Interim Results for the six months ended 30 June

Ophir Energy plc

Interim Results for the six months ended 30 June 2014

London, 14 August 2014: Ophir Energy plc ("Ophir", the "Company" or the "Group") announces its Interim Results for the six months ended 30 June 2014.

Financial

§ Completion of the divestment of a 20% interest in Blocks 1, 3 and 4, Tanzania to Pavilion Energy for US$1.25 billion (pre-tax) with a further US$38 million payable on Final Investment Decision

§ Net profit after tax of US$339.1 million reflecting the gain on sale of the Tanzanian stake to Pavilion Energy

§ Net cash, cash equivalents and short-term investments of US$1,490.8 million at 30 June 2014

§ Board has approved a share buyback programme of up to US$100 million

Drilling and Operations

§ Four exploration wells drilled in the first half of the year: one discovery and three dry holes

§ Drilled the Taachui gas discovery in Block 1, Tanzania which has partially derisked the potential of the East Pande licence where the Tende prospect will be drilled in Q4

§ Three well exploration programme executed offshore Gabon. The wells were commercially unsuccessful, however the costs were substantially mitigated by carries from partners Petrobras and OMV

§ Significant progress with the Floating LNG project in Equatorial Guinea. Three well exploration and appraisal programme underway

§ Continued progress on the Tanzanian LNG project with the formation of an Integrated Project Team with Block 2 partners to co-ordinate the development of the shared onshore LNG facility. Pre-FEED contract awarded

§ Significant new acreage footprints acquired in the Seychelles and Myanmar (subject to completion), the first exploration position for Ophir outside of Africa

§ Total mean discovered resources net to the Company estimated at 830mmboe at the half year

Forward Outlook

During second half of 2014

§ Drilling programme continues in Tanzania and Equatorial Guinea with two drillships: three exploration wells, two appraisal wells and two flow tests expected by the end of November

§ Work on the onshore Tanzanian LNG facility continues led by the Integrated Project Team

§ Midstream partner and gas terms negotiations for the Floating LNG project in Equatorial Guinea being finalised

§ Continue to evaluate further portfolio additions

2015 onwards

§ Further incremental value will be unlocked in Tanzania and Equatorial Guinea with pre-development work continuing on both projects

§ Capital expenditure in 2015 will be approximately half the level of 2014, with the exploration focus shifting to seismic acquisition and interpretation

§ The Company is well funded and remains committed to its exploration led strategy which includes the acquisition of new licences

§ The Board also continues to examine options for maximising shareholder returns. These include the future business model and uses of any surplus funds, which includes the share buyback programme announced today

Commenting today, Nicholas Smith, Chairman, said:

"The highlight in the first half of 2014 was the completion of our transaction in Tanzania with Pavilion Energy. This was the culmination of several years of hard work by the Company and is testament to Ophir's strategy of monetising exploration success in a timely manner. The proceeds from the deal leave the Company well financed through 2015. After assessing our near-term capital needs and, in the opinion of the Board, with our shares trading below the core value of the business, a capital return to shareholders has been approved via a share buyback programme announced today."

Our Floating LNG project in Equatorial Guinea continues to make good progress and we hope to give further updates later in 2014 as we confirm selection of the Midstream consortium, agree gas terms and complete this year's drilling campaign. As with our Tanzanian transaction, our intent is to monetise at the point of optimum returns to shareholders. Whilst the recent drilling programme in Gabon was disappointing, we remain committed to offering shareholders exposure to a diverse portfolio of exploration prospects and plays, acknowledging that exploration is a high-risk activity. Ophir's drilling programme continues at a pace, after drilling four wells in the first half of 2014 we are undertaking a further five wells plus two flow tests in the second half of the year. Our New Ventures activity has secured acreage in Myanmar and the Seychelles and further additions are being progressed."

