PEN – Drilling completed in Block BM-S-63 offshore Brazil

Panoro Energy ASA (“PEN”, OSE ticker code), the independent oil and gas company with assets in West Africa and Brazil announces that the drilling of the Canário well is completed.

The Canario exploration well 1-VBEP-2-SPS was drilled in Concession BM-S-63 (Block S-M-1036) in the Santos basin. The well is located about 230 km south the town of Santos, São Paulo State, Brazil, in water depths of 200 meters. The well has reached a final depth of 4450 meters.

Panoro Energy ASA is currently evaluating the drilling results of the Canário prospect. However, preliminary data indicate that the well has not encountered material reservoirs with hydrocarbon.

Following the abandonment of this well, the GSF Arctic I rig will be moved to drill the third prospect in the exploration campaign, the Jandáia Prospect, which is expected to be spudded within two weeks.

Panoro Energy holds a 15 % working interest in this block and its share of the drilling costs for the Canário well have been fully carried. The partners are Vanco Brasil Exploração e Produção de Petróleo e Gas Natural Ltda (Operator 70%) and Brasoil Round 9 Exploração Petrolífera Ltda (15%).

For further information, please contact:

Carl Peter Berg, VP Commercial and Investor Relations
Cell: +55 21 8541 1907
Email: carl.peter.berg@panoroenergy.com

Please visit www.panoroenergy.com for more information.