Tanganyika Oil Company Ltd.
TSX VENTURE : TYK
OMX : TYKS

Tanganyika Oil Company Ltd.

November 14, 2007 02:30 ET

Tanganyika Announces Third Quarter 2007 Results

CALGARY, ALBERTA--(Marketwire - Nov. 14, 2007) - Tanganyika Oil Company Ltd. (the "Company") (TSX VENTURE:TYK)(OMX:TYKS) today announces interim operating and financial results for the third quarter ended September 30, 2007. Unless otherwise stated, all figures contained in this report are in United Stated Dollars.

Three and Nine Months Ended September 30, 2007 and September 30, 2006



Three Three Nine Nine
months months months months
ended ended ended ended
September September September September Year ended
Financial 30, 30, 30, 30, Dec. 31,
Highlights 2007 2006 2007 2006 2006
--------------------------------------------------------------
Revenue 7,040,891 7,239,403 18,533,223 15,882,738 20,498,234
Net profit
(loss) -
Continuing
operat-
ions (6,857,993) (6,391,293) (17,561,572) (14,078,936) (16,734,026)
Per share
(basic) (0.121) (0.130) (0.312) (0.302) (0.351)
Per share
(diluted) (0.121) (0.130) (0.312) (0.302) (0.351)
Profit
(loss) -
Discontinued
operat-
ions(2) 42,731,533 2,276,490 46,519,141 6,288,510 8,533,576
Per share
(basic) 0.754 0.046 0.827 0.135 0.179
Per share
(diluted) 0.751 0.046 0.824 0.133 0.177
Profit (loss)
for the
period 35,873,540 (4,114,803) 28,957,569 (7,790,426) (8,200,450)
Per share
(basic) 0.633 (0.084) 0.515 (0.167) (0.172)
Per share
(diluted) 0.630 (0.084) 0.513 (0.167) (0.172)
Cash Flow
from
Operations
(1) (547,244) (4,970,695) 134,363 (10,204,679) (5,137,706)
Per share
(basic) (0.010) (0.101) 0.002 (0.219) (0.108)
Per share
(diluted) (0.010) (0.101) 0.002 (0.216) (0.108)
Cash Flow
from
Discontinued
operations
(1)(2) 68,502,725 1,787,285 68,502,725 (3,437,133) 2,448,464
Per share
(basic) 1.208 0.036 1.217 (0.074) 0.051
Per share
(diluted) 1.203 0.036 1.213 (0.073) 0.051
Total
Assets 282,395,575 140,767,863 282,395,575 140,767,863 231,531,927
Working
Capital,
including
cash 83,047,234 44,210,073 83,047,234 44,210,073 95,672,786
Working
Capital,
excluding
cash 5,397,381 13,800,936 5,397,381 13,800,936 1,007,295
Weighted
Average
shares
outstanding
(basic) 56,701,120 49,208,979 56,268,070 46,612,810 47,702,202
Weighted
Average
shares
outstanding
(diluted) 56,928,545 49,765,503 56,464,371 47,147,254 48,076,905

Operational
Highlights
Average daily
production -
Company net
(bbl/d)
Syria - Oudeh 1,081 853 1,081 871 890
Syria -
Tishrine-
Sheikh
Mansour 366 596 330 201 290
------------------------------------------------------------------------
Total Syria 1,447 1,449 1,411 1,072 1,180
------------------------------------------------------------------------
Average
sales price
($/bbl)
Syria
Oudeh 52.76 52.88 45.33 51.85 47.46
Tishrine 46.02 48.78 42.16 48.78 36.29
Operational
costs
($/bbl)
Syria(3) 9.88 10.54 9.74 8.50 8.30

(1) Cash flow from operations is a non-GAAP measure that represents cash
generated from operating activities before changes in non-cash working
capital.

(2) On September 25, 2007 the Company sold its interest in West Gharib
Concession in Egypt. Financial results related to these assets have
been recorded as Discontinued Operations in the companies financial
statements.

(3) Gross field production cost, before deduction of operating expenses
related to base crude production, divided by gross field production.


NOTICE OF NO AUDITOR REVIEW OF INTERIM FINANCIAL STATEMENTS

The accompanying unaudited interim financial statements of the Company have been prepared by and are the responsibility of the Company's management.

The Company's independent auditor has not performed a review of these financial statements in accordance with standards established by the Canadian Institute of Chartered Accountants for a review of interim financial statements by an entity's auditor.

PRESIDENT'S MESSAGE

Tanganyika continues appraisal drilling, enhanced oil recovery ("EOR") pilot testing and expansion and facilities upgrading at its world class Syrian oil fields (Company net proved plus probable oil reserves at December 31, 2006: 415.9 million barrels). The Company suffered some operational setbacks during the second and third quarters, which deferred the planned production growth. As a result, the Company revised the 2007 forecast exit rates downward to be in the range of 10,500 to 14,500 barrels of oil per day ("bopd") (forecast Company net 2007 exit rates: 2,550 to 4,870 bopd). Syrian gross production during the third quarter averaged 8,894 bopd (Company net: 1,447 bopd). The planned addition of three drilling rigs was delayed to ensure quality equipment will be provided for the long term contracts and work programs. Although the drilling equipment has been delayed until early 2008, recent drilling results and infrastructure upgrades have allowed gross production and sales growth to resume, especially at West Tishrine:



-------------------------------------
Gross Oil Sales (bopd)
-------------------------------------
Syria Total Tishrine Oudeh
--------------------------------------------------------------------------
Average Q3 2007 8,894 6,454 2,440
--------------------------------------------------------------------------
Average October 2007 9,198 6,675 2,523
--------------------------------------------------------------------------
First week of November 2007 10,507 7,757 2,750
--------------------------------------------------------------------------


The most exciting development during the third quarter has been the discovery of significant, productive extensions of the West Tishrine field. Firstly, two wells were drilled on the southwest extension of the West Tishrine field which could potentially add an additional up-dip area approximately 30-40% the size of the area currently recognized for reserves purposes. The two wells, WT-244 and WT-247, were producing at a combined rate of over 850 barrels of oil per day at the end of the third quarter. A second new discovery area is the northern down-dip extensions in the Chilou B - Jaddala reservoir of the West Tishrine field. Subsequent to the end of the third quarter, wells T-242 and T-246 were successfully completed as down-dip extension wells of the West Tishrine field, providing an additional 500 bopd of production. These West Tishrine field extensions, up-dip to the southwest and down-dip to the north, extend the field boundaries and production into areas that previously have not been recognized in the Company's reported oil reserves and will be a focus for development drilling and production additions in the upcoming quarter.

A great deal of effort has also been directed in the area of improvement of infrastructure and steam generation capacity at both fields. We continue to make progress on de-bottlenecking the surface facilities limitations and have solved several issues including the power generation, water handling and export pipeline issues at both Oudeh and Tishrene. The preliminary results of our steam flood pilots at both Oudeh and Tishrene have been very positive with production increases ranging from 1.4 to 6 times the production rate from cold production alone. This early success has prompted us to expand this effort significantly in 2008 with the addition of four new steam generators to compliment the six already operating in Syria.

The Company is currently preparing the 2008 work program which is aimed at continued appraisal of Tanganyika's Syrian oil fields and ramping up production. During the third quarter, Tanganyika received $70 million from the sale of its interests in the West Gharib concession area in Egypt which will be used to fund the ongoing Syrian appraisal and development program. We continue to believe that the Syrian assets will create more and more value to the shareholders as world oil prices and demand for heavy oil continue to climb.

Gary S. Guidry, President and CEO

November 13, 2007


MANAGEMENT'S DISCUSSION AND ANALYSIS

(Amounts in United States Dollars unless otherwise indicated)

Three and Nine months ended September 30, 2007 and September 30, 2006

Management's discussion and analysis ("MD&A") of Tanganyika Oil Company Ltd.'s (the "Company" or "Tanganyika") financial condition and results of operations should be read in conjunction with the consolidated financial statements for the nine months ended September 30, 2007 and September 30, 2006 and the audited consolidated financial statements for the period ended December 31, 2006 and related notes therein prepared in accordance with Canadian generally accepted accounting principles ("Canadian GAAP"). The effective date of this MD&A is November 13, 2007.

Additional information relating to the Company is available on SEDAR at www.sedar.com and on the Company's web-site at www.tanganyikaoil.com.

Overview

Tanganyika is a Canadian-based company whose common shares are traded on the TSX Venture Exchange under the symbol "TYK". Effective February 14, 2007, the Company's Swedish Depository Receipts commenced trading on the OMX Nordic Exchange under the symbol "TYKS". Additional information about the Company and its business activities, including the Company's Annual Information Form ("AIF"), is available on SEDAR at www.sedar.com or on the Company's website at www.tanganyikaoil.com.

The Company is an international oil and gas exploration and development company based in Canada primarily focused on its exploration and development properties in Syria.

Company Reserves

DeGolyer and MacNaughton Canada Limited have independently evaluated the proved and probable crude oil reserves attributable to Tanganyika's participating interests in its Syrian properties. The following table shows the estimated share of Tanganyika's crude oil reserves in its Syrian properties using constant prices and costs. The complete Statement of Reserves Data and Other Oil and Gas Information can be found on SEDAR and on the Company's website.



