SAPETRO has a 90% participating interest in the Belo Profond Production Sharing Contract (PSC), which is situated in deep-water offshore Madagascar, in the Mozambique Channel.

The Belo Profond permit in Madagascar, which covers an area of 13,770 km2 in water depths in excess of 1800m, is adjacent to the Juan de Nova permit and extends the plays to the south along the Davie Fracture Zone.

SAPETRO considers this block to contain a significant portion of a new deep-water exploration province adjacent to ENI and Anadarko’s recent major discoveries in East Africa with substantial thicknesses of favorably structured Tertiary and Mesozoic sedimentary packages.

On 30 July 2015 we entered the first extension phase of the exploration period and have successfully acquired 3,388 km 2-D seismic and 2,700 km2 of 3-D seismic in Belo Profond in 2012 and 2014 respectively. We are currently interpreting the 3D seismic where several huge prospects have been identified and we plan to confirm the age of the various oil generation horizons in the area by drilling stratigraphic wells in the second half of 2016.