Africa Oil Corp.
Interim report

AFRICA OIL 2015 FIRST QUARTER FINANCIAL  AND OPERATING RESULTS AND NOTICE OF AGM

May 14, 2015 (AOI–TSX, AOI–Nasdaq Stockholm) … Africa Oil Corp. (“Africa Oil”
or the “Company”) is pleased to announce its financial and operating results
for the three months ended March 31, 2015. 

During the first quarter of 2015, seven wells finalized drilling across the
South Lokichar Basin and the North Turkana basin in Block 10BA, Kenya. In
addition, the Company is continuing its extensive exploration and appraisal
program in the South Lokichar Basin in Blocks 10BB and 13T. The extensive
appraisal activities in Kenya, including the planned Extended Well Test
(“EWT”), along with the development concept studies completed in 2014, will
enable a draft Field Development Plan (FDP) to be prepared by end 2015. One
drilling rig is currently active in the South Lokichar Basin. 

The current ambition of the joint venture partnership is to position the South
Lokichar Basin development, and an export pipeline, for possible sanction by
the end of 2016, subject to receipt of all necessary permits and approvals.
Good progress continues to be made towards development of these oil resources
and as part of the ongoing collaboration between the Governments of Kenya and
Uganda on the oil export pipeline for the Lake Albert and South Lokichar
resources, a joint technical adviser was appointed in late 2014. The
independent technical studies being undertaken by the adviser, with extensive
support from the Kenya and Uganda upstream partners, are progressing rapidly
and should assist in the finalization of the pipeline route. 

At March 31, 2015, the Company had cash of $187.4 million and working capital
of $53.2 million. During February 2015, the Company completed a brokered
private placement issuing an aggregate of 57,020,270 shares at a price of SEK
18.50 per share ‎for gross proceeds of SEK 1,055 million or $125.0 million. A
cash commission was paid in the amount of $4.5 million. Subsequent to the first
quarter of 2015, the Company entered into an investment agreement relating to a
non-brokered private placement wherein 53,623,377 shares will be issued at a
price of CAD $2.31 for gross proceeds of CAD $121.6 million (US $100 million).
The Company expects the closing to occur by end of May 2015. 

The Company has completed the following significant operational activities in,
and subsequent to, the first quarter of 2015; 

