2010-08-31-2010-08-12

Plans to buy 100% WI in 2 offshore Nigerian leases, gaining 500 MMBO gross unrisked resources.

Camac Energy Inc., Hartsdale, N.Y., (NYSE Amex: CAK) plans to acquire a 100% interest in two offshore Nigeria leases from Camac Energy Holdings Ltd., Camac International (Nigeria) Ltd. and Allied Energy Resources Nigeria Ltd. for an undisclosed price.

The assets include Oil Mining Leases (OML) 120 and 121, both in shallow waters. OML 120 contains Oyo Field, a defined oil field acquired by Camac subsidiaries in April. One shallow-water well has been drilled outside of Oyo Field on OML 120, which encountered oil pay in the upper Miocene interval. OML 121 contains a 2008 discovery well, which is estimated to hold more than 90 feet of net gas pay in two separate reservoirs.

The companies have identified eight new prospects on both leases, with combined estimated potential of more than 500 million barrels of gross unrisked oil resources. Upside gas potential is currently being assessed by an independent third party.

Camac expects to enter a definitive agreement to acquire the full interest by Oct. 15.

Camac interim chief executive officer Bill Dozier says, "This potential acquisition builds on our strategy to add assets with multiple development prospects that offer potential for the addition of significant oil and gas reserves to the company."

Dozier adds that the deal builds upon the successful movement by the company to a cash flow positive position.