--------------------------------------------------------------------------
Heavy Oil (millions of barrels) based on constant prices
--------------------------------------------------------------------------
Dec 31, 2006 Dec 31, 2005
---------------------------------- ---------------------------------
Gross Net Gross Net
--------------------------------------------------------------------
Proved Proved Proved Proved
plus plus plus plus
Proved probable Proved probable Proved probable Proved probable
--------------------------------------------------------------------------
Syria 170 767.6 87.7 415.9 35.6 103.3 15.9 41.2
--------------------------------------------------------------------------


Syria

Oudeh Block

The Company acquired its interest in the Oudeh Block ("Oudeh") in 2003 pursuant to a Contract for Development and Production of Petroleum with the Government of Syria (the 'Government"). The objective of the contract, which has a term of 20 years with a provision for a five year extension, is to increase oil recovery and crude oil production within the block by applying enhanced oil recovery ("EOR") techniques. The Company began EOR through the use of thermal (steam) technology during 2006.

The Company has an interest in all incremental production above the base crude oil production ("BCP") level from wells in existence at the time the contract was signed. The BCP level declines at a rate of five percent per annum calculated on a monthly basis. A table of Oudeh BCP levels for 2007 and 2008 is below. Under the terms of the contract, the Syrian Petroleum Company ("SPC") is responsible for reimbursing the Company for all operating costs attributable to the BCP.

After deduction of the BCP, a royalty of 12.5 percent is deducted and submitted to the Government. The remaining production is then shareable among the Company and SPC as follows:

- 30 percent of the shareable crude oil production from the block is designated as profit oil and is split among the Company and SPC. The profit oil is split 30 percent to the Company and 70 percent to SPC.

- Up to 70 percent of the shareable crude oil production is available as cost oil to the Company to recover exploration, development and operating costs (other than operating costs associated with the BCP that have been recovered directly from SPC). To the extent that these costs exceed the proceeds from the sale of cost oil in any quarter, the excess can be carried forward into subsequent quarters.

- If the costs are less than the proceeds of the cost oil, the excess proceeds are split between the Company and SPC in the same manner as profit oil.

All Syrian taxes are the responsibility of SPC from its share of profit and excess cost oil.

Tishrine-Sheikh Mansour Fields

The Company acquired its interest in the Tishrine-Sheikh Mansour Fields ("Tishrine") in November 2004 pursuant to a Contract for Development and Production of Petroleum with the Government. The contract was ratified in February 2005 and the Company assumed operations on the fields in September 2005. The objective of the contract, which has a term of 20 years with a provision for a five year extension, is to apply EOR techniques to increase crude oil production and recoverability. The Company began EOR through the use of thermal (steam) technology during 2006.

The Company has an interest in all incremental production above the BCP level from wells in existence at the time the contract was signed. The BCP level declines at a rate of five percent per annum calculated on a monthly basis. A table of Tishrine BCP levels for 2007 and 2008 is below. Under the terms of the contract, SPC is responsible for reimbursing the Company for all operating costs attributable to the BCP.

After deduction of the BCP, a royalty of 12.5 percent is deducted and submitted to the Government. The remaining production is then shareable among the Company and SPC as follows:

- 52 percent of the shareable crude oil production from the block is designated as profit oil and is split among the Company and SPC. The profit oil is split 30 percent to the Company and 70 percent to SPC.

- Up to 48 percent of the remaining crude oil production is available as cost oil to the Company to recover exploration, development and operating costs (other than operating costs associated with the BCP that have been recovered directly from SPC). To the extent that these costs exceed the proceeds from the sale of cost oil in any quarter, the excess can be carried forward into subsequent quarters.

- If the costs are less than the proceeds of the cost oil, the excess proceeds are split between the Company and SPC in the same manner as profit oil.

All Syrian taxes are the responsibility of SPC from its share of profit and excess cost oil.

Base Crude Production (BCP)



---------------------------------------------------------------------------
(bbl/d) 2007 2008
-------------------------------------------------- ------------------------
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
---------------------------------------------------------------------------
Oudeh 915 884 873 862 870 841 830 820
---------------------------------------------------------------------------
Tishrine-Sheikh Mansour 6,074 5,933 5,795 5,723 5,778 5,643 5,513 5,444
---------------------------------------------------------------------------


Operational Update

Syria - Oudeh

Average gross field production during the third quarter of 2007 was 2,440 barrels of oil per day (bopd) (Company net: 1,081 bopd). Year to date gross field production averaged 2,461 bopd (Company net: 1,081 bopd). Six wells were drilled or spud during the third quarter of 2007. Four of the third quarter wells were drilled as Shiranish oil producers to expand the steam pilot project at the OD-146H area. Drilling for infill down-spacing Shiranish oil production started in the main pool around the OD-149H area with the OD-167H well. Steam injection resumed during the third quarter with two Oudeh wells steamed in the highly viscous western area of the field.

All of the new wells on the western flank of the Oudeh field have confirmed higher viscosity than observed in the eastern areas of the field. This higher oil viscosity is limiting the cold production rates and it is anticipated that these wells will be highly responsive to thermal stimulation.

An update of the three key appraisal wells at Oudeh includes:

- OD-155H: drilled to appraise the Shiranish oil potential in the southwest area of the Oudeh field. Production results remain strong with a stabilized average cold production rate of 120 bopd.

- OD-153: drilled as a deep test targeting the Butmah and Kurrachine Dolomite formations. After testing water in the Kurrachine Dolomite formation, we continue to production test the Butmah formation.

- OD-158H: drilled in May to appraise the Shiranish reservoir in the northwest area of the Oudeh field. Well log results from the vertical pilot bore hole indicate the thickest Shiranish B reservoir interval drilled in the Oudeh field with 112 metres of net oil pay. The horizontal well encountered fractures that are connected to a fresh water aquifer system. Plans are currently in place for remedial cementing of the fractures during the fourth quarter.

The winterization program for Oudeh includes a new 11 kilometer export pipeline and heater station. This project is 95% complete and expected to be commissioned during November 2007.

Syria - Tishrine

Average gross field production during the third quarter of 2007 was 6,454 bopd (Company net: 366 bopd). Year to date gross field production averaged 6,456 bopd (Company net: 330 bopd). Ten wells completed drilling or were spud during the third quarter, bringing the total number of wells drilled or spud in 2007 to 25.

Of the ten wells that were drilled or spud during the third quarter of 2007, five were development wells at the Tishrine West field. The results of all of the completed development wells at West Tishrine indicated good Chilou and Jaddala net pay intervals, ranging from 31.6 metres to 96.8 metres (average: 47.5 metres). Production contributions from the Tishrine West field were less than expected due to continuing water handling challenges.

Technical studies on the West Tishrine field conclude that previous water injection practices are having a significant negative impact on current oil production rates and development drilling results. Past water disposal into the Jaddala reservoir, the primary producing horizon at West Tishrine, has resulted in water recycling. The fractured nature of the Jaddala has allowed water to displace oil in many fractures, at different elevations in the reservoir. The negative impact is not permanent however it will take time to reverse the effect. Dewatering of the Jaddala started in August 2007. We anticipate the positive impacts of dewatering in West Tishrine to become apparent over the next 3 - 12 months. Water disposal wells and interim water handling facilities were completed and fully operational in the period from September to October.

The third quarter appraisal drilling program results were very encouraging. Four wells were drilled as appraisal wells all with multiple targets of which three were step-out locations outside of the Tishrine West field. A water disposal well T-235 was also completed during the reporting period.

Highlights of key West Tishrine appraisal wells and recompletions in the Chilou B - Jaddala reservoirs include:

- T-19: recognized in the possible reserves category in the Company's reported reserves estimates at the northern limit of the field. The well is currently producing 15 bopd at 4% watercut establishing proved producing reserves.

- T-34: recognized in the possible reserves category in the Company's reported reserves estimates at the northern limit of the field. The well is currently producing 170 bopd at 20% watercut establishing proved producing reserves.

- T-234, 244, 247: wells located in an area representing a Southwestern extension of the West Tishrine field. All wells indicate good petrophysical indicators in the Chilou A, Chilou B and Jaddala reservoirs. This Southwestern extension was not recognized in the Company's previously reported reserves estimates. T-244 is currently producing over 400 bopd from the Jaddala reservoir with a 10% water-cut. T-247 is currently producing over 450 bopd from the Jaddala reservoir with a 5% water-cut. These wells establish previously unrecognized proved producing reserve areas. T-234 is currently being complete in the Jaddala reservoir.

- T-239: drilled approximately 2 kilometres to the east of the Tishrine West field. The well is located structurally up-dip and petrophysical results indicate net oil pay in the Chilou A, Chilou B and Jaddala formations. No production was obtained while testing the Shiranish by conventional pumping. The well has been suspended until a steam generator is available to test the well.

The Company is focusing on additional appraisal opportunities within the Tishrine field, with multiple locations selected for drilling in Q4 of 2007 and 2008. Subsequent to the end of the third quarter, wells T-242 and T-246 were successfully completed as down-dip extensions of the West Tishrine field, adding an additional 500 bopd of production and extending the field boundaries.

By the end of the third quarter, three additional third party workover rigs had arrived in Syria. The addition of these rigs provides the Company with additional capacity to workover existing wells and to complete newly drilled wells. The Company is working closely with the third party workover rig contractor to address operational reliability issues related to one of the workover rigs. In addition to the third party provided workover rigs, the Company continues to utilize workover rigs made available by the Syrian Petroleum Company ("SPC").

The reliability of the electrical power supply in Tishrine improved during the third quarter of 2007 with considerable progress made in upgrading the electric infrastructure in the field. The volume and scope of electrical outages were dramatically reduced during the quarter reducing the impact of electrical outages on oil production.