Nick Cooper, CEO, said:

"Ophir's model of finding and monetising resources through disciplined exploration continues along with progress in the maturation of our 830mmboe of net discovered resource towards monetisation. After a difficult period for Ophir and the independent E&P sector, capital expenditure will be reined back in 2015 as we position Ophir for the next phase of drilling. Exploration will remain central to Ophir's future business model, but may over time be supported by more mature assets if these are in the best interests of shareholders."

A call with management will be held at 0830 BST following this announcement. Participants can dial in using the following details:

Dial-in number: +44 (0)1452 555566

Conference ID: 84212442

For Further Enquiries please contact:

Ophir Energy plc +44 (0)20 7811 2400

Nick Cooper, CEO

Lisa Mitchell, CFO

Brunswick Group +44 (0)20 7404 5959

Patrick Handley

Elizabeth Adams

Notes to Editors

Ophir Energy (OPHR.LN) is an, upstream oil and gas exploration company which is a member of the FTSE 250. The Group's headquarters are located in London (England), with operational offices in Perth (Australia), Malabo (Equatorial Guinea), Dar es Salaam and Mtwara (Tanzania), Libreville (Gabon) and Nairobi (Kenya).For further information on Ophir, please refer to www.ophir-energy.com 

Interim Management report

six months ended 30 June 2014

Strategic overview

Ophir remains committed to its exploration led strategy and the successful monetisation of the 20% stake in Blocks 1, 3 and 4, Tanzania to Pavilion Energy highlights the significant value creation that this can deliver for shareholders. In both Tanzania and Equatorial Guinea, the Company sees the potential for further material value to be matured over the next eighteen months as the two LNG projects progress through the pre-development phase.

In recent years the focus of drilling activity has been on these core assets, but 2014 has seen this balanced by higher risk exploration activity in new basins and plays. In the first half of the year the Company drilled four exploration wells, resulting in one success (in Tanzania) and three dry holes (in Gabon). It is disappointing that the drilling in Gabon has not to date delivered commercial success, however, consistent with the strategy of mitigating the high risks and costs of deepwater drilling, Ophir's share of the dry hole costs were minimised through farm-outs to Petrobras and OMV.

Key to our strategy is offering shareholders a diverse portfolio of operated exploration plays and prospects that have significant running room in the event of success. A large portion of the existing portfolio is being drilled up in 2014, and high-impact upside still remains in the second half of the year on the liquids play in Equatorial Guinea and on East Pande in Tanzania. Across these assets Ophir will be drilling a further three exploration wells, two appraisal wells and conducting two flow tests in the second half of the year.

Ophir's New Ventures team remains active and the Company has already announced this year the acquisition of new licences in both Myanmar (subject to finalisation of PSC) and the Seychelles. Negotiations are also well advanced for further exploration portfolio additions. The Company seeks high quality plays that have not previously been available to the industry: either for geopolitical reasons or due to incorrect or outdated models and where Ophir can apply its geological expertise. The Company firmly believes that this is a good time to be acting counter-cyclically and entering new quality exploration footprints. The entry costs into exploration assets have dropped dramatically with the Majors reducing spending on discretionary projects, Independents largely in retreat from International deepwater exploration and with the oil and gas sector out of favour with equity markets. In addition, we are starting to see a significant reduction in rig rates and service costs, making our exploration activities more cost effective.

Ophir remains well financed with net cash, cash equivalents and short-term investments of c.US$1.5 billion at the half year. Total capital expenditure for the year is now estimated to be c.US$600 million reflecting the increased drilling, seismic and commercial activity the Company is undertaking during 2014 as compared to prior years. The revised guidance includes activities on new licences acquired in the first half of the year, in particular seismic programmes in Myanmar and a 3D seismic programme recently completed in the Seychelles, increased activity in Blocks 1, 3 and 4 including the Taachui Drill Stem Test, and higher costs on the Affanga Deep well in Gabon. After such an active year with the drillbit in 2014, next year will see a greater focus on seismic acquisition and interpretation across the portfolio alongside analysis of the considerable volume of well data from this year's drilling activities and on ongoing pre-development work on the Company's LNG projects. This is part of the normal nature of exploration where pulses of drilling activity are followed by periods of analysis and preparation for the next phase of activity. Therefore, capital expenditure is forecast to be significantly lower in 2015 compared to this year ahead of a return to high-impact drilling in 2016 and beyond.

