DECLARATION

6 January 2006
BARAKA WITHDRAWS FROM CAP JUBY

The SADR government welcomes the announcement by Baraka Petroleum in its Second Quarterly report made to the Australian Stock Exchange (ASX) on 31 January 2006, in which it confirmed that it has ended its involvement in the Cap Juby prospect and that "it does not intend to pursue this project".

The SADR government had objected to Baraka's illegal involvement in the offshore area of Western Sahara and had called on Baraka Petroleum to withdraw from the area situated in Western Sahara.

The SADR government would like to take this opportunity to renew its call on Kerr McGee and its partners to immediately withdraw from the offshore area of Western Sahara.

The presence of Kerr McGee and its partners continue to be an affront to the Saharawi people. The companies' illegal presence is a destabilising factor in a volatile region particularly during this time of increased tension and civilian protest in the occupied territories of Western Sahara. Such a presence further complicates the decolonisation process in Western Sahara and provides moral and economic support to the intransigent Moroccan regime.

The SADR government urges all the shareholders, investors, advisors and contractors to seriously consider the use of their influence to convince Kerr McGee and its partners to respect the principles of international law and the efforts of the UN, and to end their involvement in Western Sahara without delay.

The SADR government calls on its friends and all governments that recognise the legitimate rights of the Saharawi people, to assist in protecting the natural resources and sovereignty of our country.

For further comments or information:

Kamal Fadel
+61 2 92 65 82 58
info@sadroilandgas.com

www.sadroilandgas.com