The winterization programs are proceeding well and expected to reduce cold weather related production restrictions this winter. The three major areas can be summarized by:

- Flowline insulation: insulation of key flowlines, accounting for approximately 70% of Tishrine's production is expected to be complete by mid-November;

- Substation winterization: the project is aimed at installing tank heaters and pumps to ship produced fluids in addition to insulating key substation components. The project is expected to be complete by mid-November;

- Main Station Winterization: the project is aimed at installing and heating oil storage tanks in the main Tishrine facility. The project is currently approximately 60% complete with a mid-November target for final completion.

Syria - Thermal Operations

The pace of the steam pilot at both Oudeh and Tishrine accelerated during the third quarter of 2007. Four of the eight new steam generators have been delivered and commissioned in Syria, bringing the total number of steam generators available for use in Syria to six. All six of the generators are currently steaming wells. An additional four steam generators are scheduled for delivery in Syria before the end of 2007. Plans are in place for a gas sweetening plant to be installed at Oudeh by June 2008 to ensure the quality of the gas supply to the steam generators. The engineering for the plant is complete and the procurement process is ongoing.

Thermal results during the third quarter of 2007 include:

- The steam pilot in Oudeh was resumed and now includes 7 wells;

- Incremental production of 1.4 to 2.6 times over the primary cold production has been achieved in Oudeh;

- The steam pilot in Tishrine was expanded and now includes 8 wells;

- Incremental production of 2 to 6 times over the primary cold production has been achieved in Tishrine;

- Successfully steamed multiple SPC drilled wells using VIT (Vacuum Insulated Tubing) in the Tishrine field. The results were extremely successful. Following the first injection cycle, the wells are currently producing approximately 700 bbl/d of oil.

Egypt

On September 25, 2007, the Company completed the sale of its interests in the West Gharib concession area in Egypt to TransGlobe Energy Corporation ("TransGlobe"). Pursuant to the purchase and sale agreement, TransGlobe has acquired all of the shares of Tanganyika subsidiaries holding the West Gharib interests in consideration for US $70 million, including estimated working capital adjustments effective July 1, 2007 of approximately US $11.0 million. Tanganyika, through its subsidiaries, held a 70% interest in one Development Lease and a 45% working interest in seven additional Development Leases comprising the West Gharib Production Sharing Concession.

North Africa

During the second quarter of 2006, the Company acquired a 50 percent interest in a private entity which holds certain rights associated with the development of oil and gas properties located in North Africa in exchange for 372,954 common shares having a deemed value of $3.5 million. As part of the acquisition, the Company agreed to fund 100 percent of the private entity's work program obligations to a maximum of $2 million. The Company has an option to acquire the remaining 50 percent interest in the private entity within 60 days after the date a development lease is issued in respect of the oil and gas properties for a purchase price of common shares of the Company having a deemed value of $6 million. The Government has yet to issue the development lease and the Company continues to evaluate the carrying value of this property.

Selected Quarterly Information



Three Months Ended
30-Sep 30-Jun 31-Mar 31-Dec 30-Sep 30-Jun 31-Mar 31-Dec
2007 2007 2007 2006 2006 2006 2006 2005
--------------------------------------------------------------------------
Total
revenues
($ 000) 7,041 7,035 4,457 4,615 7,240 5,128 3,515 3,235
Earnings
(loss)-
continuing
operations
($ 000) (6,858) (5,657) (5,049) (2,655) (6,391) (5,577) (2,111) (4,727)
Per share
basic -
continuing
operations
$/share (0.121) (0.100) (0.091) (0.056) (0.130) (0.121) (0.048) (0.107)
Per share
diluted -
continuing
operations
$/share (0.121) (0.100) (0.091) (0.056) (0.130) (0.121) (0.048) (0.107)
Earnings
(loss) -
discontinued
operations
($ 000)
(2) 42,732 2,052 1,738 2,245 2,276 1,369 2,643 2,112
Per share
basic -
discontinued
operations
$/share
(2) 0.754 0.036 0.031 0.047 0.046 0.030 0.060 0.048
Per share
diluted -
discontinued
operations
$/share
(2) 0.751 0.036 0.031 0.047 0.046 0.029 0.059 0.046
Earnings
(loss)
($ 000) 35,874 (3,605) (3,311) (410) (4,115) (4,208) 532 (2,615)
Per share
basic
$/share 0.633 (0.064) (0.059) (0.009) (0.084) (0.091) 0.012 (0.059)
Per share
diluted
$/share 0.630 (0.064) (0.059) (0.009) (0.084) (0.091) 0.012 (0.059)
Cash flow
from
continuing
($ 000)
(1) (547) 382 299 5,068 (4,971) (4,189) (1,045) 1,493
Per share
basic
$/share (0.010) 0.007 0.005 0.106 (0.101) (0.091) (0.024) 0.034
Per share
diluted
$/share (0.010) 0.007 0.005 0.105 (0.101) (0.091) (0.024) 0.034
Company
total net
production -
continuing
operations
(bbl/d) 1,447 1,563 1,223 1,500 1,456 846 914 725
Company
total net
production -
continuing
operations
(bbl) 133,095 142,228 110,000 138,000 134,000 77,000 82,000 66,700

(1) Cash generated from operating activities before changes in non-cash
working capital

(2) On September 25, 2007 the Company sold its interest in West Gharib
Concession in Egypt. Results for these assets have been recorded as
Discontinued Operations.


The 2007 third quarter total revenues remained consistent with the second quarter of the year. An 8% decline in Company net production during the third quarter was offset by increased world oil prices.

Earnings have fluctuated from quarter to quarter as a result of oil price, exchange rate, operating cost fluctuations and increases in total expenses.

Results of Operations

The loss from continuing operations grew in the third quarter of 2007 to $6.9 million, in comparison to $5.7 million during the second quarter of 2007. Stock based compensation charges increased $0.3 million and the foreign exchange gain related to Tanganyika's Canadian dollar cash balances decreased by $1.1 million as the Company's funds were invested in oil and gas properties.

Financial results related to the Company's investment in the West Gharib concession area in Egypt, which was sold during the third quarter of 2007 are recorded in the financial statements as Discontinued Operations, in accordance with Canadian GAAP. Proceeds of $70 million were realized on the transaction, including estimated working capital adjustments effective July 1, 2007 of approximately US $11.0 million, resulting in a $40.6 million gain during the third quarter.

The loss from continuing operations for the quarter and nine months ended September 30, 2007 reflects Tanganyika's early stage of appraising and developing its Syrian oil fields. Production levels have yet to reach a level sufficient to generate operating income. Continuing from 2006, the Company has added operating, technical and support staff as required for expanding the development and appraisal programs on the fields in Syria. The reserves potential identified by the work programs and capital deployed in Syria has been reflected in the significant growth in reserves recognized by the third party reserves evaluators. This is discussed in more detail in the Company's NI 51-101 reserves report as of December 31, 2006 that is filed on SEDAR (www.sedar.com).

Production



Three Three Nine Nine
months months months months
ending ending ending ending Year ending
September September September September December
30, 30, 30, 30, 31,
2007 2006 2007 2006 2006
--------------------------------------------------------------------------
Production:
Syria: Oudeh
Gross field
production
(bbl) 224,452 198,186 671,943 601,060 812,000
Gross field
production
(bbl/d) 2,440 2,154 2,461 2,202 2,225
Company net
production
(bbl)(1) 99,436 78,478 295,236 237,718 325,000
Company net
(bbl/day) 1,081 853 1,081 871 890
Syria:
Tishrine-Sheikh
Mansour
Gross field
production
(bbl) 593,780 659,250 1,762,485 1,727,595 2,373,000
Gross field
production
(bbl/d) 6,454 7,166 6,456 6,328 6,501
Company net
production
(bbl)(1) 33,659 54,835 89,985 54,835 106,000
Company net
(bbl/day) 366 596 330 201 290
--------------------------------------------------------------------------
Syria Total
Total Company
gross Syria
(bbl) 818,232 857,436 2,434,428 2,328,655 3,185,000
Total Company
gross Syria
(bbl/d) 8,894 9,320 8,917 8,530 8,726
Total Company
net Syria
(bbl) 133,095 133,313 385,221 292,553 431,000
Total Company
net Syria
(bbl/d) 1,447 1,449 1,411 1,072 1,180
--------------------------------------------------------------------------

(1) Company net share of Syria's Oudeh and Tishrine production represents
the Company's share of cost and profit oil after deduction of royalty
and base crude production (i.e. incremental production).


Oil Sales



Three Three Nine Nine
months months months months
ending ending ending ending Year ending
September September September September December
30, 30, 30, 30, 31,
2007 2006 2007 2006 2006
--------------------------------------------------------------------------
Sales of
oil ($):
Syria:
Oudeh 5,246,148 4,149,934 13,383,945 12,324,918 15,423,000
Tishrine 1,548,971 2,674,721 3,794,186 2,674,721 3,847,000
--------------------------------------------------------------------------
Total 6,795,119 6,824,655 17,178,131 14,999,639 19,270,000
--------------------------------------------------------------------------
Average oil
sales price
($ per bbl):
Syria:
Oudeh(1) 52.76 52.88 45.33 51.85 47.46
Syria:
Tishrine(1) 46.02 48.78 42.16 48.78 36.29
--------------------------------------------------------------------------

(1) Syria oil prices are net of holdback. See discussion below regarding
marketing contracts for Oudeh and Tishrine.