Ophir's Board recognises the negative market sentiment towards the E&P sector and recent disappointing exploration results by Ophir and its peers. The Board and Management continue to examine options for maximising shareholder returns. After assessing the near-term capital needs of the business and the discount the Company's shares are trading at in relation to the underlying core value of the asset base, the Board has approved a share buyback programme of up to US$100 million.

Operations Review

Tanzania

Blocks 1, 3 and 4 (20% non-operated interest)

Exploration and appraisal activities have continued across Blocks 1, 3 and 4 along with pre-development work as the focus of the Joint Venture shifts to progressing the proposed LNG development.

In June, the Taachui-1 exploration well near the north-west boundary of Block 1 was completed as a new gas discovery having encountered 155m of net gas pay within the targeted Cretaceous reservoir interval. A Drill Stem Test (DST) was subsequently performed on the well which flowed at a rate of 14.5mmcfd. Further technical work is ongoing to evaluate the results of the test and the data gathered from the well.

Plans for the Midstream LNG project are progressing. The development plan proposes the sharing of the LNG facility with the Joint Venture in Block 2 operated by Statoil and an Integrated Project Team has been formed to deliver early works. A pre-FEED contract in respect of the Midstream development has been awarded and separately a contract for pre-FEED covering the Upstream development on Blocks 1, 3 and 4 has also now been awarded.

A DST is currently being undertaken on the Mzia-3 appraisal well drilled last year and the Deepsea Metro I drillship will then move to Block 4 to drill the Kamba-1 exploration well where the mean prospective resource is estimated at c.0.5 TCF. The well has also been designed to test the low-risk Pweza North prospect with mean prospective resources of c.0.2 TCF. If successful, these prospects would be integrated into development planning for the Block 4 hub which already contains mean discovered resource of c.4.5 TCF.

Including the volumes from the Taachui discovery, 2C gross mean recoverable resources across Blocks 1, 3 and 4 are estimated at 16.7 TCF equating to net mean resource to Ophir of 2.9 TCF (484 mmboe).

East Pande (70% operated interest)

Interpretation of the Ndizi 3D survey was completed last year and confirmed multiple prospects in both Tertiary and Cretaceous aged plays. The first prospect to be drilled will be Tende which is expected to spud in early Q4 utilising the Deepsea Metro I drillship in the southern area of the licence. Tende has mean prospective resource potential of c.2.4 TCFe and whilst it is primarily expected to be a gas target, charge modelling suggests there could be the possibility of liquids at this location.

The successful Taachui well in Block 1 located near the southern boundary of the East Pande licence has reduced hydrocarbon charge and migration risk into the Tende prospect with trap integrity and reservoir quality the remaining key pre-drill risks.

Block 7 (80% operated interest)

The first well on Block 7, Mlinzi Mbali-1, was completed at the end of 2013. The well did not encounter significant hydrocarbon shows but has provided important stratigraphic and geochemical information from the deepest well drilled offshore Tanzania to date. Analysis of the well data is ongoing but there are positive indications of potential hydrocarbon generation despite the lack of shows in the Mlinzi Mbali well.

Further analysis has identified potential prospectivity in the western half of the Block, close to the Seagap Fault trend which has yielded the majority of the discoveries in Blocks 1-4 to the south.

Equatorial Guinea

Block R (80% operated interest)

Gross 2C recoverable resource estimates are currently 2.6 TCF across Block R. These volumes are enough to underpin a minimum 2.5mmtpa LNG development with the expectation that this will be upgraded to 3.0mmtpa if additional resource is proved up, including volumes being targeted with this year's drilling programme.

It was announced in February that a number of Midstream providers had been shortlisted for further assessment and that review is ongoing. A MoU with the preferred supplier is expected to be signed during this quarter. Pre-FEED work on the Upstream part of the development has commenced.

