Erin Energy Corp. (NYSE AMEX:ERN)

HOUSTON, July 24, 2012 /PRNewswire/ -- CAMAC Energy Inc. (NYSE Amex: CAK) today announced that it has signed a definitive share sale and purchase agreement to divest its interest in the Zijinshan Gas Block in China to Leyshon Resources Limited (AIM/ASX:LRL) ("Leyshon"), a natural resources mining company based in Beijing.

Under the agreed terms, CAMAC Energy will divest its wholly-owned Hong Kong subsidiary Pacific Asia Petroleum Limited (PAPL) for a cash consideration of $2.5 million and 10 million fully paid ordinary shares in Leyshon. The transaction is expected to close within 14 days.

The Company was advised by Somerley Limited in Hong Kong.

"CAMAC Energy is pleased to execute this definitive share sale and purchase agreement with Leyshon Resources for the sale of our Chinese assets," said Chairman and CEO, Dr. Kase Lawal. "In addition to providing a cash infusion and a shareholder interest in Leyshon, this transaction also eliminates the Company's future financial obligations for overhead and exploration expense in China. All proceeds and savings will be reinvested in our African exploration projects. Finally, I'd like to thank all of our employees in China for their years of dedicated service, and I wish them well as they join the team at Leyshon Resources."

On May 24, 2012, CAMAC Energy Inc. (“CAMAC Energy” or the “Company”), through an indirect wholly owned subsidiary, signed two Petroleum Exploration, Development & Production Licenses with The Republic of The Gambia (the “Licenses”), for two previously awarded exploration blocks A2 and A5 (“the Blocks”). For both Blocks, the Company will be the operator, with the Gambia National Petroleum Company (GNPC) having the right to elect to participate up to a 15% interest, following approval of a development and production plan. The Company is responsible for all expenditures prior to such approval even if the GNPC elects to participate.

Fourth Quarter 2011 Results

• Operating revenues were $9.2 million for the fourth quarter of 2011 compared to $4.4 million for the same period in 2010.
• Net loss of $1.7 million, or $0.01 per diluted share for the quarter ended December 31, 2011. For the same period in 2010, CAMAC Energy reported a net loss of $35.6 million, or $0.25 per diluted share, which included $0.21 per diluted share of intervention expenses.

Chairman and Chief Executive Officer Dr. Kase Lawal commented, “2011 was a transformational year for CAMAC Energy. As a result, we have entered 2012 with a growing portfolio of assets across Africa. The CAMAC Energy of today now has production in Nigeria, the provisional award of two offshore exploration blocks located in the West African Transform Margin, and a Heads of Agreement for three exploration blocks in East Africa’s rift basins. We continue to transform the Company into a Pan-African play for the advantage of our shareholders.”

Estimated net proved reserves at the end of 2011 were approximately 2.7 million barrels of oil, as compared to approximately 5.3 million barrels of oil at December 31, 2010. The Oyo Field accounted for 100% of the proved reserves.

On February 23, 2012, Edward G. Caminos, Senior Vice President and Chief Financial Officer of CAMAC Energy Inc. (the “Company”), agreed voluntarily to resign from the employment with the Company effective March 1, 2012, pursuant to a separation agreement and general release of claims. The Company intends to appoint an experienced interim Chief Financial Officer to assume these responsibilities while it conducts an executive search to identify and hire a permanent replacement.

As previously reported, on December 30, 2011, CAMAC Energy Inc. (“CAMAC Energy” or the “Company”) entered into a Deed of Warranty and Implementation Agreement (the “Agreement”) with certain major shareholders (the “Principal Shareholders”) of Avana Petroleum Limited, a private Isle of Man company (“Avana”), relating to the purchase of one hundred percent of the issued share capital of Avana for a total purchase price of up to US$15 million, payable in shares of the Company’s common stock. On January 30, 2012, the Company formally notified the Principal Shareholders of its intention not to proceed with the Agreement due to the fact that certain obligations and conditions to completion were not fulfilled by the required deadlines. The Company does not believe it will incur any material liability as a result of its withdrawal from the Agreement.