Third quarter of 2007 oil sales revenues were slightly lower compared to oil sales revenues during the third quarter of 2006. Sales revenue for the nine months ended September 30, 2007 was 15% higher than the oil sales revenue during the first nine months of 2006.

The oil price recognized for Oudeh production during the first nine months of 2007 averaged $45.33/bbl. Tishrine's average recognized oil price was $42.16/bbl during the first nine months of 2007. These prices are based on a provisional pricing mechanism agreed upon between the Company and SPC.

Provisional pricing was agreed to by Tanganyika and SPC, pending a new pricing mechanism calculated by an independent third party, taking into consideration the quality characteristics of the oil currently produced from Oudeh and Tishrine compared to the Syrian Heavy Export Blend at Tartous. The provisional pricing set Oudeh prices at 80% of Syrian Heavy and Tishrine at 70% of Syrian Heavy. The independent third party has completed and issued their report analyzing the quality characteristics between the oil produced and saved from Oudeh and Tishrine in comparison to Syrian Heavy crude. The analysis was based on refining value differentials. Based on the price differential formula included in the report, Oudeh and Tishrine crude is expected to be priced in the range of 85-93% of Syrian Heavy value.

Tanganyika has re-calculated its share of revenues since the provisional pricing was put in place utilizing the pricing formula as suggested by the independent industry expert and presented the adjustment to SPC. Subsequent to the end of the third quarter, SPC approved the pricing adjustment. The revenue adjustment will be recorded during the fourth quarter of 2007.

Production Costs



Three Three Nine Nine
months months months months
ending ending ending ending Year ending
September September September September December
30, 30, 30, 30, 31,
2007 2006 2007 2006 2006
--------------------------------------------------------------------------
Production
Costs
Syria
Gross
production
costs(1) $8,085,458 $9,036,000 $23,714,032 $19,796,000 $26,451,000
Gross
production
volumes(1) 818,232 857,436 2,434,428 2,328,655 3,185,000
Cost
per bbl $ 9.88 $ 10.54 $ 9.74 $ 8.50 $ 8.30
--------------------------------------------------------------------------

(1) Syria gross production costs and gross production volumes represent
100 percent costs and volumes before any deductions relating to the base
crude production.


Production costs for Syria for the three months ended September 30, 2007 averaged $9.88 per barrel as compared to $10.54 per barrel for the three months ended September 30, 2006. For the first nine months of 2007 production costs averaged $9.74 as compared to $8.50 for the first nine months of 2006. Average per barrel production costs are expected to improve as oil production rates increase. Oil production growth during the first nine months of 2007 was constrained by several factors including inefficiency of the electrical supply at Tishrine and insufficient access to workover rigs required to perform well services on existing wells and completion work on newly drilled wells. In addition, the mobilization of three additional drilling rigs that had been scheduled during 2007 has now been pushed back into the first quarter of 2008.

Base Crude Production Recoverable Costs

Under the terms of the Syrian production sharing agreements for Oudeh and Tishrine, the Company is responsible for paying 100 percent of production costs and is entitled to reimbursement of the portion of costs attributable to BCP. In years prior to 2006, the Company did not reflect the potential BCP operating cost recoveries for Oudeh and Tishrine in its results of operations. The Company began recognizing BCP operating cost recoveries for Oudeh during the fourth quarter of 2006 when SPC approved the Oudeh BCP recovery allocation method. The Tishrine recoverable amounts had not been approved by SPC at December 31, 2006. The current year treatment of the BCP cost recoveries is explained in more detail below.

Oudeh BCP Recovery:

As of September 30, 2007, SPC has approved invoices from the Company totalling $7.0 million for Oudeh BCP recoveries. The Company has further accrued $4.0 million for Oudeh BCP recovery related to the fourth quarter of 2006 and first nine months of 2007.



Nine
months
ending
September
30,
2004 2005 2006 2007 Total
---------------------------------------------------------
BCP cost recovery
invoiced and
approved $2,064,000 $1,972,000 $2,929,000 - $ 6,965,000
BCP cost recovery
accrued - - 951,000 3,234,000 4,185,000
---------------------------------------------------------
Total BCP
cost recovery $2,064,000 $1,972,000 $3,880,000 3,234,000 $11,150,000
BCP cost recovery
received (2,064,000) (1,972,000) (1,851,000) - (5,887,000)
--------------------------------------------------------------------------
BCP cost recovery
outstanding $ - $ - $2,029,000 $3,234,000 $ 5,263,000
--------------------------------------------------------------------------


Tishrine BCP Recovery:

During the first nine months of 2007 the Company has invoiced the recovery amounts for 2005 and the first three quarters of 2006. SPC has agreed to the recovery amounts for 2005 and the first quarter 2006 totalling $869,000. It is expected that the Company will recover the remainder of 2006 in 2007 and will also begin invoicing 2007 recoverable costs.



Nine
months
ending
September
30,
2005 2006 2007 Total
----------------------------------------------
BCP cost recovery invoiced
and approved $ 506,000 $ 4,365,000 - $ 4,871,000
BCP cost recovery accrued - 1,632,000 7,469,000 9,101,000
----------------------------------------------
Total BCP cost recovery $ 506,000 $ 5,997,000 7,469,000 $ 13,972,000
BCP cost recovery received - - - -
---------------------------------------------------------------------------
BCP cost recovery
outstanding $ 506,000 $ 5,997,000 $ 7,469,000 $ 13,972,000
---------------------------------------------------------------------------


Depletion

Depletion for the three month period ended September 30, 2007 was $4,436,000 compared to $840,000 for the three month period ended September 30, 2006. For the nine months ended September 30, 2007 depletion for the period was $13,186,000 compared to $2,211,000 for the nine months ended September 30, 2006. During the third quarter of 2007, depletion was approximately $5.42 per barrel for Syria. The Company uses the full cost method of accounting for its oil and gas activities. In accordance with full cost accounting guidelines, all costs associated with exploration and development are capitalized on a country by country basis whether or not such activities were successful. The total capitalized costs and estimated future development costs are amortized using the unit of production method based on proved oil and gas reserves. Accordingly, revisions or changes to estimated proved reserves will impact the depletion expense.

Interest and Other Income

Interest income was $245,000 for the three months ended September 30, 2007 compared to $415,000 for the three month period ended September 30, 2006. For the nine months ended September 30, 2007 interest income was $1,355,000 compared to $884,000 for the nine months ended September 30, 2006. The overall increase is due to interest earned on surplus cash from a private placement in November 2006.

General and Administration

General and administration costs for the three months ended September 30, 2007 were $3,043,000 compared to $3,066,000 for the three month period ended September 30, 2006. For the nine months ended September 30, 2007 general and administration costs were $8,654,000 compared to $7,705,000 for the nine months ended September 30, 2006.The increase in year to date general and administration costs are mainly driven by additional personnel employed in Syria as the Company ramps up its Syrian development program. Tanganyika continues to recruit operational and administrative personnel for its Syrian operations. The Company currently employees 292 persons distributed among four offices in Canada and Syria. Key drivers of this increased headcount are the anticipated increase in rig count and steam generation capacity.

Stock-based Compensation

The Company uses the fair value method of accounting for stock options granted to directors, officers and employees whereby the fair value of all stock options granted is recorded as a charge to operations. Stock based compensation for the three months ended September 30, 2007 was $1,780,000 and $444,000 for the three months ended September 30, 2006. For the nine months ended September 30, 2007 stock based compensation was $4,259,000 compared to $1,305,000 for the nine months ended September 30, 2006. The Company continues to utilize its stock option plan as a method of recruiting, retaining and motivating key personnel.

Oil and Gas Interests



September 30, 2007
----------------------------------------------------
Accumulated
Cost depletion Net book value
----------------------------------------------------
Oil and Gas Interests 185,427,726 24,866,323 160,561,403
----------------------------------------------------
----------------------------------------------------

December 31, 2006
----------------------------------------------------
Accumulated
Cost depletion Net book value
----------------------------------------------------
Oil and Gas Interests 99,124,122 11,680,092 87,444,030
----------------------------------------------------
----------------------------------------------------


Oil and gas assets have increased $73,117,000 as a result of development and appraisal drilling and investment in oil, water and gas handling facilities on both the Oudeh and Tishrine oil fields.

Liquidity and Capital Resources

At September 30, 2007 the Company had a cash balance of $77.6 million compared to $90.9 million at December 31, 2006.

Excluding the $70 million dollars raised through the disposition of Tanganyika's interest in the West Gharib concession in Egypt, the Company has consumed $57.6 million of cash during the first nine months of 2007. The Company is currently evaluating the 2008 work program aimed at continued appraisal of the Oudeh and Tishrine field and development drilling focused on production growth. The pace of capital expenditure is anticipated to increase with the planned mobilization of three additional drilling rigs in the first quarter of 2008.

Tanganyika has historically relied on private placements as a primary source of funds for acquisition, exploration and development. During 2006, 10.3 million shares were issued with gross proceeds of approximately $134.5 million. As production increases in Syria, cash flow from operations will increasingly provide the required capital for exploration and development expenditures. However, due to potential impacts of price, production rates, pace of development, and the costs of materials and services the Company may not generate sufficient cash flow from operations to entirely fund the entire appraisal and development programs out of operating cash flow and existing cash on hand. Accordingly, the Company may in the future consider issuances of equity securities, debt or the divestiture of assets, to assist with financing its exploration and development activities.

Off-Balance Sheet Arrangements

The Company has no off-balance sheet arrangements.

Outstanding Share Data

As at November 13, 2007 the Company had 56,898,696 common shares outstanding and 2,296,950 stock options outstanding under its stock-based compensation plan.