A three well exploration and appraisal well programme is currently underway utilising the Vantage Titanium Explorer drillship. The first well in the programme to complete will be Tonel North-1, an appraisal well on the Tonel structure. This will be followed by Silenus East-1 which is targeting c.0.4 TCF of low risk prospective gas resource and will be deepened to test a high-impact but high-risk oil play that on current mapping could be potentially extensive across the Block. There are several analogous shallow gas prospects to Silenus East in the Thrust Belt play sharing the same Direct Hydrocarbon Indicators. If successful, the well would derisk c.1.2 TCF of upside in total in the immediate area that could provide a separate production hub for the FLNG development. The final well will be the Fortuna-2 appraisal well which will be flow-tested to demonstrate reservoir deliverability and aid in dynamic reservoir modelling.

On completion of this drilling programme and the selection of the preferred Midstream FLNG solution, Ophir will look to invite partners into the development ahead of the Final Investment Decision.

Total mean recoverable resource net to Ophir is estimated at 2.1 TCF (346 mmboe).

Gabon

Mbeli/Ntsina (40% operated interest)

Ophir drilled two wells on the pre-salt play that runs across the Company's two northern Blocks. The first well, Padouck Deep-1 on the Ntsina Block, encountered thicker than expected, good quality reservoir sands in the Gamba and Coniquet/Dentale formations. However, the well failed to encounter a salt layer over the structure, which was the key pre-drill risk over this high relief prospect. Minor shows were interpreted at shallower intervals and a potential immature source rock was also intersected near the base of the well.

The second well, Okala-1, was drilled further to the north in the Mbeli Block. It encountered a salt section as prognosed and thick reservoir sands but without significant shows in the target horizons.

The results from both wells will now be used to rework the model of the expected sub-salt source distribution, the key remaining play risk. This analysis will then guide future exploration activity in respect of the pre-salt play. Eni's recent Nyonie Deep-1 discovery in late July 2014 reaffirms the world class potential of the pre-salt play to the east of our acreage and provides encouragement for further exploration once we have assimilated the results of the recent programme.

The separate outboard deepwater play remains a valid target of potential exploration upside, analogous to that which has been successful in the Sergipe-Alagoas basin in the conjugate margin offshore Brazil. A basin-wide, 8,500km2 3D seismic survey encompassing the outboard area of all four existing licensed Blocks will be undertaken in the second half of this year.

Manga/Gnondo (70% operated interest)

The Gnondo Block contains a potential extension to the Ogooué Delta play, proven to the East in shallower waters on the shelf. The play was tested during the first half of the year by the Affanga Deep-1 well. The well failed to encounter hydrocarbons in the targeted Cenomanian reservoirs which were thinner and of poorer quality than expected. The disappointing result means that further exploration on the Ogooué Delta play is unlikely.

As highlighted above, a basin-wide 3D seismic survey over the outboard deepwater play will be undertaken in the second half of the year will include the Manga and Gnondo Blocks.

Portfolio activity

In late 2013 Ophir was awarded four deepwater blocks in the latest offshore licensing round, A3, A4, A5 and A6 outboard of its existing acreage position. The acreage contains an extension to the deepwater play outlined above. PSC negotiations are ongoing.

In December 2013, OMV farmed into the Company's four existing Blocks in exchange for paying a promoted share of the three well programme undertaken in the first half of the year. That deal was completed in July after approval was given by the Government of Gabon.

Kenya

Block L9 (90% operated interest)

Block L9 contains two principal plays: an outboard Cretaceous gas play on-trend with the Mbawa gas discovery drilled by Apache in 2012 and an inboard Miocene build-up play which has the potential to be prospective for liquids. This latter play was tested to the south by the Sunbird-1 well drilled by BG Group on Block L10A in the first half of the year. The well encountered porous carbonate reservoirs and a mixture of gas and liquids, and it has derisked certain play elements which may have an impact on the inboard potential of L9.

