Equator Sets Friday Deadline for Peak Petroleum

Last month, Equator Exploration reported that it was continuing negotiations with Peak Petroleum Industries Nigeria Limited with respect to the commercial terms on which Peak will may remedy its default of its outstanding financial obligations under the Finance and Service Agreement.

The Company announces today that it has granted Peak a further extension to the payment date to end by 18:00 hours on Friday, May 11th (the "extended remedy period"). In the event that Peak is unable to organize finance and agree terms to remedy its default by the extended remedy period then Equator will assume 80 percent of the available profit hydrocarbons from the Bilabri field as opposed to its existing approximately 56 percent entitlement to profit oil and 40 percent entitlement to gas, from the field.