Interim report for the quarter ended March 31, 2005

• Total revenue increased by 234% to MUSD 9.7 (MUSD 2.9)* • EBITDA amounted to MUSD 3.21 (MUSD 0.03) • The result before tax and minority interest improved to MUSD 2.3 (MUSD 0.1) • Earnings per share amounted to USD 0.00 (USD -0.00) • Oil production increased by 171% to 444,343 barrels • In April 2005 equity of MSEK 347.5 was raised through a preferential rights offering

*Comparisons reflect the quarter ended March 31, 2004 For further information: Maxim Barski, Managing Director, telephone +7-095 723 0718 Eric Forss, Chairman of the Board, telephone +46-8-613 00 85. This report has not been subject to review by the company’s auditors.