil produced by the Company; |

|         |                                                       |
|---------|-------------------------------------------------------|
| • | the level of consumer demand for oil and natural gas; |

|         |                                                         |
|---------|---------------------------------------------------------|
| • | the domestic and foreign supply of oil and natural gas; |

|         |                                                                                                             |
|---------|-------------------------------------------------------------------------------------------------------------|
| • | commodity processing, gathering and transportation availability, and the availability of refining capacity; |

|         |                                                                |
|---------|----------------------------------------------------------------|
| • | the price and level of imports of foreign oil and natural gas; |

|         |                                                                                                                                             |
|---------|---------------------------------------------------------------------------------------------------------------------------------------------|
| • | the ability of the members of the Organization of Petroleum Exporting Countries to agree to and maintain oil price and production controls; |

|         |                                                             |
|---------|-------------------------------------------------------------|
| • | domestic and foreign governmental regulations and taxation; |

|         |                                                         |
|---------|---------------------------------------------------------|
| • | the price and availability of alternative fuel sources; |

|         |                                |
|---------|--------------------------------|
| • | weather conditions, accidents; |

----

|         |                                                                                                                                    |
|---------|------------------------------------------------------------------------------------------------------------------------------------|
| • | political conditions or hostilities in oil and natural gas producing regions, including the Middle East, Africa and South America; |

|         |                                                                        |
|---------|------------------------------------------------------------------------|
| • | technological advances affecting energy consumption and energy supply; |

|         |                                                             |
|---------|-------------------------------------------------------------|
| • | the availability of pipeline capacities and infrastructure; |

|         |                                                                     |
|---------|---------------------------------------------------------------------|
| • | the availability of crude oil transportation and refining capacity; |

|         |                                                                                    |
|---------|------------------------------------------------------------------------------------|
| • | variations between product prices at sales points and applicable index prices; and |

|         |                                |
|---------|--------------------------------|
| • | worldwide economic conditions. |

----

|         |                                 |
|---------|---------------------------------|
| • | unexpected drilling conditions; |

|         |                                             |
|---------|---------------------------------------------|
| • | pressure or lost circulation in formations; |

|         |                                 |
|---------|---------------------------------|
| • | equipment failure or accidents; |

|         |                                             |
|---------|---------------------------------------------|
| • | fracture stimulation accidents or failures; |

|         |                             |
|---------|-----------------------------|
| • | adverse weather conditions; |

|         |                                                                              |
|---------|------------------------------------------------------------------------------|
| • | compliance with environmental, governmental or contractual requirements; and |

|         |                                                                                                                                                               |
|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | increases in the cost of, or shortages or delays in the availability of, electricity, supplies, materials, drilling or workover rigs, equipment and services. |

----

----

|         |                                                             |
|---------|-------------------------------------------------------------|
| • | the Company's production falls short of the hedged volumes; |

|         |                                                                                                                                                                |
|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | there is a widening of price-basis differentials between delivery points for the Company's production and the delivery point assumed in the hedge arrangement; |

|         |                                                                                                                                   |
|---------|-----------------------------------------------------------------------------------------------------------------------------------|
| • | the counterparties to the Company's hedging or other price risk management contracts fail to perform under those arrangements; or |

|         |                                                                          |
|---------|--------------------------------------------------------------------------|
| • | a sudden unexpected event materially impacts oil and natural gas prices. |

----

|         |                                                                                          |
|---------|------------------------------------------------------------------------------------------|
| • | historical production from the area compared with production from other producing areas; |

|         |                                                              |
|---------|--------------------------------------------------------------|
| • | the assumed effects of regulations by governmental agencies; |

|         |                                                                      |
|---------|----------------------------------------------------------------------|
| • | the quality, quantity and interpretation of available relevant data; |

|         |                                                     |
|---------|-----------------------------------------------------|
| • | assumptions concerning future commodity prices; and |

|         |                                                                                                                                            |
|---------|--------------------------------------------------------------------------------------------------------------------------------------------|
| • | assumptions concerning future operating costs; severance, ad valorem and excise taxes; development costs; and workover and remedial costs. |

----

|         |                                                                      |
|---------|----------------------------------------------------------------------|
| • | the quantities of oil and natural gas that are ultimately recovered; |

|         |                                              |
|---------|----------------------------------------------|
| • | the production and operating costs incurred; |

|         |                                                               |
|---------|---------------------------------------------------------------|
| • | the amount and timing of future development expenditures; and |

|         |                          |
|---------|--------------------------|
| • | future commodity prices. |

