On October 2, 2014 (the “Execution Date”), the Company’s 60% owned subsidiary, Omagine LLC (“LLC”) signed a Development Agreement (“DA”) with the Ministry of Tourism of Oman for the development in Oman by LLC of the Omagine Project.

The date the DA is ratified by the Ministry of Finance of Oman (the “Effective Date”) will mark the beginning of the time period within which LLC is required pursuant to the DA to develop and build a portion of the Omagine Project (the “Minimum Build Obligation”).

The DA specifies that the Effective Date shall occur within 90 days of the Execution Date (i.e. by December 31, 2014) but it may occur at any time between the date hereof and December 31, 2014. In anticipation of the upcoming Effective Date, management has undertaken a flurry of activities associated with the financing, master planning, engineering, design and construction efforts for the Omagine Project as well as the land valuation of the Omagine site and multiple initial activities connected with the organizational ramp-up of Omagine LLC’s activities in Oman. The Company plans to continue to regularly advise its shareholders as various material milestones in the Omagine Project’s development are realized.