Niche Group (The)

Embargoed: 0700hrs 16 July 2012

The Niche Group (Berlin: NZG.BEnews) plc

(“Niche” or the “Company”)

Competent Person’s Report

Niche, the oil and gas focused investment company, is pleased to issue the key findings of an updated Competent Person’s Report (“CPR”) by Senergy (GB) Ltd (“Senergy”), comprising an independent evaluation of the recoverable hydrocarbons for interests in Blocks AR/ARR/4396, AR/ARR/4395 and AR/ARR/4394 (together the “Hatay Blocks”) and AR/ARR/4077 in Konya (“Konya Block”) (together the “Blocks”).

At the time of this announcement Niche has an indirect interest in the Blocks of 17.85 per cent. This interest is held via loans convertible into 35.7 per cent. of the share capital of Oman Resources Limited (“Oman”). Oman holds a 50 per cent. participating interest in the Blocks. As announced on 30 March 2012, Niche has entered into a conditional share purchase agreement to acquire the entire issued share capital of Oman.

The CPR has been prepared in connection with the proposed acquisitions by Niche of Oman and Arar Petrol ve Gaz AUPAS’s (“Arar”) 50 per cent. interest in the Blocks (“Acquisitions”). The Acquisitions, if completed, would constitute a reverse takeover under the AIM Rules for Companies and as such the CPR has been commissioned to be included in any admission document to be published in connection with the Acquisitions. For the avoidance of doubt, at the date of this Announcement, Niche does not currently hold any direct interest in the Blocks, has not entered into any binding agreements in connection with the proposed acquisition of Arar’s interest in the Blocks and there can be no certainty that the Acquisitions will be completed.

Key (NYSE: KEYnews) findings

ยท Changes in net Reserve volumes compared to the previous CPR (as notified to the market on 27 October 2011) are mainly due to the results of the Ciftlik-1 well (announced on 4 May 2012).

The following table shows the gross reserves and resources of the Blocks. Where appropriate, gas resources have been converted to an oil equivalent using 5.8 Mscf = 1 boe.

Negotiations for the Acquisitions, which, if completed, would result in the Niche group of companies holding a 100% interest in the Blocks, are ongoing and all parties are working together to conclude the transactions as soon as practicable. If an admission document is published in connection with the Acquisitions, the full CPR will be made available in any such admission document.

Enquiries:

The Niche Group plc

Donal Boylan

Tel: + 353 (87) 2769655

Deloitte LLP – Nominated Adviser

Jon Hinton or Oliver Rigby

Tel: +44 (0)20 7007 1815

M: Communications

Ben Simons

Tel: + 44 (0) 20 7920 2340

Note:

The above information was approved by Chris de Goey, Global Head of Senergy’s Reserves and Asset Evaluation Business. Chris has 20 years experience in technical and commercial roles in the energy industry. He has an MSc (KOSDAQ: 009780.KQnews) in Physics from Delft University. Chris was managing a senior team of Competent Persons who have carried out the previous CPR as well as this July 2012 update to the CPR.

Senergy (GB) Limited is a privately owned independent consulting company established in 1990, with more than 500 staff based in offices in the UK, Norway, Middle East, Malaysia, Australia, Indonesia and the USA. The company specialises in petroleum reservoir engineering, geology, geophysics, well engineering, facilities engineering and petroleum economics. All of these services are supplied under an accredited ISO9001 quality assurance system.

Standards Applied:

In compiling this report Senergy has used the definitions and guidelines set out in the 2007 Petroleum Resources Management System prepared by the Oil and Gas Reserves Committee of the Society of Petroleum Engineers (SPE) and reviewed and jointly sponsored by the World Petroleum Council (WPC), the American Association of Petroleum Geologists (AAPG) and the Society of Petroleum Evaluation Engineers (SPEE). The results of this work have been presented in accordance with the requirements of AIM, a Market operated by the London Stock Exchange (LSE: LSE.Lnews) , in particular as described in the “Note for Mining (Euronext: SMI.NXnews) and Oil and Gas Companies – June 2009″.

Glossary of Technical Terms:

Prospective Resources

Prospective Resources are those quantities of petroleum estimated, as of a given date, to be potentially recoverable from undiscovered accumulations by application of future development projects. Prospective Resources have both an associated chance of discovery and a chance of development. Prospective Resources are further subdivided in accordance with the level of certainty associated with recoverable estimates assuming

their discovery and development and may be sub-classified based on project maturity.

Proved

Proved Reserves are those quantities of petroleum, which, by analysis of geoscience and engineering data, can be estimated with reasonable certainty to be commercially recoverable, from a given date forward, from known reservoirs and under defined economic conditions, operating methods, and government regulations. If deterministic methods are used, the term reasonable certainty is intended to express a high degree of confidence that the quantities will be recovered. If probabilistic methods are used, there should be at least a 90% probability that the quantities actually recovered will equal or exceed the estimate.

Proved plus Probable

Probable Reserves are those additional Reserves which analysis of geoscience and engineering data indicate are less likely to be recovered than Proved Reserves but more certain to be recovered than Possible Reserves. It is equally likely that actual remaining quantities recovered will be greater than or less than the sum of the estimated Proved plus Probable Reserves (2P). In this context, when probabilistic methods are used, there should be at least a 50% probability that the actual quantities recovered will equal or exceed the 2P estimate.

Proved plus Probable plus Possible

Possible Reserves are those additional reserves which analysis of geo-science and engineering data suggest are less likely to be recoverable than Probable Reserves. The total quantities ultimately recovered from the project have a low probability to exceed the sum of Proved plus Probable plus Possible (3P) Reserves, which is equivalent to the high estimate scenario. In this context, when probabilistic methods are used, there should be at least a 10% probability that the actual quantities recovered will equal or exceed the 3P estimate.

Reserves

Reserves are those quantities of petroleum anticipated to be commercially recoverable by application of development projects to known accumulations from a given date forward under defined conditions. Reserves must further satisfy four criteria: they must be discovered, recoverable, commercial, and remaining (as of the evaluation date) based on the development project(s) applied. Reserves are further categorized in accordance with the level of certainty associated with the estimates and may be sub-classified based on project maturity and/or characterized by development and production status.

Contingent Resources

Those quantities of petroleum estimated, as of a given date, to be potentially recoverable from known accumulations by application of development projects, but which are not currently considered to be commercially recoverable due to one or more contingencies. Contingent Resources are further categorized in accordance with the level of certainty associated with the estimates and may be sub-classified based on project maturity and/or characterized by their economic status.

Mscf

thousand of standard cubic feet

boe

barrels of oil equivalent

Bscf

Billion standard cubic feet

MMboe

Million barrels of oil equivalent

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