Salamander 2011

completed

Salamander Energy plc (Salamander or the company) is a rapidly-growing junior oil and gas company exclusively focused on Southeast Asia. The company’s strategy is to build a sustainable upstream business through leveraging its regional knowledge and relationships; maintaining a balanced portfolio of production, development, appraisal and exploration assets; enforcing strict capital allocation discipline; and pursuing targeted acquisitions in addition to organic-led growth. Since its foundation in early 2005, Salamander has developed a broad set of assets, including producing and near-production interests in Indonesia and Thailand as well as exploration and appraisal properties in Indonesia, Thailand, Vietnam, Lao PDR and the Philippines. The company reported net proved and probable reserves of 66.3 million barrels of oil equivalent (“boe”) and average daily production of 20,000 boe, of which about 34% is gas. Salamander is an existing client of IFC. IFC supported its growth through both debt and equity investments over the last few years. IFC has been requested to continue to support the Company’s growth by providing up to $75 million debt financing in the forms of both senior and junior lending facilities. The financing will help fund the Company’s planned 2011-2013 investment program that is primarily expected to cover the capital and operating expenditure needs of the following producing and near-production assets: - the E5-N and EU-1 Concessions (Sinphuhorm) and the Block B8/38 Concession (Bualuang) in Thailand; and - the Offshore North West Java (ONWJ), South East Sumatra (SES) Production Sharing Contracts, and the Glagah Kambuna Technical Assistance Contract in Indonesia. The project will include the drilling of new wells in existing fields, the selective workover of existing wells and the construction of gas processing facilities and other field infrastructure. The project will also include the refinancing of existing indebtedness and other general corporate uses. Salamander expects that the project will help it to increase its production to reach 30,000 boe per day by 2013.