  -- In January 2015, the Company announced the results of the Ngamia-5 and
     Ngamia-6 appraisal wells in Block 10BB (Kenya). The Ngamia-5 well is
     located 500 meters northeast of the Ngamia-1 discovery well in a different
     fault compartment and encountered 160 to 200 meters net oil pay, which is
     amongst the highest of all the wells drilled in the basin to date. The
     Ngamia-6 well is located approximately 800 meters north of the Ngamia-1
     well and in the same fault compartment as the Ngamia-5 well and encountered
     up to 135 meters net oil pay. Both wells have been suspended and one or
     both will be utilized in an EWT that will commence in the second quarter.
     Pressure data from the Ngamia-3, 5 and 6 wells demonstrates connectivity
     between the wells at multiple reservoir horizons, which will be further
     tested by the EWT.
  -- In January 2015, the Company announced the results of the Amosing-3
     appraisal well in Block 10BB (Kenya), located one kilometer northwest of
     the Amosing-1 discovery well.  The well encountered up to 140 meters of net
     oil pay and proved an extension of the field.  Pressure data from the
     Amosing-3 well indicated connectivity in some reservoir horizons
     encountered in the Amosing-1, 2 & 2A wells.
  -- In January 2015, the Company announced the results of the Epir-1
     exploration well. The well was drilled to a total depth of 3,057 meters in
     the North Kerio Basin in Block 10BB (Kenya).  The well encountered a 100
     meter interval of wet hydrocarbon gas shows with florescence indicating the
     presence of an active petroleum system.  The hydrocarbon shows were
     encountered primarily in rocks which are not of reservoir quality.  The
     partnership is very encouraged the Epir-1 well has demonstrated a working
     hydrocarbon system in the Kerio Basin and technical work will now focus on
     identifying a prospect in the basin where there is a high chance of
     trapping hydrocarbons in reservoir quality rock.
  -- In March 2015, the Company provided an update on the Amosing Extended Well
     Test (EWT) in Block 10BB (Kenya). The Amosing -1 and Amosing -2 wells were
     completed in five zones with hydraulically controlled completions that
     permit independent tests of selected intervals without well intervention in
     preparation for an Extended Well Test (EWT) of the field. Initial rig-less
     flow testing during clean-up at a combined maximum rate of 5,600 and 6,000
     bopd respectively exceeded expectations, demonstrating high quality
     reservoir sands which flowed 31 to 38 degree API dry oil under natural
     conditions. Pressure data during the initial clean-up flows shows
     connectivity between the two completed wells in the upper three zones with
     further production testing required to test connectivity in the lower two
     zones.  These findings support the static pressure data which indicated
     connectivity between the Amosing-1, 2, 2A and 3 wells in multiple zones.
     The Amosing EWT results are expected in the second quarter of this year.
  -- In March 2015, the Company announced the results of The Ngamia-7 well in
     Block 10BB (Kenya). The well was drilled 1.2 kilometers east of the
     Ngamia-3 well and encountered up to 130 meters of net oil pay identifying a
     large eastern extension of the field that had been identified from the new
     3D seismic survey.
  -- In March 2015, the Company announced that the Engomo-1 well was drilled,
     which was the first test of the North Turkana Basin in Block 10BA, (Kenya).
     This prospect is to the west of Lake Turkana where numerous naturally
     occurring oil slicks and seeps have been observed. The Engomo-1 exploration
     well in Block 10BA was drilled to a total depth of 2,353 meters. The well
     encountered interbedded siltstones, sandstones and claystones, becoming
     more tuffaceous and tight until reaching a total depth in basement.  No
     significant oil or gas shows were encountered and the well has been plugged
     and abandoned.  The prevalence of tight facies in the wellbore may be due
     to the well’s close proximity to the basin bounding fault. Future analysis
     will be focused on understanding how this result impacts the remaining
     prospectivity in the basin.
  -- In April 2015, the Company announced the results of the Ngamia-8 appraisal
     well in Block 10BB (Kenya), which encountered up to 200 meters of net oil
     pay in line with pre-drill expectations. The well was positioned in the
     center of the Ngamia structure and static pressure data indicates the well
     is in pressure communication with the oil discovered in the neighboring
     Ngamia-1A, Ngamia-3, Ngamia-5, Ngamia-6 and Ngamia-7 wells.
  -- In April 2015, the Company announced that the Amosing-4 well in Block 10BB
     (Kenya), located approximately one kilometer southeast of the Amosing-1
     well, was drilled to test the southern extent of the field and successfully
     encountered 27 meters of net oil pay in thick upper reservoir zones proving
     the significant down-dip extent of the field.
  -- In April 2015, the Company announced that the Ekales-2 appraisal well
     reached a total depth of 4,059 meters and encountered an estimated 60-100
     meters of net oil pay in the primary shallower objectives. This highly
     deviated well was also deepened to test the basin center stratigraphic play
     where it intersected sandstones with elevated pressures and 50 meters of
     oil bearing sands; however, operating conditions precluded logging and
     confirmation of any oil pay in this section. This was the first test of
     this exploration target and is very positive for the future upside
     potential of the South Lokichar Basin, above the significant oil resources
     already discovered.
  -- The full fast track processed data set for the 951 square kilometer 3D
     seismic survey over the series of significant discoveries along the western
     basin bounding fault in the South Lokichar Basin, is now available and is
     being interpreted. The 3D seismic indicates significantly improved
     structural and stratigraphic definition and additional prospectivity not
     evident on the 2D seismic.  The large Amosing North prospect located on the
     northern flank of Amosing and updip of the Ngamia field has been identified
     from the 3D seismic and is being assessed as a potential 2015 drilling
     candidate.  The 3D seismic mapping over the Etom area now shows that the
     Etom-1 discovery well was drilled in a graben between two large prospects,
     one located to the south and one to the north of the well. Technical work
     is being progressed so that these prospects are drill ready.  In addition,
     the 3D seismic also reinforces the potential of the intra-Lokhone shale
     amplitude prospectivity.
  -- The partnership has acquired over 1,100 meters of whole core from the wells
     drilled in the South Lokichar Basin, and an extensive program of detailed
     core analysis is ongoing that will provide results throughout the year.  A
     key focus of the core program is to better assess oil saturation and to
     refine the recovery factors of the main reservoir sands. Early core
     analysis results support the reservoir assumptions used in the contingent
     resource estimate and are reducing the uncertainty around oil saturations
     in the reservoir.
  -- In the Rift Basin Area Block (Ethiopia), a 2D seismic crew has mobilized
     and has commenced the acquisition of a minimum of 400 kilometer land and
     lake survey.  Source rock outcrops and oil slicks on the lakes have been
     identified in the block where there is no existing seismic or wells.



