AGREEMENT NEGOTIATED WITH INDUSTRY PARTNERS

Badger Explorer ASA (BXPL) has negotiated an addendum to the agreement with the Company's three partners ExxonMobil, Shell and StatoilHydro. The agreement is pending final signature from the partners, which is expected in the near future. The new agreement gives the three partners first right of refusal to buy the full manufacturing and operational capacity of all Badger Explorers at market price for a period of three years from commercialization. In return, Badger Explorer will receive from the partners the necessary operational and technical support with regards to access to offshore platforms, vessels, equipment, technology, facilities, data and skills sets for the completion of the Badger Explorer prototype, through to and including commercial operations. - This agreement is one of the most important milestones in BXPL's history, securing vital operational and technical support for the development of Badger Explorer well into the commercial phase. We are very pleased with the enhanced commitment from our partners, which in effect could secure delivery of all manufacturing capacity of Badger Explorers for the first three years at market price, says Badger Explorer ASA CEO Kjell Erik Drevdal. The three major oil companies have been sponsors to Badger Explorer ASA since 2005 and are all members of the project's steering committee. The agreement secures BXPL vital resources for completion of Badger Explorer through to and including commercial operations. For further information, please contact: Kjell Erik Drevdal, CEO, +47 916 43 552 or attend the lunch-presentation of BXPL's Q4-results which will take place as follows: Oslo, February 28th 11.00-12.30 at Hotel Continental Stavanger; February 29th 11.00-12.30 at Viking Konferansesenter, Investorlosjen, Hinna Park About Badger Explorer ASA Badger Explorer ASA is developing a revolutionary method for exploration and verification of oil and gas prospects, called Badger Explorer. Badger Explorer drills down and buries itself in the underground, equipped with numerous sensors, which measure and register vital formation and physical data. The method provides a substantially lower risk, cost and complex operation compared to utilising an expensive conventional drilling rig. The crushed formation cuttings are transported through the tool, deposited and compressed in the void behind the unit. Potential excess volume is injected into fractures generated by Badger Explorer. The unit is connected to a combined power and signal cable which again is connected to the surface. The unit is powered by electricity and transmits data signals to the surface through the cable. In addition, the wholly owned Badger Plasma Technology AS subsidiary has an exclusive licence to exploit the patented plasma channel drilling (PCD) technique developed at Britain`s University of Strathclyde. The solution is removing scale and other obstructions in production/injection wells with the aid of sparks generated at high electrical voltages. www.bxpl.com