Spinnaker Apparent High Bidder on 15 Gulf of Mexico Blocks

Spinnaker participated in a total of 24 bid submissions for the Lease Sale 190 in the Gulf of Mexico. Twelve of these blocks are located in water depths of less than 200 meters (shelf) and 12 blocks in water depths greater than 200 meters (deep water).

Spinnaker submitted AHBs on a total of 15 blocks; seven on the shelf and eight in the deep water. Spinnaker's AHBs in shallow water primarily relate to deep shelf gas prospects. Spinnaker's net exposure to the AHBs is approximately $9.2 million.

Spinnaker's working interest averages 73% in the AHBs and the Company will serve as operator on 13 of the 15 blocks represented by the AHBs.

The AHBs represent approximately 81,000 gross acres and 59,000 acres net to Spinnaker. This would bring Spinnaker's gross and net holdings in the Gulf of Mexico to approximately 1,507,000 acres and 879,000 acres, respectively.