Eduardo Mondlane nº5, Distrito Urbano da Ingombota, Luanda – Angola (+224) 226 430 772 somoil@somoil.co.ao www.somoil.co.ao

Prepared by: Ana Fernandes (GAPO) Edited by: Manager Nair Abreu (GAPO) Approved by: MB. Ana Nunes and CEO Júlio Sampaio

«OUR VISION» Make SOMOIL S.A. the Private Company of reference in the national oil sector, focused on the Exploration, Development, Producti-on and Marketing of Oil & Gas and Distri-bution of Derivatives

«OUR VALUES» Loyalty

Integrity Professionalism

Performance Dedication

Respect NEWSLETTER SOMOIL

‘‘Produce with Efficiency and Safety to Grow in a Sustainable Way’’

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19th Edition – Dec/17

PRODUCTION

The Opening Price for the Barrel of Crude Oil for the month of December was USD 62,72

Exports totaled 174.800 Barrels of Crude

INFORMATION

Solar Energy Project - Quibala Farm

HIGHLIGHT

Sebastião Gaspar Martins, leaves good memories!!

Ethics Code – Rules of Conduct - Illegitimate Offers (page 15)

''Employees must maintain high standards of integrity at all times, so if they have doubts about an offer they should ask their superior.''

DEPARTMENT OF THE MONTH

DFCT - Finance and Accounting Department

MESSAGE OF THE MONTH

UPSTREAM

Sand Control

‘‘HONOR COMMITMENTS AND DEADLINES’’

The Finance and Accounting Department (DFCT) is the area responsible for ensuring the financial management of SOMOIL SA, always watching over of the financial rules and procedures.

DFCT reports directly to the Member of the Board Júlio Sampaio. Has as Manager Isabel Lopes, who is assisted by 3 Heads of Department, 16 Technicians, 2 Administrative Assistants, 1 Secretary and 2 Consultants. Functionally, DFCT is also assisted by a Sub-Director and 3 Technicians assigned to the FS and FST Associations, and a Sub-Director assigned to Block 2/05.

The Department has the following responsibilities:

• Plan and rationalize use of the funds to optimize the efficiency and value of the Company;

• Guarantee the execution of the accounting operations and ensure the periodic closing of the accounts as well as the issuance of the Annual Accounts Report;

• Manage the analytical accounting of SOMOIL SA, and ensure the preparation of the Administration and Services budget, as well as the control and execution of the Company's overall budget;

• Ensure the assets management assigned to the Company's business and manage the Company's insurance portfolio;

• Manage the financial interests of SOMOIL SA, in order to optimize the economic and financial results of its activities;

• Ensure compliance with SOMOIL SA's tax obligations.

A The implementation of the Solar Energy Project on a Farm located in Quibala, Province of

Cuanza-Sul was another project successfully completed by SOMOIL!!!

The Farm has an electrical need of 14,795 Watts per day, subdivided into four houses with the

system ready for illumination (interior and exterior), appliances and other equipment.

The support for the installation and fixation of the Solar Panels was made with angle brackets.

The following equipment was used: 33 Panels, 24 Solar Batteries, 2 3000W Inverters /

Chargers, Charge Controllers, AC Circuit Breakers, DC Circuit Breakers, Electrical Cables,

10amp circuit breakers, 80amp circuit breakers and trough.

With more than 40 years of experience in the Oil & Gas Industry, graduated in Mining Engineering (Petroleum Engineering option) at Agostinho Neto University, the Engineer Sebastião Gaspar Martins, began his career in 1976 as a technician, and worked hard to gradually develop to the Top Manager that he is today .

On May 2015, he embraced the challenge to integrate the Private Petroleum Company Members of the Board, a benchmark 100% Angolan, SOMOIL, S.A., at a particularly critical stage for the oil industry.

With him, we’ve experienced new challenges, new methodologies, greater rigor, seriousness, speed, an impeccable

professionalism.

On November 14th 2017, we were surprised by the Social Communication with his appointment to exercise the position of Executive Director of the National Concessionary by Decree of His Excellency the President of the Republic of Angola.

The former SOMOIL SA Chairman of the Board, and current Executive Director of Sonangol, EP left good memories to our Workers and Employees.

We hope in this new phase of he’s life, health, optimism, joy and many personal and professional achievements and that he continues to be a reference for those who now have the privilege to be daily with a Professional of Excellence, remembering that despite the new functions we will never stop considering him a Family Member.

Sand Control is a system used in the wells to prevent sand from entering the well.

There are two situations that can cause sand production: failure rock mechanics

near the well and the drag force of the fluids produced or injected. To avoid sand

production, there are two main methods:

1. Passive Sand Control - this method uses non-intrusive measures to control, mitigate or avoid

the production of sand from the reservoir. The techniques used are:

• Oriented drilling;

• Selective drilling;

• Sand management.

2. Active Sand Control - this method is based on the use of filters to control the production of

sand and is known as intrusive measurement. The techniques used are:

• ‘‘Stand alone screens’’ (slotted liner, wire-wrapped screen, prepacked screen and premium

screen);

• Expandable sand filter;

• “Gravel pack & Frack Pack”;

• Chemical consolidation.

Among the consequences of sand production are

decreased production due to obstruction of the holes

or the filling of the screens, as well as corrosion and

consequent damages in the surface installations like Separators, piping and others.

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MARKETING

Nov.17 - External Sales - Crude Oil (Bbl)

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Wire-Wrapped Screen

Do not ask what your country can do for you.

Ask what you can do for your country.

John F. Kennedy

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Nov.17 - Production – FS & FST (BOPD) Nov.17 - Production – Block 2/05 (BOPD) Nov.17 - Non-Operated Blocks Share (BOPD)

Nov.17 - Internal Sales - Gas Stations (Lt)

Merry Christmas and Prosperous New Year!!

2017 gives its last bow... SOMOIL SA wishes all Workers and Employees, Investors, Partners, Suppliers and the Angolan Community in general, that the New Year begins with a positive retrospective of 2017. That 2018 means Health, Prosperity, Solidarity, Love and Affection for each one of us and for another’s…

Safe Exits! Happy Entrances!

Happy Holidays!