A 3D seismic survey is being considered over the inboard Miocene build-up trend before Ophir commits to drilling a well which is now likely in 2015.

Assessment of the 3D survey on Block L15 was completed during the first half of the year and Ophir relinquished its interest given limited prospectivity.

Myanmar

Block AD-03 (95% operated interest)

In March Ophir announced it had been awarded Block AD-03 offshore Myanmar as part of the recent licensing round, the Company's first exploration licence outside of Africa and the only Independent E&P company to be awarded a licence in the offshore round. The Block is located in the Rakhine basin, on-trend with the large Shwe gas field which is in production and exporting volumes to China. The award is subject to finalisation of the PSC which is expected during the second half of the year.

Seychelles

Blocks PEC 5B/1, PEC 5B/2 and PEC 5B/3 (75% operated interest)

Ophir farmed into WHL Energy's interests in the Seychelles Islands in March in exchange for the payment of US$4 million in back costs and funding of the acquisition of 3D seismic data. If Ophir elects to retain the interests beyond the current licence period it will pay further contributions towards the next exploration phase.

The Junon 3D seismic survey over the eastern part of the licensed acreage was completed in July covering 1,528km2. The survey will be used to hi-grade prospects on the Junon trend, a series of potentially oil prone fault blocks with principal reservoir targets in the Jurassic.

Other assets

AGC - Profond Block (79.2% operated interest)

Interpretation of the 3D seismic survey undertaken in 2013 has continued and whilst a number of promising leads and prospects have been identified, the PSC is set to expire in September.

Ghana - Offshore Accra Contract Area (20% operated interest)

Following the unsuccessful Starfish-1 well drilled in 2013, Ophir elected not to proceed into the next PSC term after the Initial Exploration period expired in March.

SADR - Daora, Haouza, Mahbes and Mijek Blocks (50% interest)

Ophir is negotiating an agreement to dispose of its interests in SADR in exchange for an overriding royalty.

Somaliland - Blocks SL9 and SL12 (25% non-operated interest)

Having farmed down a 50% stake in these Blocks in 2013, the Company is now in the process of divesting its remaining 25% interest. The transaction is subject to Government and Joint Venture approval.

Financial review

Result for the period

During the first six months of 2014 the Group continued to strengthen the balance sheet with the monetisation of a 20% interest in Blocks 1, 3 and 4, Tanzania to Pavilion Energy. This increased the Group's cash position enabling it to be well funded to deliver further drilling in the second half of the year on:

· The BG operated Blocks 1,3 and 4 joint venture

· Block R (Equatorial Guinea)

· East Pande (Tanzania)

For the period ended 30 June 2014 the Group recorded a profit after tax of US$339.1 million (30 June 2013: US$19.4 million (loss) / year ended 31 December 2013: US$245.8 million (loss)). No dividends were paid or declared by the Group during the period. The profit after tax relates to the gain which occurred following the sale of part of the Group's interest in Blocks 1, 3 and 4, Tanzania to Pavilion Energy which completed on 22 March 2014, offset by exploration and general and administration expenses for the same period.

The profit for the period, includes exploration expenditure expensed of US$67.7 million (30 June 2013: US$3.8 million), general and administrative costs of US$27.2 million (30 June 2013: US$15.7 million), finance income of US$12.1 million (30 June 2013: US$0.6 million) other expenses of US$0.8 million (30 June 2013: US$0.5 million) and taxation of US$250.4 million (30 June 2013: nil).

Total cash balances and short-term investments as at 30 June 2014 were US$1,490.8 million (30 June 2013: US$839.1 million / year ended 31 December 2013: US$666.7 million).

Exploration Expenditure

Exploration expenditure comprises of pre‑licence exploration costs of US$1.6 million (30 June 2013: US$0.3 million), exploration write off of US$0.2 million (30 June 2013: US$3.1 million) and provision for impairment of US$65.9 million (30 June 2013: nil) following the unsuccessful drilling of the Affanga Deep-1 well in the Gnondo Block offshore Gabon announced on 27 May 2014.

