Africa Oil Completes Farmout With New Age and Twiga Update

Africa Oil Completes Farmout With New Age and Twiga Update 
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 10/26/12 -- Africa Oil
Corp. ("Africa Oil" or the "Company") (TSX VENTURE:AOI)(OMX:AOI) is
pleased to report that it has completed the previously announced
(July 23, 2012) farmout agreement with New Age (African Global
Energy) Limited ("New Age") whereby New Age acquired an additional
25% interest in Africa Oil's Blocks 7 & 8 in Ethiopia, together with
operatorship of Blocks 7 & 8 and the Adigala Area. In consideration
of the assignment of the interest New Age paid Africa Oil $1.5
million in consideration of past costs. Following the completion of
the New Age farmout transaction, the resulting interest in Blocks 7 &
8 will be as follows: 

Blocks 7 & 8       Africa Oil 30%     New Age 40%         Afren plc 30%   

Keith Hill, Africa Oil's President and CEO, stated, "We are very
pleased to have completed this farmout to New Age, an existing
partner in our Ethiopian exploration program. We look forward to
working together to expand on the success we have had in our East
Africa exploration program to date. Africa Oil looks forward to
commencing drilling operations in Ethiopia, with the Sabisa-1 well
which is planned to be spud before the end of the year in the South
Omo Block. Tullow Oil plc ("Tullow") holds a 50% working interest and
operates the South Omo Block with Africa Oil holding the remaining
50% interest. East Africa is rapidly becoming the most prospective
oil and gas province in the world and the large, strategic land
portfolio we hold ensures we will be at the center of industry
In addition, the Company reports that it expects to announce drilling
results from the Twiga South-1 well, currently being drilled in Block
13T, in early to mid-November. Announcement of these results has been
slightly delayed due primarily to minor mechanical issues on the
drilling rig, which have now been addressed. The well is now drilling
ahead. The Twiga South-1 well is operated by Tullow. Africa Oil and
Tullow each hold 50% working interests in the block. 
Africa Oil Corp. is a Canadian oil and gas company with assets in
Kenya, Ethiopia and Mali as well as Puntland (Somalia) through its
45% equity interest in Horn Petroleum Corporation. Africa Oil's East
African holdings are in within a world-class exploration play fairway
with a total gross land package in this prolific region in excess of
300,000 square kilometers. The East African Rift Basin system is one
of the last of the great rift basins to be explored. New discoveries
have been announced on all sides of Africa Oil's virtually unexplored
land position including the major Albert Graben oil discovery in
neighboring Uganda. Africa Oil's recent Ngamia-1 discovery extends
the Albert Graben play into Kenya where Africa Oil along with partner
Tullow holds a dominant acreage position. Newly acquired seismic and
gravity data show robust leads and prospects throughout Africa Oil's
project areas. The Company is listed on the TSX Venture Exchange and
on First North at NASDAQ OMX-Stockholm under the symbol "AOI". 
Certain statements made and information contained herein constitute
"forward-looking information" (within the meaning of applicable
Canadian securities legislation). Such statements and information
(together, "forward looking statements") relate to future events or
the Company's future performance, business prospects or
opportunities. Forward-looking statements include, but are not
limited to, statements with respect to estimates of reserves and or
resources, future production levels, future capital expenditures and
their allocation to exploration and development activities, future
drilling and other exploration and development activities, ultimate
recovery of reserves or resources and dates by which certain areas
will be explored, developed or reach expected operating capacity,
that are based on forecasts of future results, estimates of amounts
not yet determinable and assumptions of management. 
All statements other than statements of historical fact may be
forward-looking statements. Statements concerning proven and probable
reserves and resource estimates may also be deemed to constitute
forward-looking statements and reflect conclusions that are based on
certain assumptions that the reserves and resources can be
economically exploited. Any statements that express or involve
discussions with respect to predictions, expectations, beliefs,
plans, projections, objectives, assumptions or future events or
performance (often, but not always, using words or phrases such as
"seek", "anticipate", "plan", "continue", "estimate", "expect",
"may", "will", "project", "predict", "potential", "targeting",
"intend", "could", "might", "should", "believe" and similar
expressions) are not statements of historical fact and may be
"forward-looking statements". Forward-looking statements involve
known and unknown risks, uncertainties and other factors that may
cause actual results or events to differ materially from those
anticipated in such forward-looking statements. The Company believes
that the expectations reflected in those forward-looking statements
are reasonable, but no assurance can be given that these expectations
will prove to be correct and such forward-looking statements should
not be unduly relied upon. The Company does not intend, and does not
assume any obligation, to update these forward-looking statements,
except as required by applicable laws. These forward-looking
statements involve risks and uncertainties relating to, among other
things, changes in oil prices, results of exploration and development
activities, uninsured risks, regulatory changes, defects in title,
availability of materials and equipment, timeliness of government or
other regulatory approvals, actual performance of facilities,
availability of financing on reasonable terms, availability of third
party service providers, equipment and processes relative to
specifications and expectations and unanticipated environmental
impacts on operations. Actual results may differ materially from
those expressed or implied by such forward-looking statements. 
Keith C. Hill, President and CEO 
Africa Oil's Certified Advisor on NASDAQ OMX First North is Pareto
Ohman AB. 
Neither the TSX Venture Exchange nor its Regulation Services Provider
(as that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release. 
Africa Oil Corp.
Sophia Shane
Corporate Development
(604) 689-7842
(604) 689-4250 (FAX)
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