----

----

----

----

|                                                        |
|--------------------------------------------------------|
|                                                        |
| SCHEDULE "A"                                      |
| FORM 51-101F2                                          |
| REPORT ON RESERVES DATA                                |
| BY INDEPENDENT QUALIFIED RESERVES EVALUATOR OR AUDITOR |

|        |
|--------|
|        |  |
| 1.     | We have evaluated the Company's reserves data as at December 31, 2014. The reserves data are estimates of proved reserves and probable reserves and related future net revenues as at December 31, 2014, estimated using forecast prices and costs. |
|   |   |
| 2.     | The reserves data are the responsibility of the Company's management. Our responsibility is to express an opinion on the reserves data based on our evaluation. |
|   |   |
|   | We carried out our evaluation in accordance with standards set out in the Canadian Oil and Gas Evaluation Handbook (the "COGE Handbook") prepared jointly by the Society of Petroleum Evaluation Engineers (Calgary Chapter) and the Canadian Institute of Mining, Metallurgy & Petroleum (Petroleum Society). |
|   |   |
| 3.     | Those standards require that we plan and perform an evaluation to obtain reasonable assurance as to whether the reserves data are free of material misstatement. An evaluation also includes assessing whether the reserves data are in accordance with principles and definitions presented in the COGE Handbook. |
|   |   |
| 4.     | The following table sets forth the estimated future net revenue (before deduction of income taxes) attributed to proved plus probable reserves, estimated using forecast prices and costs and calculated using a discount rate of 10 percent, included in the reserves data of the Company evaluated by us for the year ended December 31, 2014 and identifies the respective portions thereof that we have audited, evaluated and reviewed and reported on to the Company's management. |

|                       |
|-----------------------|
|                       |  |  |  |  |  |  |  |  |  |  |  |  |
| Independent Qualified |   | Description and |   |   |   | Net Present Value of Future Net Revenue |
| Reserves Evaluator or |   | Preparation Date of |   | Location of |   | (before income tax, 10% discount rate) |
| Auditor               |   | Evaluation Report |   | Reserves |   | Audited |   | Evaluated |   | Reviewed |   | Total |
|                  |   |   |   |   |   | MM U.S. $ |   | MM U.S.$ |   | MM U.S.$ |   | MM U.S.$ |
| DeGolyer and          |   | Appraisal Report as of |   | Egypt |   | — |   | 344.3 |   | — |   | 344.3 |
| MacNaughton Canada    |   | December 31, 2014 on |   | Total |   | — |   | 344.3 |   | — |   | 344.3 |
| Limited               |   | Certain Properties owned |   |   |   |   |   |   |   |   |   |   |
|                  |   | by TransGlobe Energy |   |   |   |   |   |   |   |   |   |   |
|                  |   | Corporation in Egypt |   |   |   |   |   |   |   |   |   |   |
|                  |   | dated January 30, 2015 |   |   |   |   |   |   |   |   |   |   |

|        |
|--------|
|        |  |
| 5.     | In our opinion, the reserves data respectively evaluated by us have, in all material respects, been determined and are in accordance with the COGE Handbook, consistently applied. We express no opinion on the reserves data that we reviewed but did not audit or evaluate. |
|   |   |
| 6.     | We have no responsibility to update our reports referred to in paragraph 4 for events and circumstances occurring after their respective preparation dates. |
|   |   |
| 7.     | Because the reserves data are based on judgements regarding future events, actual results will vary and the variations may be material. |

|        |
|--------|
|        |  |  |
|   | DEGOLYER and MACNAUGHTON CANADA |
|   | LIMITED |
|   |   |   |
|   | Per: | (signed) "Nahla Boury, P.Eng." |
|   |   | Nahla Boury, P.Eng. |
|   |   | President |
|   |   | DeGolyer and MacNaughton Canada Limited |

