STRATEGY

CanArgo's objective is to create shareholder value through a focused Exploration and Production strategy within its core area of the Caucasus and adjacent areas of the former Soviet Union.

The company aims to achieve this by:

• Focusing on areas with proven hydrocarbon potential and nearby infrastructure so as to minimize both technical and commercial risk
• Building a portfolio of assets with a balance of projects that provide for early cash flow and exploration prospects that target large structures with huge potential upside
• Acquiring material positions to allow for significant growth through exploration
• Adopting a locally focused operational approach in order to capitalize on local expertise and services while minimizing costs
• Maintaining good relationships with both host governments and industry partners