The Block lies on trend with existing discoveries and is located in the prolific Zagros Fold Belt of Northern Iraq which contains several large fields including the super-giant Kirkuk field. It offers a field development opportunity and multiple exploration prospects.

In June 2009, Longford had acquired a 50% interest in a subsidiary (Forbes & Manhattan (Kurdistan) Inc. (“Subsidiary”), jointly owned with the KRG. The Subsidiary held a 40% direct net working interest in the Block Production Sharing Contract (“PSC”). In addition, Longford had an option to acquire the remaining 50% interest in the subsidiary from the KRG on terms to be negotiated.

During the third quarter of 2010, the Company reached an agreement with the KRG to acquire the remaining interest in the Subsidiary resulting in Longford holding an aggregate 40% direct net working interest in the Block.