Related Party Transactions

The Company has entered into transactions with related parties, which were measured at the exchange amounts. Significant related party transactions were as follows:

a) During the nine months ended September 30, 2007, the Company paid $147,000 (September 30, 2006 - $203,268) to Namdo Management Services Ltd., a private corporation owned by Lukas H. Lundin, a director of the Company, pursuant to a services agreement.

b) During the nine months ended September 30, 2007, the Company received $127,773 (2006 - $204,928) from Pearl Exploration and Production Ltd. ("Pearl") for administrative and other services. The Company and Pearl had certain officers in common during the first half of 2007 and continue to have directors in common.

Critical Accounting Estimates

The preparation of financial statements in conformity with Canadian GAAP requires management to make judgments, assumptions and estimates that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements, and revenues and expenses for the period reported. The significant accounting policies used by the Company are disclosed in the Notes to the Consolidated Financial Statements. Management believes that the most critical accounting policies that may have an impact on the Company's financial results relate to the accounting for its oil and gas interests. Amounts recorded for depletion and the impairment test are based on estimates of proved reserves, production rates, oil prices, future costs and other relevant assumptions. Actual results could differ materially from such estimates.

Proved Oil and Gas Reserves

Under National Instrument 51-101 ("NI 51-101") detailed rules have been developed to provide uniform reserves recognition criteria within the oil and gas industry in Canada. However, the process of estimating oil and gas reserves is inherently judgmental. Technical reserves estimates are made using available geological and reservoir data as well as production performance data. As new data becomes available, reserves estimates may change. Reserves estimates are also impacted by economic conditions, primarily commodity prices. As economic conditions change, production may be added or may become uneconomical and no longer qualify for reserves recognition.

Depletion

The Company uses the full cost method of accounting for its oil and gas activities. In accordance with the full cost accounting guideline, all costs associated with exploration and development are capitalized on a country by country basis whether or not such activities were successful. The total capitalized costs and estimated future development costs are amortized using the unit-of-production method based on proved oil and gas reserves. Accordingly, revisions or changes to estimated proved reserves will impact the depletion expenses.

Impairment of Oil and Gas Interests

The Company's capitalized oil and gas interests are subject to impairment tests on a country by country basis. Impairment is indicated if the undiscounted estimated future cash flows from proved reserves at oil and gas prices in effect at the balance sheet date plus the cost of unproved properties less any impairment is less than the carrying value of the oil and gas interests. The impairment test requires management to make assumptions regarding cash flows into the distant future and is based on estimates of proved reserves.

New Accounting Pronouncements and Changes in Accounting Policies

Effective January 1, 2007 the Company adopted the Canadian Institute of Chartered Accountants Handbook Section 1530 "Comprehensive income", Section 3251 "Equity", Section 3865 "Hedges" and Section 3855 "Financial instruments - recognition and measurement". As required by the new standards, prior periods have not been restated, except to reclassify the foreign currency translation balance as described under "comprehensive income". The adoption of these Handbook sections had no impact on opening retained earnings or accumulated other comprehensive income.

Comprehensive income

This standard introduces a new "Statement of comprehensive income" and establishes accumulated other comprehensive income as a separate component of shareholders' equity. Comprehensive income is defined as the change in equity from transactions and other events from non-owner sources and includes all changes in equity during a period except those resulting from investments by owners and distributions to owners. Other comprehensive income comprises revenues, expenses, gains and losses that, in accordance with GAAP, are recognized in comprehensive income but excluded from net income. Amounts included in accumulated other comprehensive income are reclassified to net income when realized. Upon adoption of Section 1530, cumulative translation adjustments relating to self-sustaining foreign operations were reclassified to accumulated other comprehensive income and comparative amounts have been restated.

Equity

The equity section establishes standards for the presentation of equity and changes in equity during the reporting period.

Hedges

This section prescribes new hedge accounting standards. Hedge accounting continues to be optional. At the inception of the hedge, the Company must formally document the designation of the hedge, the risk management objectives, the hedging relationships between the hedged items and the hedging instruments and the methods for testing the hedge's effectiveness. The Company assesses at inception and throughout its term whether the hedging instruments are highly effective in offsetting changes in fair values or cash flows of hedged items.

Financial instruments

The accounting standard on financial instruments establishes the recognition and measurement criteria for financial assets, liabilities and derivatives. All financial instruments are required to be measured at fair value on initial recognition while measurement in subsequent periods depends on its classification as "held-for-trading", "available-for-sale", "held-to-maturity", "loans and receivables" or "other financial liabilities" as defined by the standard.

Financial instruments "held-for-trading" are measured at fair value with changes to fair value recognized in net income, "available-for-sale" are measured at fair value with changes to fair value recognized in other comprehensive income and "held-to-maturity" , "loans and receivables" and "other financial liabilities" are measured at amortized cost using the effective interest rate method of amortization.

Cash and cash equivalents are classified as "held-for-trading" and are measured at carrying value, which approximates fair value due to their short term nature. Accounts receivable and other current assets are classified as "loans and receivables". Accounts payable and accrued liabilities, corporate income taxes payable, crude oil sales prepayment facility, long term debt and other long term liabilities are classified as "other liabilities".

Risks and Uncertainties

The Company is exposed to a number of risks and uncertainties inherent in exploring for, developing and producing crude oil and natural gas. These risks and uncertainties are disclosed in detail in the Company's December 31, 2006 Annual Report and Annual Information Form.

Internal Controls over Financial Reporting

Multilateral Instrument 52-109 defines internal controls over financial reporting as "a process designed by, or under the supervision of the issuer's chief executive officers and chief financial officers or persons performing similar functions, and effected by the issuer's board of directors, management and other personnel, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with the issuer's GAAP and includes those policies and procedures that:

a) pertain to the maintenance of records that in reasonable detail accurately and fairly reflect the transactions and dispositions of the assets of the issuer;

b) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with the issuer's GAAP, and that receipts and expenditures of the issuer are being made only in accordance with authorizations of management and directors of the issuer; and

c) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use or disposition of the issuer's assets that could have a material effect on the annual financial statements or interim financial statements."

The Company has, under the supervision of its chief financial officer, designed a process for internal control over financial reporting, which process has been effected by the Company's board of directors and management. The process was designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with the Company's GAAP and incorporates policies and procedures as described above.

During the first nine months of 2007, there have been no changes in the Company's internal control over financial reporting that have materially affected, or are reasonably likely to have materially affected, the Company's internal control over financial reporting.

Outlook

The work completed in 2006 provided an exciting preview of the future prospects for the Company. The investment Tanganyika made in acquiring and processing 3D seismic on both Oudeh and Tishrine, conducting successful cyclical steam pilots and its ongoing appraisal and development drilling led to the increased oil reserve figures as reported as of December 31, 2006.

With an increased investment in drilling rigs, workover rigs and steam generation capacity, current activities are focused on increasing production rates from proved developed reserves, converting existing undeveloped proved and probable reserves into production and continuing to appraise and better define the hydrocarbon potential of both Oudeh and Tishrine. Ongoing facilities investments will aim to stabilize the electricity supply, improve the quality of the gas fuel supply, improve water handling and injection and decrease the susceptibility of production to cold winter surface temperatures. Ongoing recruiting efforts will be focused on attracting experienced international heavy oil personnel to the Company.

Forward Looking Statements

This MD&A may contain forward-looking statements and information. Forward-looking statements are statements that are not historical fact and are generally identified by words such as believes, anticipates, expects, estimates or similar words suggesting future outcomes. By their nature, forward-looking statements and information involve assumptions, inherent risks and uncertainties, many of which are difficult to predict, and are usually beyond the control of management, that could cause actual results to be materially different from those expressed by these forward-looking statements and information. Risks and uncertainties include, but are not limited to, risk with respect to general economic conditions, regulations and taxes, civil unrest, corporate restructuring and related costs, capital and operating expenses, pricing and availability of financing and currency exchange rate fluctuations. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements.

Non-GAAP Measures

Certain measures in this MD&A do not have any standardized meaning as prescribed Canadian GAAP such as Cash Flow from Operations and Cash Flows and therefore are considered non-GAAP measures. These measures may not be comparable to similar measures presented by other issuers. These measures have been described and presented in this MD&A in order to provide shareholders and potential investors with additional information regarding the Company's liquidity and its ability to generate funds to finance its operations. Management's use of these measures has been disclosed further in this MD&A as these measures are discussed and presented.

KEY DATA



Three Three Nine Nine Year
months months months months ended
ended ended ended ended December
Sept 30, Sept 30, Sept 30, Sept 30, 31,
2007 2006 2007 2006 2006
--------------------------------------------------------------------------
Return on equity, %(1) 16.04% -3.42% 12.99% -6.47% -6.04%
Return on capital
employed, %(2) 16.16% -3.48% 13.27% -6.53% -6.42%
Debt/equity ratio, %
(3) 0% 0% 0% 0% 0%
Equity ratio, %(4) 87% 84% 87% 86% 87%
Share of risk
capital, %(5) 87% 84% 87% 86% 87%
Yield, %(6) 0% 0% 0% 0% 0%

(1) Return on equity is defined as the Company's net results divided by
average shareholders' equity (the average over the financial period).

(2) Return on capital employed is defined as the Company's profit before
tax and minority interest plus interest expense plus/less exchange
differences on financial loans divided by the total average capital
employed (the average balance sheet total less non interest-bearing
liabilities).