----

|     |                                                                                                              |
|-----|--------------------------------------------------------------------------------------------------------------|
| (a) | reviewed the Company's procedures for providing information to the independent qualified reserves evaluator; |

|     |                                                                                                                                                                                                           |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (b) | met with the independent qualified reserves evaluator to determine whether any restrictions affected the ability of each such independent qualified reserves evaluator to report without reservation; and |

|     |                                                                                              |
|-----|----------------------------------------------------------------------------------------------|
| (c) | reviewed the reserves data with management and the independent qualified reserves evaluator. |

|     |                                                                                                                                                |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------|
| (a) | the content and filing with securities regulatory authorities of Form 51-101F1 containing the reserves data and other oil and gas information; |

|     |                                                                                                                           |
|-----|---------------------------------------------------------------------------------------------------------------------------|
| (b) | the filing of Form 51-101F2 which is the report of the independent qualified reserves evaluator on the reserves data; and |

|     |                                        |
|-----|----------------------------------------|
| (c) | the content and filing of this report. |

|        |
|--------|
|        |  |  |  |  |
| Per:   | (signed) "Ross Clarkson" |   | Per: | (signed) "Geoffrey Chase" |
|   | Ross Clarkson |   |   | Geoffrey Chase |
|   | President, Chief Executive Officer and Director |   |   | Director and Chair of the Reserves Committee |
|   |   |   |   |   |
|   |   |   |   |   |
| Per:   | (signed) "Lloyd Herrick" |   | Per: | (signed) "Robert Jennings" |
|   | Lloyd Herrick |   |   | Robert  Jennings |
|   | Vice-President, Chief Operating Officer and |   |   | Director and Chairman of the Board |
|   | Director |   |   |   |

----

|         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | The Committee will consist of a minimum of three members of the Board of Directors, appointed annually, each of whom is affirmatively confirmed by the Board of Directors as having satisfied the independence standards specified in all applicable rules of the Canadian provincial securities commissions, the U.S. Securities and Exchange Commission (the “SEC”) and any securities exchange on which the Company’s shares are traded, with such affirmation disclosed in the Company’s Management Proxy Circular. |

|         |                                                                                                                                                                                                                                                                                                                                                                                                                                          |
|---------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | The Committee will also consist of all members that meet the definition of “Financially Literate” as defined in National Instrument 52-110 Part 1(1.5) and are able to read and understand fundamental financial statements, including the Company’s balance sheet, income statement and cash flow statement. The Committee shall have at least one member that qualifies as a financial expert as defined by the SEC. |

|         |                                                                                                                                                                     |
|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | The Committee will not have participated in the preparation of the financial statements of the Company or its subsidiaries at any time during the past three years. |

|         |                                                                      |
|---------|----------------------------------------------------------------------|
| • | The Board will elect, by a majority vote, one member as chairperson. |

|         |                                                                                                                                                                                                                                                                                                                                 |
|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | A member of the Audit Committee may not, other than in his or her capacity as a member of the Audit Committee, the Board of Directors, or any other Board committee, accept any consulting, advisory, or other compensatory fee from the Company, and may not be an affiliated person of the Company or any subsidiary thereof. |

|         |                                                                       |
|---------|-----------------------------------------------------------------------|
| • | Meet on at least a quarterly basis, either in person or by telephone. |

|         |                                                                                                    |
|---------|----------------------------------------------------------------------------------------------------|
| • | Meet with the independent auditor on at least a quarterly basis, either in person or by telephone. |

|         |                                                             |
|---------|-------------------------------------------------------------|
| • | Provide to the Board of Directors proper Committee minutes. |

|         |                                                                                                                     |
|---------|---------------------------------------------------------------------------------------------------------------------|
| • | Report Committee actions to the Board of Directors with such recommendations as the Committee may deem appropriate. |

----

|         |                                                                                                                                      |
|---------|--------------------------------------------------------------------------------------------------------------------------------------|
| • | Annually review and reassess the adequacy of this Charter and recommend any proposed changes to the Board of Directors for approval. |

|         |                                                                                                                                                     |
|---------|-----------------------------------------------------------------------------------------------------------------------------------------------------|
| • | The Committee shall receive and review any reports from counsel to the Company concerning evidence of any material violation of law by the Company. |

|         |                                                                                                                                                                                                                                                                                                                                                      |
|---------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Adopt and review annually a mechanism through which employees and others can directly and anonymously contact the Audit Committee with concerns about accounting, internal accounting controls and auditing matters. The mechanism must include procedures for receiving, responding to, and keeping of records of, any such expressions of concern. |

|         |                                                                                                                  |
|---------|------------------------------------------------------------------------------------------------------------------|
| • | Recommend to the Board the annual nomination of the independent auditor to be proposed for shareholder approval. |

|         |                                                                                                              |
|---------|--------------------------------------------------------------------------------------------------------------|
| • | Approve the compensation of the independent auditor and evaluate the performance of the independent auditor. |

