Mr. Keith Hill reports

AFRICA OIL CLOSES US$50-MILLION FINANCING AND UPDATES ON SHARE CAPITAL AND VOTING RIGHTS

Africa Oil Corp. has closed the $50-million (U.S.) non-brokered private placement previously announced on Aug. 18, 2015. Pursuant to an equity subscription agreement dated Aug. 18, 2015, 31,169,048 common shares, issued at a price of $2.10 (Canadian) per share for gross proceeds of $65,455,000 ($50-million (U.S.) (1)) have been released to International Finance Corp., a member of the World Bank Group. IFC now holds approximately 6.83 per cent of the issued and outstanding common shares of the company. With the issuance of 31,169,048 new common shares of the company, the total number of issued and outstanding shares of the company is, at the date hereof, 456,417,074 common shares with voting rights.

Net proceeds of the private placement will be used to finance the company's oil and gas exploration, appraisal and development activities, and general working capital requirements, primarily aimed at advancing the appraisal and development of the South Lokichar basin in blocks 10BB and 13T.

The Toronto Stock Exchange has conditionally approved the private placement, and the new shares will be admitted to trading on the Nasdaq Stockholm.

About IFC

IFC, a member of the World Bank Group, is the largest global development institution focused on the private sector in emerging markets. Working with more than 2,000 businesses worldwide, IFC uses its capital, expertise and influence to create opportunity where it is needed most. In fiscal year 2015, IFC's long-term investments in developing countries rose to nearly $18-billion, helping the private sector play an essential role in the global effort to end extreme poverty and boost shared prosperity. For more information, visit the IFC website.

(1) Based on the U.S.-dollar/Canadian-dollar noon rate (1.3091), posted by the Bank of Canada for Aug. 17, 2015.

We seek Safe Harbor.