Abacan signs agreement for production system.

CALGARY, ALBERTA--(BUSINESS WIRE)--June 12, 1995--Abacan Resources Corporation is delighted to announce the signing of an agreement for the provision of offshore production, oil storage facilities and services for the NGO oil field it is developing in the Niger Delta of West Africa.

The agreement, signed in Paris on June 9, formalizes the terms of the Strategic Alliance established among Abacan, its Nigerian partners, Amni International, and a consortium of Schlumberger Oilfield Services, Sedco-Forex and Coflexip Stena Offshore for the design, fabrication, installation and operation of field production facilities. Key elements of the facilities include a mobile production platform, a floating storage tanker and loading facility, a pipeline to connect the production platform, with the moored tanker, and shore-based support facilities. Abacan will initially lease the facilities and services from the consortium.

With an initial process design of 50,000 barrels/day, the production facilities will bring onstream sweet, light, high- quality crude oil from the NGO field which Abacan discovered off the coast of Nigeria. To date, Abacan has drilled four successful wells and at present is drilling the fifth well in its ongoing drilling program.

The Alliance approach for the provision of equipment and services on a lease basis is an innovative way for Abacan to produce its reserves. "It is also enabling Abacan to fast-track production from its NGO field", said Wade Cherwayko, President and CEO of Abacan.

"A major benefit also lies in the world-class expertise and experience of the partners in this Strategic Alliance", added Mr. Cherwayko. "With the Schlumberger, Sedco-Forex, Coflexip Stena alliance, we are dealing with some of the world's leading oilfield service companies". Once the production system is commissioned, Abacan will have immediate markets for its oil The Strategic Alliance agreement anticipates production will commence within the first quarter of 1996.

An independent exploration company headquartered in Calgary, Abacan has been acquiring and exploring oil and gas prospects in the Niger Delta since 1992 and has acquired four concessions totalling approximately 1.75 million acres. Drilling to date has concentrated on two of the concessions which are located in relatively shallow offshore waters.

Abacan Resource Corporation is a public company with shares listed on the Alberta Stock Exchange (ASE symbol "ABC") -0-

NOTE TO EDITORS: The Alberta Stock Exchange has neither approved nor disapproved the information contained herein.

CONTACT: Abacan Resources

Wade G. Cherwayko, [phone]

Ms. Lon Boshouwers, [phone]