|         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
|---------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Establish policies and procedures for the engagement of the independent auditor to provide non-audit services.  The Audit Committee’s pre-approval procedure is to approve all non-audit services to be performed by the Company’s auditors in advance of the engagement of the Company’s auditors to perform such services.  The pre-approval process involves management presenting the Audit Committee with a description of any proposed non-audit services.  The Audit Committee considers the appropriateness of such services and whether the provision of those services would impact the auditor’s independence, including the magnitude of the potential fees.  Once the committee has satisfied itself of its concerns, if any, it then votes either in favor of or against contracting the Company’s auditors to perform the proposed non-audit services. |

|         |                                                                                                                                                                                                                                |
|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Ensure that the independent auditor is not engaged for any activities not allowed by any of the Canadian provincial securities commissions, the SEC or any securities exchange on which the Company’s shares are traded. |

|         |                                                                                                                                              |
|---------|----------------------------------------------------------------------------------------------------------------------------------------------|
| • | Ensure that the independent auditor is not engaged for any of the following nine types of non-audit services contemporaneous with the audit: |

|         |                                                                                                     |
|---------|-----------------------------------------------------------------------------------------------------|
| ◦ | Bookkeeping or other services related to accounting records or financial statements of the Company; |

|         |                                                          |
|---------|----------------------------------------------------------|
| ◦ | Financial information systems design and implementation; |

|         |                                                                                       |
|---------|---------------------------------------------------------------------------------------|
| ◦ | Appraisal or valuation services, fairness opinions, or contributions-in-kind reports; |

|         |                     |
|---------|---------------------|
| ◦ | Actuarial services; |

|         |                                      |
|---------|--------------------------------------|
| ◦ | Internal audit outsourcing services; |

|         |                                             |
|---------|---------------------------------------------|
| ◦ | Any management or human resources function; |

|         |                                                                     |
|---------|---------------------------------------------------------------------|
| ◦ | Broker, dealer, investment advisor, or investment banking services; |

|         |                     |
|---------|---------------------|
| ◦ | Legal services; and |

|         |                                                  |
|---------|--------------------------------------------------|
| ◦ | Expert services related to the auditing service. |

|         |                                                                                                                                                                                                                                                                          |
|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Ensure that the independent auditor is compliant with the SEC, any security exchange on which the Company’s shares are traded and the Institute of Chartered Accountants of Alberta (Rules of Professional Conduct) regarding Audit Partner Rotation requirements. |

|         |                                                                                                                                                                                                                                                                                                            |
|---------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Ensure that no senior officer or employee who is, or in the past full year has been, affiliated with or employed by a present or former auditor of the Company or an affiliate, is hired by the Company until at least one full year after the end of either the affiliation or the auditing relationship. |

|         |                                                                                       |
|---------|---------------------------------------------------------------------------------------|
| • | Take reasonable steps to confirm the independence of the auditor which shall include: |

|         |                                                                                                                                                                                                                                                                            |
|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| ◦ | ensuring receipt from the independent auditor of a formal written statement delineating all relationships between the independent auditor and the Company, consistent with the Independence Standards Board Standard No. 1 and related Canadian regulatory body standards; |

|         |                                                                                                                                                                                                       |
|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| ◦ | considering and discussing with the independent auditor any relationships or services, including non-audit services, that may impact the objectivity and independence of the independent auditor; and |

|         |                                                                                                                                                    |
|---------|----------------------------------------------------------------------------------------------------------------------------------------------------|
| ◦ | as necessary, taking, or recommending that the Board of Directors take, appropriate action to oversee the independence of the independent auditor. |

----

|         |                                                                                                         |
|---------|---------------------------------------------------------------------------------------------------------|
| • | The Audit Committee may request the presence of the independent auditor at any Audit Committee meeting. |

|         |                                                                                                                                                                                                   |
|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | At the request of the independent auditor, convene a meeting of the Audit Committee to consider matters the auditor believes should be brought to the attention of the directors or shareholders. |

|         |                                                                                                                 |
|---------|-----------------------------------------------------------------------------------------------------------------|
| • | Keep minutes of its meetings and report to the Board for approval of any actions taken or recommendations made. |

|         |                                                                                                                                             |
|---------|---------------------------------------------------------------------------------------------------------------------------------------------|
| • | Ensure no restrictions are placed by management on the scope of the auditors’ review and examination of the Company’s accounts. |

|         |                                                                                                                                                                                      |
|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Ensure that no Officer or Director attempts to fraudulently influence, coerce, manipulate or mislead any accountant engaged in auditing of the Company’s financial statements. |

