VAALCO ENERGY Provides Update on Block 5 Offshore Angola
HOUSTON, TEXAS – February 14, 2012 – VAALCO Energy, Inc. (NYSE: EGY) today provided an
update on the company’s working interest in Block 5 offshore Angola. VAALCO recently received
written confirmation from the Angolan national oil company, Sonangol, that the government of Angola
has granted a time extension of the production sharing agreement for Block 5 through the end of 2012.
VAALCO is continuing to work with Sonangol both to identify a working interest partner and to explore
possible options involving well drilling obligations and the acquisition and reprocessing of additional 3D
seismic data to further develop additional pre-salt leads.
VAALCO noted that recent discovery announcements by other operators appear to confirm the presence
of prolific, mature, source rocks and thick, high quality pre-salt reservoirs in the Kwanza basin.
VAALCO’s Block 5, located in the northern portion of the basin, is situated to trap pre-salt hydrocarbons
which may have migrated up-dip from the deeper part of the basin.
Forward-Looking Statements
This document includes “forward-looking statements” within the meaning of Section 27A of the
Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended.
Forward-looking statements are those concerning VAALCO’s plans, expectations, and objectives for
future drilling, completion and other operations and activities. All statements included in this document
that address activities, events or developments that VAALCO expects, believes or anticipates will or may
occur in the future are forward-looking statements. These statements include expected capital
expenditures, prospect evaluations, negotiations with governments and third parties, and reserve growth.
These statements are based on assumptions made by VAALCO based on its experience perception of
historical trends, current conditions, expected future developments and other factors it believes are
appropriate in the circumstances. Such statements are subject to a number of assumptions, risks and
uncertainties, many of which are beyond VAALCO’s control. These risks include, but are not limited to,
inflation, lack of availability of goods, services and capital, environmental risks, drilling risks, foreign
operational risks and regulatory changes. Investors are cautioned that forward-looking statements are not
guarantees of future performance and that actual results or developments may differ materially from those
projected in the forward-looking statements. These risks are further described in VAALCO’s annual
report on Form 10-K for the year ended December 31, 2010, on Part II, Item 1A of Form 10-Q for the
quarter ended March 31, 2011 and other reports filed with the SEC which can be reviewed at
http://www.sec.gov, or which can be received by contacting VAALCO at 4600 Post Oak Place, Suite 300,
Houston, Texas 77027, (713) 623-0801. VAALCO disclaims any intention or obligation to update or
revise any forward-looking statements, whether as a result of new information, future events, or otherwise.
About VAALCO
VAALCO Energy, Inc. is a Houston based independent energy company principally engaged in the
acquisition, exploration, development and production of crude oil. VAALCO’s strategy is to increase
reserves and production through the exploration and exploitation of oil and natural gas properties with
high emphasis on international opportunities. The company’s properties and exploration acreage are
located primarily in Gabon and Angola, West Africa and the United States.
Investor Contact
Gregory R. Hullinger
Chief Financial Officer
713-623-0801
Media Contact
Tim Lynch / Jed Repko
Joele Frank, Wilkinson Brimmer Katcher
212-355-4449