Yemen

The Company has a 50% working interest in the Malik Block 9 Joint Venture in Yemen. The Company's right to produce crude oil under the Production Sharing Agreement ("PSA") continues to 2025, with a provision for a 5 year extension. The ownership of all assets, tangible and intangible, remains with the Yemen authority.

Ethiopia

During 2008, the Company signed a Production Sharing Contract ("PSC") with the Ethiopian Government on the Metema and Gimbi Blocks covering a total area of 11.5 million acres.

Canada

Existing properties are comprised of a small working interest in one property in Saskatchewan and overriding royalties.

Calvalley's expertise lies in its operating capabilities in the Middle East and Africa. The Company understands the technical, business, operational and cultural aspects of the oil and natural gas sector in the region. Calvalley continues to evaluate additional opportunities in the region to further lever this expertise.