Following the discovery of the Ceiba Field in Block G by Triton Energy in 1999, Sovereign’s CEO was awarded exclusive negotiating rights to the offsetting acreage in Block K. Sovereign’s CEO led the Production Sharing Contract negotiations with the Ministry of Mines and Hydrocarbons on behalf of Vanco Energy, and the PSC was signed in March 2000. Subsequently Vanco obtained a US$ 70 million bonus and work commitment from Nexen and Repsol for a 50% interest. The partners drilled 2 unsuccessful wells and exited in 2005. Sovereign retains an equity interest in the block which has been placed in force majeure until the maritime boundary dispute with Gabon is resolved.