(3) Debt/equity ratio is defined as the Company's interest-bearing
liabilities in relation to shareholders' equity.

(4) Equity ratio is defined as the Company's shareholders' equity,
including minority interest, in relation to balance sheet total.

(5) Share of risk capital is defined as the sum of the Company's
shareholders' equity and deferred taxes, including minority interest,
in relation to balance sheet total.

(6) Yield is defined as dividend in relation to quoted share price at the
end of the financial period.


Since the Company has no interest bearing debt, the interest coverage ratio and operating cash flow/interest ratio have not been included as they are not meaningful.

DATA PER SHARE



Three Three Nine Nine Year
months months months months ended
ended ended ended ended December
Sept 30, Sept 30, Sept 30, Sept 30, 31,
2007 2006 2007 2006 2006
--------------------------------------------------------------------------
Shareholders'
equity, USD(1) 4.31 2.41 4.31 2.41 3.61
Operating cash
flow
including
discontinued
operations,
USD(2) 0.04 0.01 0.10 0.07 0.34
Cash flow from
operations
including
discontinued
operations(3) 0.04 (0.04) 0.14 (0.05) 0.11
Earnings
including
discontinued
operations(4) 0.633 (0.084) 0.515 (0.167) (0.172)
Earnings
including
discontinued
operations
(fully
diluted)(5) 0.630 (0.084) 0.515 (0.167) (0.172)
Dividend - - - - -
Quoted price
at the
end of the
financial
period 18.25 13.00 18.25 13.00 19.96
P/E-ratio(6) 28.8 (155.5) 35.5 (77.8) (116.1)
Number of
shares at
financial
period end 56,873,696 49,231,196 56,873,696 49,231,196 55,632,696
Weighted
average
number of
shares
for the
financial
period(7) 56,701,120 49,208,979 56,268,070 46,612,810 47,702,202
Weighted
average
number of
shares
for the
financial
period
(fully
diluted)
(5,7) 56,928,545 49,765,503 56,464,371 47,147,254 48,076,905

(1) Shareholders' equity per share defined as the Company's equity divided
by the number of shares at period end.

(2) Operating cash flow per share defined as the Company's operating income
less production costs and less current taxes divided by the weighted
average number of shares for the financial period.

(3) Cash flow from operations per share defined as cash flow from
operations in accordance with the consolidated summarized cash flow
statements divided by the weighted average number of shares for the
financial period.

(4) Earnings per share defined as the Company's net results divided by the
weighted average number of shares for the financial period.

(5) Earnings per share defined as the Company's net results divided by the
weighted average number of shares for the financial period after
considering the dilution effect of outstanding options and warrants.

(6) P/E-ratio defined as quoted price at the end of the period divided by
earnings per share.

(7) Weighted average number of shares for the financial period is defined
as the number of shares at the beginning of the financial period with
new issue of shares weighted for the proportion of the period they are
in issue.


Tanganyika Oil Company Ltd.
CONSOLIDATED BALANCE SHEET
(Unaudited)
(expressed in U.S. dollars)

September 30, December 31,
2007 2006
-------------- -------------
(restated -
note 4)

ASSETS $ $
Current assets
Cash and cash equivalents 77,649,853 90,032,813
Restricted cash (Note 2) - 900,000
Advances to contractor's 13,164,938 5,835,066
Accounts receivable and other assets 28,425,576 20,774,193
Prepaid expenses 1,298,943 473,822
Discontinued operations (Note 4) - 8,148,259
-------------- -------------
120,539,310 126,164,153

Oil and gas interests (Note 5) 160,561,403 87,444,030
Property, plant and equipment 1,294,862 1,056,722
Discontinued operations (Note 4) - 16,867,022
-------------- -------------
282,395,575 231,531,927
-------------- -------------
-------------- -------------
LIABILITIES
Current liabilities
Accounts payable and other accrued
liabilities 37,492,076 27,459,670
Discontinued operations (Note 4) - 3,031,697
-------------- -------------
37,492,076 30,491,367

SHAREHOLDERS' EQUITY

Share capital (Note 6) 241,667,430 228,236,373
Contributed surplus (Note 7) 7,675,956 6,201,643
Accumulated comprehensive loss (Note 3) (175,745) (175,745)
Deficit (4,264,142) (33,221,711)
-------------- -------------
244,903,499 201,040,560
-------------- -------------
282,395,575 231,531,927
-------------- -------------
-------------- -------------


Approved by the Directors:

(signed) "William A. Rand" (signed) "Keith Hill"
Director Director


Tanganyika Oil Company Ltd.
Consolidated Statement of Changes in Shareholders' Equity
(Unaudited)
(expressed in U.S. dollars)

Compre-
Share Contributed hensive
Capital Surplus Deficit loss Total
--------------------------------------------------------------------------

As at
January
1, 2006 $ 89,905,794 $5,782,777 $(25,021,261) $(175,745) $70,491,565
Issue of
shares 54,657,222 - - - 54,657,222
Stock-based
compen-
sation 418,491 886,702 - - 1,305,193
Income
(loss)
for the
period - - (7,790,426) - (7,790,426)
---------------------------------------------------------------
As at
September
30, 2006 144,981,507 6,669,479 (32,811,687) (175,745) 118,663,554
---------------------------------------------------------------

Issue of
shares 82,587,335 - - - 82,587,335
Stock-based
compen-
sation 667,531 (467,836) - - 199,695
Income
(loss)
for the
period - - (410,024) - (410,024)
---------------------------------------------------------------
As at
December
31, 2006 228,236,373 6,201,643 (33,221,711) (175,745) 201,040,560
---------------------------------------------------------------

Issue of
shares 10,646,613 - - - 10,646,613
Stock-based
compen-
sation 2,784,445 1,474,313 - - 4,258,758
Income
(loss)
for the
period - - 28,957,569 - 28,957,569
---------------------------------------------------------------
As at
September
30, 2007 $241,667,430 $7,675,956 $ (4,264,142) $(175,745) $244,903,499
---------------------------------------------------------------


Tanganyika Oil Company Ltd.
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME
(Unaudited)
(expressed in U.S. dollars)

Three Three Nine Nine
months months months months Year ended
ended ended ended ended December
Sept 30, Sept 30, Sept 30, Sept 30, 31,
2007 2006 2007 2006 2006
----------- ------------ ------------ ------------ ------------
(restated - (restated - (restated -
note 4) note 4) note 4)
Revenue
Sale of
oil 6,795,119 6,824,654 17,178,131 14,999,639 19,270,217
Interest
income 245,772 414,749 1,355,092 883,099 1,224,247
Other
income - - - - 3,770
---------- ------------ ------------ ------------ ------------
7,040,891 7,239,403 18,533,223 15,882,738 20,498,234
---------- ------------ ------------ ------------ ------------
Expenses
Production
costs 4,618,829 9,035,888 11,584,850 19,796,301 13,701,281
Depletion 4,435,992 839,650 13,186,231 2,211,052 9,570,490
General and
administ-
ration 3,043,324 3,066,621 8,654,413 7,705,211 11,966,946
Stock-based
compen-
sation
(note 8) 1,779,924 444,165 4,258,758 1,305,192 1,504,888
Interest
and bank
charges 173,967 (1,822) 168,062 95,092 35,089
Deprecia-
tion 94,833 136,783 250,946 358,013 520,942
Foreign
exchange
gain (247,985) 109,411 (2,008,465) (1,509,187) (67,376)
---------- ------------ ------------ ------------ ------------
13,898,884 13,630,696 36,094,795 29,961,674 37,232,260
---------- ------------ ------------ ------------ ------------
Profit
(loss) for
the period
before
discont-
inued
operations (6,857,993) (6,391,293) (17,561,572) (14,078,936) (16,734,026)
Discontinued
operations
(note 4) 42,731,533 2,276,490 46,519,141 6,288,510 8,533,576
---------- ------------ ------------ ------------ ------------
Profit
(loss) for
the period 35,873,540 (4,114,803) 28,957,569 (7,790,426) (8,200,450)

Deficit -
beginning
of period (40,137,682) (28,696,884) (33,221,711) (25,021,261) (25,021,261)
---------- ------------ ------------ ------------ ------------
Deficit -
end of
period (4,264,142) (32,811,687) (4,264,142) (32,811,687) (33,221,711)
---------- ------------ ------------ ------------ ------------
---------- ------------ ------------ ------------ ------------
Other
comprehen-
sive income - - - - -
---------- ------------ ------------ ------------ ------------
Comprehen-
sive income
(loss)
for the
period 35,873,540 (4,114,803) 28,957,569 (7,790,426) (8,200,450)
---------- ------------ ------------ ------------ ------------
---------- ------------ ------------ ------------ ------------
Profit
(loss) per
share -
Continuing
operations

Basic (0.121) (0.130) (0.312) (0.302) (0.351)

Diluted (0.121) (0.130) (0.312) (0.302) (0.351)

Profit
(loss)
per share -
Discontinued
operations

Basic 0.754 0.046 0.827 0.135 0.179

Diluted 0.751 0.046 0.824 0.133 0.177

Weighted average
number of shares
outstanding

Basic 56,701,120 49,208,979 56,268,070 46,612,810 47,702,202

Diluted 56,928,545 49,765,503 56,464,371 47,147,254 48,076,905


Tanganyika Oil Company Ltd.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
(expressed in U.S. dollars)

