Malka Oil

Malka Oil (STO:MALK) * JULY 2008 PRODUCTION: 2,325 BARRELS PER DAY * PRODUCTION TARGETS AND DEVELOPMENT PLANS TO BE REVISED

Malka Oil Malka Oil's total production of oil and condensate for the month of June amounted to 63,085 barrels, compared with May when the production was 64,507 barrels. On average the production was 2,103 barrels per day, compared with 2,081 barrels per day during May.

Malka Oil Malka Oil has appointed HQ Bank as the company's Certified Adviser. HQ Bank will take over the role as Certified Adviser from July 3rd, 2008.

Malka Oil Malka Oil has raised SEK 250 million in a new share issue directed towards Swedish and International investors. Among the new shareholders are the Swedish 2nd AP Fund, Norwegian State Pension Fund and The Norwegian Petroleum Fund. In total 50 million shares were issued at a price per share of SEK 5, representing a discount of 6.5 % compared to the volume weighted average price the last five trading days. The share issue will finance the ongoing drilling programme for 2008 and the completion of the company's own Transneft connection. The western reserve study is delayed and the result is expected in the latter part of July.

Malka Oil Malka Oil AB (the `Company`) has retained SEB Enskilda AS (the `Manager`) to advice on and effect a contemplated share issue directed towards professional domestic and international investors.

Malka Oil The annual general meeting of shareholders in Malka Oil AB (publ) was held today in Stockholm. The profit and loss account and balance sheet for 2008 were adopted and it was decided not to distribute any dividends.

Malka Oil * MAY 2008 PRODUCTION: 2,081 BARRELS PER DAY

Malka Oil * Income from oil sales amounted to TSEK 24,155 (0) * The net result after tax for the period was TSEK -812 (-3,951) * EPS was SEK 0.00 (-0.02) for the report period * Borehole 210 strikes oil - confirms that ZL and LL oil fields are connected * Production targets for May and June delayed two months. Production target for year-end remains * Malka Oil becomes 100% owner of its subsidiary STS-Service * Western reserve study, "CPR", will be completed in June