Administrative Expenses

Administrative expenses totalled US$27.2 million (30 June 2013: US$15.7 million). These consist of ongoing salaries and wages, professional and corporate, office and IT costs. The increase in administrative expenses is due to higher headcount in line with the increased activities of the Group in the first half of the year.

Finance Expenses

Finance income for the period of US$12.1 million (30 June 2013: US$0.6 million) relates to foreign exchange gains arising on the fluctuation of the Group's functional currency, the US Dollar, against other currencies and interest income.

Other Expenses

Other expenses of US$0.8 million (30 June 2013: US$0.5 million) mainly consisted of depreciation and amortisation and relate to the write down of the Group's furniture and equipment and geological databases over their estimated useful lives.

Cash Flow

The Groups net cash inflow for the period was US$527.0 million (30 June 2013: US$255.8 million).

Operating Cash Flow

The Groups net cash used in operating activities was US$232.0 million (30 June 2013: US$21.2 million). The Group made corporation tax payments of US$224.5 million (30 June 2013: nil) primarily related to the divestment in Tanzania of a 20% interest in Blocks 1, 3 and 4.

Investing Activities

Cash flow from/(used in) investing activities was US$757.5 million (30 June 2013: (US$526.1 million)). Exploration expenditure of US$183.9 million (30 June 2013: US$168.9 million) related to amounts spent on the drilling activities in Blocks 1, 3 and 4 in Tanzania, and on drilling the Padouck Deep-1, Affanga Deep-1 and Okala-1 wells in Gabon. Proceeds from the partial sale of Tanzania Blocks 1, 3 and 4 totalled US$1,251.8 million.

Financing Activities

The net cash inflow for financing activities was US$1.5 million (30 June 2013: US$803.1 million) which related to proceeds received from the issuance of share options. As at 30 June 2014, the Group's cash and cash equivalents were US$1,040.8 million (30 June 2013: US$485.6 million).

Non-Current Assets

As at 30 June 2014, intangible assets consisted of exploration and evaluation assets totalling US$722.5 million (30 June 2013: US$1,119.8 million) and goodwill of US$20.9 million (30 June 2013: US$57.2 million). The movement in the period to 30 June 2014 consisted predominately of additions of US$230.4 million (30 June 2013: US$161.2 million) to the Group's existing exploration and evaluation assets offset by US$566.2 million recovery of costs from the farmout and the provision for impairment of US$65.9 million (30 June 2013: nil).

Current Assets

The Group's current assets increased to US$1,550.4 million (30 June 2013: US$869.5 million) as a result of the increase in cash and cash equivalents following the partial sale of the Group's interests in Tanzania Blocks 1, 3 and 4 interests to Pavilion Energy.

Liabilities

Total liabilities as at 30 June 2014 were US$295.2 million (30 June 2013: US$162.2 million / year ended 31 December 2013: US$177.2 million). This consists of a deferred tax liability of US$27.0 million (30 June 2013: US$57.0 million), US$211.4 million (30 June 2013: $104.1 million) of expenditure accrued or recognised as due to be paid on recent drilling activities in Tanzania and Gabon and taxation payable of US$21.2 million arising predominately from the divestment in Tanzania of a 20% interest in Blocks 1, 3 and 4. An amount of US$35.8 million (30 June 2013: US$1.2 million) relates to provisions which is predominately unchanged to the amount of US$35.6 million provided for in the full year 2013 financial statements.

Commitments and Contingent Liabilities

In acquiring its oil and gas interests, the Group has pledged that various work programmes will be undertaken on each permit/interest. The exploration commitments are tabulated in note 16 to the Interim Financial Statements and are an estimate of the minimum expected cost of performing these work programmes. Details of contingent liabilities are disclosed in note 18 of the Interim Financial Statements.

Risk Management

The Executive Directors continually monitor the Group's risk exposures and report to the Audit Committee and Board of Directors on a six monthly basis or more frequently as required.

