Tanganyika Oil Company Ltd.

Tanganyika Oil Company Ltd.

March 31, 2006 16:10 ET

Tanganyika Announces Cdn 58 Million, SEK 387 Million, Private Placement

CALGARY, ALBERTA--(CCNMatthews - March 31, 2006) - Tanganyika Oil Company Ltd. (the "Company") (TSX VENTURE:TYK)(Nya Marknaden:TYKS) is pleased to announce that it has agreed to sell, on a non-brokered, private placement basis, up to an aggregate of 4.3 million common shares of the Company at a price of CDN $13.53 (SEK 90 at exchange rate of 6.65) per share for gross proceeds of up to CDN $58 million (SEK 387 million). Ohman J:or Fondkommission AB along with GMP Securities LP have placed the shares in respect of the private placement. A 4% finders fee may be payable on a portion of the securities placed. Net proceeds of the private placement will be used towards development of the Company's oil and gas assets in Syria as well as for general corporate purposes. The private placement is subject to regulatory approval.

Tanganyika Oil Company Ltd. is a Canadian oil and gas company with production and exploration assets in Egypt and Syria. Its shares are traded on the TSX Venture Exchange and Swedish Depository Receipts trade on the Nya Marknaden of the Stockholm Stock Exchange.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

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