Paul Hastings Advises Addax Petroleum Corporation on $1.6 Billion Acquisition

September 11, 2006

Paul Hastings Advises Addax Petroleum Corporation on $1.6 Billion Acquisition

London, September 11, 2006 - Paul Hastings, a premier international law firm, has advised Addax Petroleum Corporation in connection with the financing aspects of its acquisition of two subsidiaries of Pan-Ocean Energy Corporation Limited, together representing substantially all of the operations of Pan-Ocean Energy, for $1.605 billion in cash. Both transactions are expected to close in the third quarter of 2006, subject to customary closing conditions.

Under the terms of the sale, Addax also agreed to assume approximately $30 million of the acquired companies' existing indebtedness. The transaction was completed in accordance with a court set timetable under the terms of a Jersey law scheme of arrangement. Addax financed the acquisition from a mix of cash at bank, the proceeds of a capital markets issue in Canada and monies borrowed from a syndicate of lenders led by BNP Paribas S.A. and Standard Chartered Bank. Herbert Smith advised the banks.

The transactions were led by Keith Wilson and assisted by associate Will McCallum out of the firm's London office.

Paul, Hastings, Janofsky & Walker LLP, founded in 1951, is a leading international law firm with over 1,000 attorneys in 17 offices. The firm serves a diverse client base including many of the top financial institutions and Fortune 500 companies, supports clients in all of their legal needs and offers deep capabilities in Banking and Finance, Capital Markets, Corporate/M+A, Litigation and Dispute Resolution, Intellectual Property, Project Finance, Investment Management, Real Estate, Labor and Employment and Tax.