Three Three Nine Nine Year
months months months months ended
ended ended ended ended December
Sept 30, Sept 30, Sept 30, Sept 30, 31,
2007 2006 2007 2006 2006
---------- ------------ ------------ ------------ ------------
(restated - (restated - (restated -
note 4) note 4) note 4)
Cash flows
from
operating
activities
Profit
(loss) for
the period
excluding
discont-
inued
opera-
tions (6,857,993) (6,391,293) (17,561,572) (14,078,936) (16,734,026)
Items not
affecting
cash
Stock-
based
compens-
ation 1,779,924 444,165 4,258,758 1,305,192 1,504,888
Depreci-
ation 94,833 136,783 250,946 358,013 520,942
Depletion 4,435,992 839,650 13,186,231 2,211,052 9,570,490
---------- ------------ ------------ ------------ ------------
(547,244) (4,970,695) 134,363 (10,204,679) (5,137,706)
Funds
provided
from
discont-
inued
operations 2,718,780 2,978,167 7,782,239 7,998,494 10,378,556
---------- ------------ ------------ ------------ ------------
2,171,536 (1,992,528) 7,916,602 (2,206,185) 5,240,850

Changes in
non-cash
operating
working
capital
Changes in
non-cash
working
capital
related to
opera-
tions 4,788,729 9,421,513 3,151,165 9,602,312 (1,727,011)
Discon-
tinued
opera-
tions 8,113,139 714,276 5,116,562 (358,919) 2,458,124
---------- ------------ ------------ ------------ ------------
12,901,868 10,135,789 8,267,727 9,243,393 731,113
---------- ------------ ------------ ------------ ------------
15,073,404 8,143,261 16,184,329 7,037,208 5,971,963
---------- ------------ ------------ ------------ ------------
Cash flows
from
investing
activities
Investment
in oil
and gas
inter-
ests (42,491,110) (15,934,368) (86,303,604) (37,418,439) (66,973,880)
Investment
in
property,
plant and
equipment (359,353) (135,841) (489,086) (452,169) (974,426)
Pledge for
bank
guarantee
released 900,000 1,726,984 900,000 8,876,382 15,826,382
Changes in
non-cash
working
capital
related to
investing
activities 6,875,623 (4,682,365) (8,925,135) (7,892,852) (4,837,503)
Discont-
inued
opera-
tions 57,670,806 (1,905,158) 55,603,924 (11,076,708) (10,388,216)
---------- ------------ ------------ ------------ ------------
22,595,966 (20,930,748) (39,213,901) (47,963,786) (67,347,643)
---------- ------------ ------------ ------------ ------------

Cash flows
from
financing
activities
Issuance
of common
shares 4,891,767 81,107 10,646,612 54,657,223 137,244,557
---------- ------------ ------------ ------------ ------------
4,891,767 81,107 10,646,612 54,657,223 137,244,557
---------- ------------ ------------ ------------ ------------
Increase
(decrease)
in cash 42,561,137 (12,706,380) (12,382,960) 13,730,645 75,868,877

Cash -
beginning
of period 35,088,716 43,115,517 90,032,813 16,678,492 14,163,936
---------- ------------ ------------ ------------ ------------
Cash - end
of period 77,649,853 30,409,137 77,649,853 30,409,137 90,032,813
---------- ------------ ------------ ------------ ------------
---------- ------------ ------------ ------------ ------------
Supplemen-
tary
informa-
tion
Interest
paid $ Nil $ Nil $ Nil $ Nil $ Nil

Taxes
paid $ Nil $ Nil $ Nil $ Nil $ Nil


Tanganyika Oil Company Ltd.

Notes to the Consolidated Financial Statements

For the Three months ended September 30, 2007 and September 30, 2006

(Unaudited)

(in US Dollars)

1. Basis of Presentation

The interim consolidated financial statements for Tanganyika Oil Company Ltd. (collectively with its subsidiaries, the "Company") have been prepared in accordance with accounting principles generally accepted in Canada, using the same accounting policies and methods of computation as set out in note 3 to the audited consolidated financial statements in the Company's Annual Report for the period ended December 31, 2006. The disclosures provided herein are incremental to those included with the audited consolidated financial statements. The interim consolidated financial statements should be read in conjunction with the audited consolidated financial statements for the period ended December 31, 2006.

2. Restricted Cash

The Company has provided cash security for certain letters of guarantee and credit issued to third parties. As at September 30, 2007, the Company has received from the Syrian Petroleum Company (SPC) payment for all pledged amounts against the issuance of a letter of guarantee in favour of SPC in connection with the production sharing agreements. The Company has performed its obligations in relation to the letter of guarantee.

3. Changes in Accounting Policy

On January 1, 2007, the Company adopted three new accounting standards that were issued by the Canadian Institute of Chartered Accountants: Handbook Section 1530, Comprehensive Income, Handbook Section 3861, Financial Instruments - Presentation and Disclosure and Handbook Section 3855, Financial Instruments - Recognition and Measurement. These standards have been applied prospectively; accordingly, comparative amounts for prior periods have not been restated.

(a) Comprehensive income

Section 1530 introduces comprehensive income, which consists of net income and other comprehensive income. Other comprehensive income represents changes in shareholders' equity during a period arising from transactions and other events and circumstances from non-owner sources and includes unrealized gains and losses on financial assets classified as available-for-sale. The components of comprehensive income are disclosed in the interim consolidated statement of shareholders' equity.

(b) Financial instruments - presentation and disclosure; recognition and measurement

Section 3861 establishes standards for the presentation and disclosure of financial instruments. Section 3855 establishes standards for recognizing and measuring financial assets, financial liabilities and non-financial derivatives. It requires that financial assets and financial liabilities, including derivatives, be measured at fair value on initial recognition and recorded on the balance sheet. Measurement in subsequent period depends on whether the financial instrument has been classified as held-for-trading, available-for-sale, held-to-maturity, loans and receivables or other financial liabilities.

Financial assets and liabilities held-for-trading are measured at fair value with changes in those fair values recognized in net income. Financial assets and financial liabilities considered held-to-maturity, loans and receivables, and other financial liabilities are measured at amortized cost using the effective interest method of amortization. Available-for-sale financial assets are measured at fair value with unrealized gains and losses recognized in other comprehensive income. Investments in equity instruments classified as available-for-sale that do not have a quoted market price in an active market are measured at cost.

Derivative instruments, including embedded derivatives, are recorded on the balance sheet at fair value. Changes in the fair values of derivative instruments are recognized in net income with the exception of derivatives designated as effective cash flow hedges. The Company has no such designated hedges.

4. Discontinued Operations

The assets and liabilities related to discontinued operations have been reclassified as assets or liabilities of discontinued operations on the Consolidated Balance sheets. Operating results related to these assets and liabilities have been included in Discontinued Operations on the Consolidated Statements of Operations and Comprehensive Income.

On September 5, 2007, the Company entered into an agreement with a third party for the sale of its interests in the West Gharib concession area. The sale price of the interests was $70.0 million, including estimated net working capital of $10.9 million, subject to normal closing adjustments. The sale closed September 25, 2007. The Company no longer owns any interests in the West Gharib concession area. The West Gharib assets have been accounted for as discontinued operations in accordance with GAAP. Results of the operations have been included in the financial statements up to the closing date of the sale (the date control was transferred to the purchaser).

The Company recorded an estimated gain on disposition of $40.6 million in the three and nine months ended September 30, 2007. The total gain booked in September 2007 is an estimate based on the proceeds expected to be received per the final closing statement of adjustments. The final closing statement of adjustments is expected to be completed in the second quarter of 2008. The gain recorded on disposition may change as a result of the final closing statement of adjustments.

Discontinued operations at December 31, 2006 included cash of $3.7 million, accounts receivable of $4.4 million, oil and gas interests of $16.3 million, property plant and equipment of $0.6 million, accounts payable of $3.0 million.



Three Months Ended Nine Months Ended
September September September September
30, 2007 30, 2006 30, 2007 30, 2006
Revenue
Sale of oil 3,203,455 3,368,986 9,256,198 9,413,501
Interest income 4,089 504 19,160 1,364
Other income 10,213 (47,349) 64,383 49,612
--------------------- ---------------------
3,217,757 3,322,141 9,339,741 9,464,477

Expenses
Production costs 418,760 404,766 1,314,011 1,269,594
Depletion 578,041 678,363 1,792,743 1,641,236
Depreciation 28,631 23,314 89,780 68,748
General and admininstration 79,896 (94,096) 243,006 162,677
Foreign exchange loss (gain) 61 (431) (496) (495)
Other expenses 260 33,735 981 34,207
--------------------- ---------------------
1,105,649 1,045,651 3,440,025 3,175,967
--------------------- ---------------------

2,112,108 2,276,490 5,899,716 6,288,510
Estimated gain on disposition 40,619,425 - 40,619,425 -
--------------------- ---------------------
42,731,533 2,276,490 46,519,141 6,288,510
--------------------- ---------------------
--------------------- ---------------------


5. Oil and Gas Interests



September 30, 2007
-----------------------------------------------
Accumulated
Cost depletion Net book value
-----------------------------------------------
Oil and Gas Interests 185,427,726 24,866,323 160,561,403
-----------------------------------------------
-----------------------------------------------

December 31, 2006
-----------------------------------------------
Accumulated
Cost depletion Net book value
-----------------------------------------------
Oil and Gas Interests 99,124,122 11,680,092 87,444,030
-----------------------------------------------
-----------------------------------------------


6. Share Capital

(a) The authorized and issued share capital is as follows:

Authorized - Unlimited number of common shares without par value

Issued and outstanding:



