Equator Exploration Completes Bilabri D3

Equator Exploration

Peak Petroleum Industries Nigeria Limited and Equator Exploration Limited report that the appraisal well Bilabri D3 was drilled to a vertical depth of 2,555 meters. The well was logged successfully over the C1 and C2 sands. All logging runs are now complete and it has been determined that the primary objective C1 sands are gas bearing.

The open-hole section of the well will be suspended and abandoned. It is expected that well operations on the D3 will be completed on November 7, 2006.

The results of Bilabri D3 well do not affect the base case development scheme for the Bilabri Oil Field. The existing Field Development Plan calls for three sub-sea wells to be produced through a Floating Production Storage and Off-take vessel ("FPSO"). The signing of a contract with BW Offshore Limited for the charter of the FPSO "BW Endeavour" was announced on October 7, 2006 and engineering and procurement are proceeding. First Oil is expected in the second half of 2007.

Equator Exploration Limited engages in the exploration and development of oil and gas projects in highly prospective West Africa. Equator's objective is to build a diversified portfolio of exploration, appraisal and production assets in the region. The Company has exploration interests in the territorial waters of Nigeria and of Sao Tome & Principe as well as in the Joint Development Zone between the two countries.