Asset - Satu Mare Concession

• 453,339 net acres concession bordering on Hungary
• Farm-in agreement:
• Signed April 2008, est. max. commitment $12.5 million to earn 60% in entire concession
• Winstar operates
• Commitment to fulfill 100% of first stage ($6.6 million) of minimum exploration program by February 2012

Phase 1 Work Commitment

• Re-processed approx. 1,075 km of existing 2-D seismic (completed)
• Drill two exploration wells by Q1 2012

Fiscal and Economic Regime

• Royalty: 3.5 to 13.5%
• Income tax: 16%