EXTREME COLD EFFECTS THE BADGER EXPLORER FULL SCALE TESTING

The extreme cold of Northern Europe during the last month has had effects on the progress of the full-scale test of the Badger Explorer. Therefore it has become necessary to implement extraordinary technical, operational measures as well as health and safety measures related to personnel which all together have complicated and delayed the testing. There will be operational limitations until the temperatures allow full progress of the full scale test again. "The Badger technology and in particular the test operations contain several uncertainty factors as well as risk elements. Operating in the extreme cold would result in additional risk elements which have to be avoided at this stage and which are not in the interest of the Company, our partners and our shareholders. Because of the current weather conditions we have decided to proceed in a controlled and responsible manner to avoid any harm to personnel and the Badger Explorer prototype", says Kjell Erik Drevdal, CEO of Badger Explorer ASA. The completion of the full-scale test will depend on a positive development in the weather and temperature conditions. Extensive compensatory actions are evaluated and considered to be introduced in case the cold stretches into February. For further information, please contact: Kjell Erik Drevdal, CEO, Badger Explorer ASA Tel: +47 52 97 45 15 Mob: +47 91 64 35 52 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 utilizing 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. www.bxpl.com This information is subject of the disclosure requirements acc. to §5-12 vphl (Norwegian Securities Trading Act)