|         |                                                                                                              |
|---------|--------------------------------------------------------------------------------------------------------------|
| • | Consider, in consultation with the independent auditor, the audit scope and plan of the independent auditor. |

|         |                                                                                                                                                                                                 |
|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Consider and review with the independent auditor the matters required to be discussed by Statement on Auditing Standards No. 61, as the same may be modified or supplemented from time to time. |

|         |                                                                                                             |
|---------|-------------------------------------------------------------------------------------------------------------|
| • | Review and discuss with management and the independent auditor at the completion of the annual examination: |

|         |                                                               |
|---------|---------------------------------------------------------------|
| ◦ | the Company's audited financial statements and related notes; |

|         |                                                                              |
|---------|------------------------------------------------------------------------------|
| ◦ | the Company’s MD&A and news releases related to financial results; |

|         |                                                                                     |
|---------|-------------------------------------------------------------------------------------|
| ◦ | the independent auditor's audit of the financial statements and its report thereon; |

|         |                                                                           |
|---------|---------------------------------------------------------------------------|
| ◦ | any significant changes required in the independent auditor's audit plan; |

|         |                                             |
|---------|---------------------------------------------|
| ◦ | any non-IFRS related financial information; |

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|---------|------------------------------------------------------------------------------------------------------|
| ◦ | any serious difficulties or disputes with management encountered during the course of the audit; and |

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|---------|-----------------------------------------------------------------------------------------------------------------------------------------------------|
| ◦ | other matters related to the conduct of the audit, which are to be communicated to the Audit Committee under generally accepted auditing standards. |

|         |                                                                                                                                                                                                                                                                                                                              |
|---------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Review and discuss with management and the independent auditor annual and interim financial statements (including related notes and MD&A) at the completion of any review engagement or other examination and prior to public disclosure, and resolve to recommend approval of said documents to the Board of Directors. |

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|---------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Review and discuss with management and the independent auditor the adequacy of the Company's internal control over financial reporting that management and the Board of Directors have established and the effectiveness of those systems, including, but not limited to, review and discussion of (1) management’s report on its assessment of the effectiveness of internal control over financial reporting as of the end of each fiscal year and the independent auditor’s report on management’s assessment and the effectiveness of internal control over financial reporting, (2) inquiry of management and the independent auditor about significant financial risks, exposures, deficiencies or material weaknesses identified and the steps management has taken to minimize such risks, exposures, deficiencies and material weaknesses to the Company and (3) any changes in internal control over financial reporting that have materially affected or are reasonably likely to materially affect the Company’s internal control over financial reporting and are required to be disclosed, as well as any other changes in internal control over financial reporting that were considered for disclosure in the Company’s periodic filings with the SEC. |

|         |                                                                                                                                                                                                                                         |
|---------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Meet separately with the independent auditor, management and the CFO as necessary or appropriate to discuss any matters that the Audit Committee or any of these groups believe should be discussed privately with the Audit Committee. |

|         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
|---------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Review and discuss with management and the independent auditor the accounting policies which may be viewed as critical, including all alternative treatments for financial information within generally accepted accounting principles that have been discussed with management, and review and discuss any significant changes in the accounting policies of the Company and industry accounting and regulatory financial reporting proposals that may have a significant impact on the Company's financial reports. |

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|---------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Review with management and the independent auditor the effect of regulatory and accounting initiatives as well as off-balance sheet structures, if any, on the Company's financial statements. |

|         |                                                                                                                                                                                                                                                                  |
|---------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Review with management and the independent auditor any correspondence with regulators or governmental agencies and any employee complaints or published reports which raise material issues regarding the Company's financial statements or accounting policies. |

|         |                                                                                                                                                                                                                                                                                        |
|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Review with the Company's General Counsel legal matters that may have a material impact on the financial statements, the Company's financial compliance policies and any material reports or inquiries received from regulators or governmental agencies related to financial matters. |

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|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Review, prior to filing with regulatory bodies, annual and periodic filings with the Canadian provincial securities commissions and the SEC and other published documents containing the Company's financial statements. |

|         |                                                                                                                                                                                                                                                                                                                                |
|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Review the Company’s policies with respect to risk assessment and risk management including, without limitation, environmental risk, insurance coverage and the risk of fraud. The Committee also shall discuss the Company’s major risk exposures and the steps management has taken to monitor and control them. |

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|---------|--------------------------------------------------------------------------------------------------------------------|
| • | Annually review this Charter and propose amendments to be ratified by a simple majority of the Board of Directors. |