September 30, 2007
--------------------------------------------------------------------------
Number Amount
--------------------------------------------------------------------------
Balance, beginning of year 55,632,696 $ 228,236,373
Private placements, net - -
Exercise of options 1,241,000 13,431,057
--------------------------------------------------------------------------
Balance, end of period 56,873,696 $ 241,667,430
--------------------------------------------------------------------------
--------------------------------------------------------------------------


7. Contributed Surplus



September 30, 2007 December 31, 2006
--------------------------------------------------------------------------
Balance, beginning of year 6,201,643 5,782,777
Stock based compensation 4,258,758 1,504,888
Transfer to share capital on
exercise of options (2,784,445) (1,086,022)
--------------------------------------------------------------------------
Balance, end of period 7,675,956 6,201,643
--------------------------------------------------------------------------
--------------------------------------------------------------------------


8. Stock Option Information



September 30, 2007
--------------------------------------------------------------------------
Weighted Average
Exercise
Outstanding Options Price CDN$
--------------------------------------------------------------------------
Outstanding, beginning of year 2,104,000 11.94
Granted 1,610,750 18.62
Exercised (1,241,000) 9.39
Cancelled or expired (103,000) 14.74
--------------------------------------------------------------------------
Outstanding, end of period 2,370,750 17.69
--------------------------------------------------------------------------
--------------------------------------------------------------------------


Employee stock options are measured at their fair value on the date of the grant and recognized on a straight line basis as an expense over the vesting period, if any, applicable to the options. The fair value of the options granted to consultants is recognized immediately.

The estimated fair value of the options granted during the period ended September 30, 2007 ranged from CDN $2.04 to CDN $7.78 per option, determined using the Black-Scholes option pricing model with the following assumptions:



--------------------------------------------------------------------------
September 30, 2007
--------------------------------------------------------------------------
Risk-free rate 4.22% - 4.85%
Expected life 1 - 3 years
Estimated volatility in the market price of common shares 45% - 55%
Expected dividend rate 0%
--------------------------------------------------------------------------
--------------------------------------------------------------------------


9. Related Party Transactions

The Company has entered into transactions with related parties, which were measured at the exchange amounts. Significant related party transactions were as follows:

a) During the nine months ended September 30, 2007, the Company paid $147,000 (September 30, 2006 - $203,268) to Namdo Management Services Ltd., a private corporation owned by Lukas H. Lundin, a director of the Company, pursuant to a services agreement.

b) During the nine months ended September 30, 2007, the Company received $127,773 (2006 - $204,928) from Pearl Exploration and Production Ltd. ("Pearl") for administrative and other services. The Company and Pearl had certain officers in common during the quarter and continue to have directors in common.

10. Supplemental Cash Flow Information



Three Three Nine Nine Twelve
months months months months months
ending ending ending ending ending
Sept 30, Sept 30, Sept 30, Sept 30, December 31,
2007 2006 2007 2006 2006
--------------------------------------------------------------------------
Changes in
non-cash
Working
capital:
Accounts
receivable
and other
assets and
advances 8,869,902 (2,076,178) (14,981,255) (6,892,677) (22,287,869)
Prepaid
expenses (266,968) 52,269 (825,121) (422,018) (223,297)
Accounts
payable and
accrued
liabilities 3,061,418 6,763,057 10,032,406 9,024,155 15,946,652
------------------------------------------------------------
11,664,352 4,739,148 (5,773,970) 1,709,460 (6,564,514)

Changes in
non-cash
working
capital
relating to:
Operating
activities 4,788,729 9,421,513 3,151,165 9,602,312 (1,727,011)
Investing
activities 6,875,623 (4,682,365) (8,925,135) (7,892,852) (4,837,503)
------------------------------------------------------------
11,664,352 4,739,148 (5,773,970) 1,709,460 (6,564,514)
------------------------------------------------------------


11. Summary of Significant Differences Between Canadian GAAP and International Financial Reporting Standards (IFRS)

The Company's consolidated financial statements have been prepared in accordance with Canadian GAAP, which differ in certain material respects from International Financial Reporting Standards ("IFRS"). The principal difference between Canadian GAAP and IFRS from a measurement perspective, as applied to the Company's consolidated financial statements is asset impairment.

a) Impairment of oil and gas interests

Under Canadian GAAP, each cost centre should be assessed for impairment as at each annual balance sheet date or whenever events or changes in circumstances indicate that its carrying amount may not be recoverable. An impairment loss should be recognized when the carrying amount of a cost centre is not recoverable and exceeds its fair value. The carrying amount is not recoverable if the carrying amount exceeds the sum of the undiscounted cash flows expected to result from its use and eventual disposition. Unproved properties and major development projects are included in this recoverability test. A cost centre impairment loss should be measured as the amount by which the carrying amount of assets capitalized in a cost centre exceeds the sum of: the fair value of proved and probable reserves; and the costs (less any impairment) of unproved properties that have been subject to a separate test for impairment and contain no probable reserves. IFRS requires (i) an impairment to be recognized when the recoverable amount of an asset (cash generating unit) is less than the carrying amount; (ii) the impairment loss is determined as the excess of the carrying amount above the recoverable amount (the higher of fair value less costs to sell and value in use, calculated as the present value of future cash flows from the asset); and (iii) the reversal of an impairment loss when the recoverable amount changes. The differences in accounting policy described above had no impact on these financial statements.

b) Oil and gas interest

The Company follows the full cost method of accounting for oil and gas interest, as set out in AcG 16 issued by the CICA. Under this method, all costs related to exploration and development of oil and gas reserves are capitalized and accumulated in country-by-country cost centres. For purposes of reporting in accordance with IFRS, the Company has early adopted IFRS 6, Exploration For and Evaluation of Mineral Resources, which permits an entity to continue applying its existing policy in respect of exploration and evaluation costs. Under IFRS, once commercial reserves are established and technically feasibility for extraction is demonstrated, the related capitalized costs are allocated to cash generating units. This difference in accounting policy had no impact on the Company's financial statements. The Company's Egyptian assets are considered to be in the development stage for the purposes of IFRS 6. The Egyptian assets are however within one cash generating unit and accordingly there is no difference from AcG 16 where assets are amortized on a country basis. The Company's Syrian assets are considered to be in the exploration and evaluation stage as the Company is still determining the technical feasibility and commercial viability of these assets. Accordingly, the Company continues to account for the Syrian assets under its existing accounting policies.

c) Impairment of long lived assets

Under Canadian GAAP, a long-lived asset should be tested for recoverability whenever events or changes in circumstances indicate that its carrying amount may not be recoverable. An impairment loss should be recognized when the carrying amount of a long-lived asset is not recoverable and exceeds its fair value. Under IFRS, the carrying amounts of the Company's assets, other than oil and gas properties, are reviewed at each balance sheet date to determine whether there is any indication of impairment. If any such indication exists, the assets' recoverable amounts are estimated. An impairment loss is recognized when the carrying amount of an asset exceeds its recoverable amount. Impairment losses, if any, are recognized in the income statement. Under Canadian GAAP, the carrying amount of a long-lived asset is not recoverable if the carrying amount exceeds the sum of the undiscounted cash flows expected to result from its use and eventual disposition. This assessment is based on the carrying amount of the asset at the date it is tested for recoverability, whether it is in use or under development. Under IFRS, the recoverable amount of the Company's assets other than oil and gas properties is the greater of their net selling price and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. For an asset that does not generate cash inflows largely independent of those from other assets, the recoverable amount is determined for the cash generating unit to which the asset belongs. In respect of impairment of assets other than oil and gas properties, under Canadian GAAP, an impairment loss is not reversed if the fair value subsequently increases. For IFRS, an impairment loss may be reversed if there has been a change in the estimates used to determine the recoverable value. An impairment loss, on assets other than oil and gas properties, is only reversed to the extent that the asset's carrying amount does not exceed the carrying amount that would have been determined, net of depreciation or amortization, if no impairment loss had been recognized. The differences in accounting policy described above had no impact on these financial statements.

12. Presentation

Certain figures for prior years have been reclassified in the financial statements to conform to the current year's presentation.



SUPPLEMENTARY INFORMATION

1. LIST OF DIRECTORS AND OFFICERS AT SEPTEMBER 30, 2007
a. Directors
Lukas H. Lundin 4
Gary S. Guidry 4
Bryan Benitz 1, 2, 3
John H. Craig 2, 3
Hakan Ehrenblad
Keith Hill 1, 4
William A. Rand 1, 2, 3

1 Audit Committee
2 Corporate Governance Committee
3 Compensation Committee
4 Reserves Committee

b. Officers:
Lukas H. Lundin, Chairman
Gary S. Guidry, President and CEO
Ian Gibbs, CFO
Diane Phillips, Corporate Secretary

2. FINANCIAL INFORMATION
The report for the fourth quarter 2007 will be published on or before
February 29, 2008.

3. OTHER INFORMATION
Address (Corporate Office)
1400, 700 - 4th Avenue S.W.
Calgary, Alberta T2P 3J4
Canada

Telephone: 1.403.663.2999
Fax: 1.403.261.1007

Website: www.tanganyikaoil.com

The corporate number of the Company is 318368-8


Contact Information

  • Tanganyika Oil Company Ltd.
    Gary Guidry
    President and CEO
    (403) 663-2999
    (403) 261-1007 (FAX)
    or
    Tanganyika Oil Company Ltd.
    Sophia Shane
    Corporate Development
    (604) 689-7842
    (604) 689-4250 (FAX)
    Email: sophias@namdo.com
    Website: www.tanganyikaoil.com