Genel Shares Barely Move on Half-Year Results

Outlook

• Average net working interest production for the full year expected to be circa 40,000 bopd, excluding any export sales. Sales revenue guidance for 2012 remains at circa $250-$300 million
• Continuing progress on the appraisal and development programmes at Taq Taq and Tawke to deliver production capacity growth and resource additions
• Exploration programme to continue throughout 2012: completion of additional testing on Peshkabir 1 and Ber Bahr 1, key wells to be spudded at Taq Taq Deep, Tawke Deep and Chia Surkh 10
• Significant cash resources of circa $1 billion (post the Bina Bawi and Miran acquisitions and the Miran loan) available for future acquisitions
• Pursuing further opportunities to deepen resource potential in the Kurdistan Region at the same time as geographical diversification through the acquisition of a high impact exploration portfolio within the Middle East and Africa

Commenting today Tony Hayward (pictured), chief executive, said:

"Genel has had a successful year to date, with strong operational progress across our business, further acquisitions in the Kurdistan Region and early steps taken to develop a high impact African exploration portfolio.

"We continue to build production capacity at both Taq Taq and Tawke and we are pleased that the construction of the pipeline infrastructure in the Kurdistan Region, which will allow us to more efficiently access the export market, has begun.

"We continue to add proven reserves as our two producing fields are further appraised and our high impact Kurdistan exploration programme is progressing to plan with considerable activity planned through the second half and into 2013.

"With the Bina Bawi and Miran acquisitions, we have reaffirmed our position as the leading oil and gas company in the Kurdistan region and at the same time we have expanded our footprint with the acquisition of our first exploration licences in Africa.

"With our operations in the Kurdistan Region self-financing, we have circa $1billion available to invest in new opportunities and are actively exploring a number of compelling opportunities in the Middle East and Africa."