b'The oil and gas industry, including the acquisition of exploratory licenses, is intensely competitive and manyof our competitors possess and employ substantially greater resources than us.The international oil and gas industry is highly competitive in all aspects, including the explorationfor, and the development of, new license areas. We operate in a highly competitive environment foracquiring exploratory licenses and hiring and retaining trained personnel. Many of our competitorspossess and employ financial, technical and personnel resources substantially greater than us, which canbe particularly important in the areas in which we operate. These companies may be better able towithstand the financial pressures of unsuccessful drilling efforts, sustained periods of volatility infinancial markets and generally adverse global and industry-wide economic conditions, and may bebetter able to absorb the burdens resulting from changes in relevant laws and regulations, which couldadversely affect our competitive position. Our ability to acquire additional prospects and to find anddevelop reserves in the future will depend on our ability to evaluate and select suitable licenses and toconsummate transactions in a highly competitive environment. Also, there is substantial competition foravailable capital for investment in the oil and gas industry. As a result of these and other factors, wemay not be able to compete successfully in an intensely competitive industry, which could cause amaterial adverse effect on our results of operations and financial condition.Participants in the oil and gas industry are subject to numerous laws, regulations, and other legislativeinstruments that can affect the cost, manner or feasibility of doing business.Exploration and production activities in the oil and gas industry are subject to local laws andregulations. We may be required to make large expenditures to comply with governmental laws andregulations, particularly in respect of the following matters:\x7f licenses for drilling operations;\x7f tax increases, including retroactive claims;\x7f unitization of oil accumulations;\x7f local content requirements (including the mandatory use of local partners and vendors); and\x7f safety, health and environmental requirements, liabilities and obligations, including those relatedto remediation, investigation or permitting.Under these and other laws and regulations, we could be liable for personal injuries, propertydamage and other types of damages. Failure to comply with these laws and regulations also may resultin the suspension or termination of our operations and subject us to administrative, civil and criminalpenalties. Moreover, these laws and regulations could change, or their interpretations could change, inways that could substantially increase our costs. These risks may be higher in the developing countriesin which we conduct a majority of our operations, where there could be a lack of clarity or lack ofconsistency in the application of these laws and regulations. Any resulting liabilities, penalties,suspensions or terminations could have a material adverse effect on our financial condition and resultsof operations.For example, Ghanas Parliament has enacted the Petroleum Revenue Management Act, thePetroleum Commission Act of 2011, and the 2016 Ghanaian Petroleum Law. There can be noassurance that these laws will not seek to retroactively, either on their face or as interpreted, modifythe terms of the agreements governing our license interests in Ghana, including the WCTP andDT petroleum contracts and the Jubilee UUOA, require governmental approval for transactions thateffect a direct or indirect change of control of our license interests or otherwise affect our current andfuture operations in Ghana. Any such changes may have a material adverse effect on our business. Wealso cannot assure you that government approval will not be needed for direct or indirect transfers ofour petroleum agreements or interests thereunder based on existing legislation.57'