Artumas Closes Over-subscribed Private Placement

Artumas Group Inc. reported the successful closing of the Private Placement announced on 29 March 2007, for gross proceeds of USD 35 million (215 million NOK). The Offering was significantly over-subscribed.

The Offering comprised of 3,308,000 shares priced at 65,00 NOK (5.45% discount to closing price on 29 March 2007) in a combination of new shares and existing shares, equal to 15.7% of the existing number of outstanding shares in the company. The Offering consisted of 2,108,000 shares issued from Treasury, and 1,200,000 shares borrowed from members of Artumas' management, without any compensation.

The offering was subscribed by Norwegian and International institutional investors. EMP Africa Fund II PCC, of Washington, DC participated in the Offering. EMP Africa is a private equity fund manager targeting Africa infrastructure investments with a regionally diversified portfolio that spans numerous sectors such as telecoms, oil & gas, agribusiness, power & water and transportation.

Net proceeds of the offering will be used to finance working capital and the ongoing exploration and seismic programs of the Company's Mnazi Bay Concession.

ABG Sundal Collier ASA, the Lead Manager and First Securities, the Co-lead Manager, will undertake to file a prospectus with the Oslo Bors whereby the borrowed shares will be returned to management upon the issuance of shares under the prospectus.

Artumas Group Inc. is an international energy producer focused on monetizing its hydrocarbon reserves in the Rovuma Delta Basin in Tanzania and Mozambique. By exploring, developing, producing and commercializing known petroleum systems, Artumas is poised to deliver a sustainable rate of return for its stakeholders while creating social and economic opportunities for the people of Eastern Africa. Artumas' common shares trade on the Oslo Stock Exchange under the symbol AGI.