Keith Hill, President and CEO of Africa Oil, commented, "We continue to be
highly encouraged by the appraisal program in the South Lokichar Basin which is
above our expectations and confirms our belief that this is a world-class
asset. We are working closely with our partners and the Kenyan Government to
move the development project forward, particularly the export pipeline, which
is the key to unlocking the value of this asset. The 3D seismic has been a
great help in imaging new drilling targets in the basin and we plan to drill
some high impact wells with the potential to add significant resources in the
coming months." 





The Company also announces that the 2015 Annual General and Special Meeting
(the “Meeting”) of the shareholders of Africa Oil will be held at the Four
Seasons Hotel, 650 Howe Street, Vancouver, British Columbia, on Thursday, June
11, 2015 at the hour of 10:00 a.m. (Pacific Time) for the following purposes: 

  -- T
o receive the consolidated audited financial statements of the Corporation
     for the year ended December 31, 2014, together with the report of the
     auditors thereon;

  -- T
o fix the number of directors at five (5); 

  -- T
o elect directors to hold office until the next Annual General Meeting of
     the Corporation;

  -- T
o appoint PricewaterhouseCoopers, LLP as auditor of the Corporation to hold
     office until the next Annual General Meeting, at a remuneration to be fixed
     by the directors of the Corporation;

  -- T
o consider and, if thought fit, approve an ordinary resolution ratifying
     and confirming the Corporation’s 10% Rolling Stock Option Plan, as amended,
     and as more particularly described in the accompanying management
     information circular;

  -- T
o consider amendments to or variations of any matter identified in this
     Notice of Meeting; and

  -- T
o transact such other business as may properly be brought before the
     meeting.

The record date for the Annual General and Special Meeting is April 24, 2015. 
The full Meeting notice and accompanying management information circular are
available under the Company’s profile on SEDAR at www.sedar.com. 



Africa Oil Corp. is a Canadian oil and gas company with assets in Kenya and
Ethiopia as well as Puntland (Somalia) through its 41% equity investment in
Africa Energy Corp. The Company is listed on the Toronto Stock Exchange and on
Nasdaq Stockholm under the symbol "AOI". 



FORWARD LOOKING INFORMATION

Certain statements made and information contained herein constitute
"forward-looking information" (within the meaning of applicable Canadian
securities legislation). Such statements and information (together, "forward
looking statements") relate to future events or the Company's future
performance, business prospects or opportunities. Forward-looking statements
include, but are not limited to, statements with respect to estimates of
reserves and or resources, future production levels, future capital
expenditures and their allocation to exploration and development activities,
future drilling and other exploration and development activities, ultimate
recovery of reserves or resources and dates by which certain areas will be
explored, developed or reach expected operating capacity, that are based on
forecasts of future results, estimates of amounts not yet determinable and
assumptions of management. 

All statements other than statements of historical fact may be forward-looking
statements. Statements concerning proven and probable reserves and resource
estimates may also be deemed to constitute forward-looking statements and
reflect conclusions that are based on certain assumptions that the reserves and
resources can be economically exploited. Any statements that express or involve
discussions with respect to predictions, expectations, beliefs, plans,
projections, objectives, assumptions or future events or performance (often,
but not always, using words or phrases such as "seek", "anticipate", "plan",
"continue", "estimate", "expect, "may", "will", "project", "predict",
"potential", "targeting", "intend", "could", "might", "should", "believe" and
similar expressions) are not statements of historical fact and may be
"forward-looking statements". Forward-looking statements involve known and
unknown risks, uncertainties and other factors that may cause actual results or
events to differ materially from those anticipated in such forward-looking
statements. The Company believes that the expectations reflected in those
forward-looking statements are reasonable, but no assurance can be given that
these expectations will prove to be correct and such forward-looking statements
should not be unduly relied upon. The Company does not intend, and does not
assume any obligation, to update these forward-looking statements, except as
required by applicable laws. These forward-looking statements involve risks and
uncertainties relating to, among other things, changes in oil prices, results
of exploration and development activities, uninsured risks, regulatory changes,
defects in title, availability of materials and equipment, timeliness of
government or other regulatory approvals, actual performance of facilities,
availability of financing on reasonable terms, availability of third party
service providers, equipment and processes relative to specifications and
expectations and unanticipated environmental impacts on operations. Actual
results may differ materially from those expressed or implied by such
forward-looking statements. 



                             ON BEHALF OF THE BOARD

                                        

                                “Keith C. Hill”

                                President and CEO



The information in this release is subject to the disclosure requirements of
Africa Oil under the Swedish Securities Market Act and/or the Swedish Financial
Instruments Trading Act. This information was publicly communicated on May 14,
2015 at 2:00 p.m. Pacific Time. 

---

For the complete press release and report see attached file.




         For further information, please contact:  Sophia Shane, Corporate
Development (604) 689-7842.