The principal risks of the Group remain as detailed on pages 34 to 37 of the 2013 Annual Report and Accounts:

Funding of activities

Our funding strategy continues to be to actively manage our exploration activities using existing cash resources and to also continue to utilise effective portfolio management by way of farm downs and monetisation of discovered resources.

The financial position of the Group, its cash flows, liquidity position and borrowing facilities, and its business activities, together with the factors likely to affect its future development, performance and position are set out in this Business and Operations Review and in the Group's 2013 Annual Report and Accounts on pages 12 to 33.

The Financial statements have been prepared on a going concern basis as the Directors are of the opinion that the Company will have sufficient funds to meet its obligations and capital commitments for expenditure over the next 12 months.

Responsibility Statement

The Directors confirm that to the best of their knowledge:

a the condensed set of financial statements has been prepared in accordance with IAS 34 "Interim Financial Reporting";

b the half year report includes a fair review of the information required by DTR 4.2.7R (indication of important events during the first six months and description of principal risks and uncertainties for the remaining six months of the year);

c the half year report includes a fair review of the information required by DTR 4.2.8R (disclosure of related parties' transactions and changes therein);

The Directors of Ophir Energy plc are as listed in the Company Information section at the back of this report.

By order of the Board

Nicholas Smith

Chairman

13 August 2014

Independent Review Report to Ophir Energy plc

Introduction

We have been engaged by the Company to review the condensed set of financial statements in the half-yearly financial report for the six months ended 30 June 2014 which comprises the condensed consolidated income statement and statement of comprehensive income, the condensed consolidated statement of financial position, the condensed consolidated statement of changes in equity, the condensed consolidated statement of cash flows and related notes 1 to 18. We have read the other information contained in the half yearly financial report and considered whether it contains any apparent misstatements or material inconsistencies with the information in the condensed set of financial statements.

This report is made solely to the company in accordance with guidance contained in International Standard on Review Engagements 2410 (UK and Ireland) "Review of Interim Financial Information Performed by the Independent Auditor of the Entity" issued by the Auditing Practices Board. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company, for our work, for this report, or for the conclusions we have formed.

Directors' Responsibilities

The half-yearly financial report is the responsibility of, and has been approved by, the directors. The directors are responsible for preparing the half-yearly financial report in accordance with the Disclosure and Transparency Rules of the United Kingdom's Financial Conduct Authority.

As disclosed in note 2, the annual financial statements of the group are prepared in accordance with IFRSs as adopted by the European Union. The condensed set of financial statements included in this half-yearly financial report has been prepared in accordance with International Accounting Standard 34, "Interim Financial Reporting", as adopted by the European Union.

Our Responsibility

Our responsibility is to express to the Company a conclusion on the condensed set of financial statements in the half-yearly financial report based on our review.

Scope of Review

We conducted our review in accordance with International Standard on Review Engagements (UK and Ireland) 2410, "Review of Interim Financial Information Performed by the Independent Auditor of the Entity" issued by the Auditing Practices Board for use in the United Kingdom. A review of interim financial information consists of making enquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing (UK and Ireland) and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Conclusion

Based on our review, nothing has come to our attention that causes us to believe that the condensed set of financial statements in the half-yearly financial report for the six months ended 30 June 2014 is not prepared, in all material respects, in accordance with International Accounting Standard 34 as adopted by the European Union and the Disclosure and Transparency Rules of the United Kingdom's Financial Conduct Authority.

Ernst & Young LLP

London

13 August 2014

The maintenance and integrity of the Ophir Energy plc web site is the responsibility of the Directors; the work carried out by the auditors does not involve consideration of these matters and, accordingly, the auditors accept no responsibility for any changes that may have occurred to the financial information since it was initially presented on the web site. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

1 57.3 cents per share

2 56.6 cents per share

3 (3.8) cents per share

4 (45.0) cents per share

Approved by the Board on 13th August 2014

Nicholas Smith Lisa Mitchell

Chairman Chief Financial Officer