The Board of Directors of SapuraKencana Petroleum Berhad (the "Company" or "SKPB") wishes to announce that the Company had on 2 August 2012 acquired the entire issued and paid-up share capital of a private limited company incorporated in Malaysia known as Powertag Resources Sdn Bhd (hereinafter referred to as "Powertag Resources") at a total cash consideration of RM2.00.

Powertag Resources was incorporated on 18 February 2012. It has not commenced operations since incorporation. The authorised share capital of Powertag Resources is RM100,000 comprising 100,000 ordinary shares of RM1.00 each while its issued and paid-up share capital is RM2.00 consists 2 ordinary shares of RM1.00 each.

Powertag Resources is expected to be utilised in furtherance to the future strategic plans of the Company.

The above acquisition of a new subsidiary company is not expected to have any material effect on SKPB group's earnings and net assets for the financial year ending 31 January 2013.

None of the Directors and/or major shareholders of the Company or persons connected with them have any interest, direct or indirect, in the above acquisition.

This announcement is dated 2 August 2012.