Gallo Oil (Jersey) Ltd (“Gallo Oil”), through a Production Sharing Agreement (PSA) with the Ministry of Oil and Mineral (MOM) of the Republic of Yemen, has been conducting oil and gas exploration in the Republic of Yemen since 1997, specifically in Concession Block 13. For this concession, the Company holds a 100% operating stake. However, due to the political crisis/war in Yemen since early 2013, the situation remains unconducive to continue operations. Currently, the Company has suspended its operations in Yemen.