Artumas Issues Convertible Bonds Through Private Placement

President of Artumas Group Inc., Mr. Stephen Mason announces a 10.0% Senior Unsecured Convertible Bond financing through a private placement. The convertible bond issue will be a maximum US $30 million, denominated in notes of US $100,000 each.

The convertible bonds will carry a coupon of 10.0% per annum, paid semi-annually and will mature on or about December 20, 2010. The conversion price is NOK 53 per common share of Artumas Group Inc., subject to adjustment.

The Company may convert the bonds to common shares of Artumas Group Inc. on or after December 20, 2007, if the closing price of the common shares has exceeded NOK 90 for at least 20 trading days within a period of 30 consecutive trading days.

The net proceeds of the Offering will be used to finance the ongoing capital program which includes further development of the Mnazi Bay Gas Field, Mozambique capital requirements including performance bond and off-take market initiatives including feasibility and Front-End Engineering and Design (FEED) studies for the large scale power project.

Artumas Group Inc. has retained ABG Sundal Collier Norge ASA as Lead Manager, and First Securities ASA as Co-lead Manager.