HOUSTON--(BUSINESS WIRE)--CAMAC Energy Inc (NYSE Amex: CAK), a U.S.-based energy company engaged in the exploration, development and production of oil and gas in West Africa and China, today announced a net loss of $0.7 million, or $0.00 per diluted common share, for the third quarter ended September 30, 2011 as compared to a net loss of $188.6 million, or $1.32 per diluted common share, for the same period in 2010.

The decrease in net loss was principally related to the impairment charge taken for the Oyo Field in the prior period and cost oil recovery revenues in the current period, partially offset by an increase in exploratory expenses in the current period related to the ZJS-3 and ZJS-4 wells in China. For the nine months ended September 30, 2011, the Company reported a net loss of $23.2 million, or $0.15 per diluted common share, as compared to a net loss of $194.9 million, or $1.79 per diluted common share, in the nine months ended September 30, 2010. The decrease in net loss was principally related to the impairment charge taken for the Oyo Field in the prior period, partially offset by increased depletion expense and the increased exploratory expenses as previously discussed.

On September 12, 2011, CAMAC Energy Inc. (the “Company”) made available on its website a management presentation that will be presented at the Rodman & Renshaw Annual Global Investment Conference in New York, New York on September 12, 2011.

On August 17, 2011, CAMAC Energy Inc. (the “Company”) made available on its website a management presentation that will be presented at the Enercom Oil and Gas Conference in Denver, Colorado on August 17, 2011. The presentation, entitled “Enercom – The Oil and Gas Conference – August 2011”, can be accessed by going to www.camacenergy.com, selecting the “Investors” tab, and then selecting the “Events & Presentations” tab. A copy of the presentation is furnished as Exhibit 99.1 to this Current Report on Form 8-K and is incorporated by reference herein.

HOUSTON--(BUSINESS WIRE)--CAMAC Energy Inc. (NYSE Amex: CAK), a U.S.- based energy company engaged in the exploration, development and production of oil and gas, today announced net income of $5.7 million, or $0.04 per diluted common share, for the second quarter ended June 30, 2011 as compared to a net loss of $3.2 million, or $0.02 per diluted common share, for the same period in 2010. In the 2011 period, the Company recorded significantly higher net income in Africa, principally due to Cost Oil recovery revenues of $16.2 million on the initial recovery of workover costs on well # 5 in the Oyo Field, located offshore Nigeria. For the six months ended June 30, 2011, the Company reported a net loss of $22.5 million, or $0.15 per diluted common share, as compared to a net loss of $6.3 million, or $0.07 per diluted common share, in the six months ended June 30, 2010. The increased net loss was principally related to workover costs for well # 5 in the Oyo Field recorded in the first quarter of 2011, partially offset by the increase in net income described above for the second quarter 2011 as compared to second quarter 2010.

From inception of the workover related to the Oyo Field well #5 in December 2010 through June 30, 2011, the Company has incurred a total expense of $55.9 million, representing the total estimated cost of the workover. As of the same date, the Company recognized Cost Oil recovery revenues of $16.2 million related to this workover and expects to recognize the remaining $39.7 million, in correlation with payments made, through future liftings.

Cash and cash equivalents at the end of the second quarter of 2011 were $11.2 million. Additionally, at the end of the second quarter our accounts receivable were $28.2 million, all of which was subsequently collected at the end of July. Cash flows used in operations of $33.2 million for the current quarter were primarily affected by payments of workover costs for well #5 in the Oyo Field of $30.8 million, partially offset by proceeds received from financing activities of $25.0 million related to a credit facility secured during the quarter. The remaining unpaid workover amounts will be funded using available cash, proceeds from the credit facility and through Oyo Field lifting proceeds.

Our continued operations will depend on whether we are able to raise additional funds through equity, debt financing or strategic alliances.

On December 21, 2010, CAMAC Energy Inc. entered into a Securities Purchase Agreement, dated as of December 21, 2010with certain purchasers (the "Purchasers"), pursuant to which the Company will sell a total of 9,319,102 shares of its common stock, par value $0.001 per share, for an aggregate purchase price of approximately $20.5 million, or $2.20 per share.