TransGlobe Energy Corporation closed of the acquisition of two privately held companies, holding interests in eight development leases and associated infrastructure in the West Gharib Concession area in the Arab Republic of Egypt.

The transaction highlights include:

US$59 million all-cash deal with operatorship of seven fields with 24 producing wells; funded through an expanded credit facility and cash on hand Working interest production and reserves at July 1, 2007: 1,500 Bopd; 3.24 million barrels ("MMBbls") proved reserves; 6.30 MMBbls proved plus probable reserves TransGlobe's pro-forma proved reserves increase 35%, proved plus probable reserves increase 54% TransGlobe paid approximately US$39,333 per producing barrel of oil for the assets, or $9.37 per proved and probable barrel of oil Increases TransGlobe's daily production 27% effective with the fourth quarter 2007. The Company estimates pro-forma fourth quarter 2007 production is expected to average 7,000 barrels of oil equivalent per day (Boepd)* The adjustment date of the acquisition is July 1st, 2007 with all changes in working capital to September 25, 2007 (the closing date) recorded as a purchase price adjustment. Oil production after September 25, 2007 will be recorded in TransGlobe's earnings. 44,000 gross acres in eight development leases Adds more than 30 drill-ready development locations that TransGlobe plans to drill during the next 24 months Exploitation and development projects yielding additional upside Operations can be integrated with TransGlobe's existing Cairo regional office Two drilling rigs and one service rig are under contract West Gharib, Egypt (45% to 70% operated working interest)

TransGlobe Petroleum International Inc., a wholly owned subsidiary of TransGlobe Energy Corporation, has acquired all the shares of Dublin International Petroleum (Egypt) Limited and Drucker Petroleum Inc. from Tanganyika Oil (Bermuda) I Ltd. for US$59 million, plus working capital adjustments, as at July 1, 2007. Dublin and Drucker together hold a 70% working interest in one development lease and a 45% working interest in seven additional development leases comprising the West Gharib Production Sharing Concession ("PSC"). TransGlobe has assumed operatorship of the West Gharib Concession Agreement.