Cobalt International Energy, Inc. Announces Conditional Award of Working Interest Position and Operatorship of Block 20 Offshore Angola

HOUSTON, Jan 24, 2011 (BUSINESS WIRE) --

Cobalt International Energy, Inc. ("Cobalt") (NYSE: CIE) announced today that it has been conditionally awarded a 40% working interest and has been indicated as operator of Block 20 offshore Angola. Eight other companies submitted bids to obtain a working interest in the block as part of Angola's Pre-salt Licensing Bid Round.

Following this morning's ceremony in Luanda, Angola, the respective successful companies will begin to work with Sonangol, E.P., Angola's national oil company, to negotiate definitive agreements that will govern the exploration, development and production operations on the awarded blocks. Cobalt's Block 20 award will not be final until the definitive agreements have been executed. Cobalt understands that such agreements are targeted to be finalized by the end of the second quarter of 2011.

"Cobalt is extremely pleased to have reached this milestone in our efforts to capture a working interest and indicated operatorship of Block 20" said Joseph H. Bryant, Cobalt's Chairman and Chief Executive Officer. "Given our interests in Blocks 9 and 21, access to Block 20 would create an expanded operated position for Cobalt in the heart of Angola's highly prospective Pre-salt play and, if awarded, will offer a tremendous value creation opportunity for our shareholders."

Block 20 is approximately 1.2 million acres (4,900 square kilometers) in size (or the equivalent of approximately 200 U.S. Gulf of Mexico blocks) and is centered approximately 75 miles west of Luanda in the deepwater Kwanza Basin. It is located immediately north of Block 21.

About Cobalt

Cobalt is an independent oil and gas exploration and production company focusing on the deepwater U.S. Gulf of Mexico and offshore Angola and Gabon. Cobalt was formed in 2005 and is headquartered in Houston, Texas.

Forward Looking Statements

This press release includes "forward-looking statements" within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995 -- that is, statements related to future, not past, events. Forward-looking statements are based on current expectations and include any statement that does not directly relate to a current or historical fact. In this context, forward-looking statements often address Cobalt's expected future business and financial performance, and often contain words such as "anticipate," "believe," "intend," "expect," "plan," "will" or other similar words. These forward-looking statements involve certain risks and uncertainties that ultimately may not prove to be accurate. Actual results and future events could differ materially from those anticipated in such statements. For further discussion of risks and uncertainties, individuals should refer to Cobalt's SEC filings. Cobalt undertakes no obligation and does not intend to update these forward-looking statements to reflect events or circumstances occurring after this press release. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. All forward-looking statements are qualified in their entirety by this cautionary statement.

SOURCE: Cobalt International Energy, Inc.

Cobalt International Energy, Inc.
Investor Relations:
John P. Wilkirson, +1 713-452-2322
Chief Financial Officer
Media Relations:
Lynne L. Hackedorn, +1 713-579-9115
Vice President, Government, Public Affairs, Land
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