Chariot Sells Stake in Namibia Block to BP

- Chariot Sells Stake in Namibia Block to BP

Monday, August 08, 2011
Chariot O&G Ltd.

Chariot announced that its wholly-owned subsidiary, Enigma Oil & Gas Exploration (Pty) Limited, has entered into a farm-out agreement with BP, whereby BP will acquire a 50% share of Chariot's equity interest in Southern Block 2714A (License 20). As announced on June 28, 2011, Petrobras has elected to take up operatorship and retains a 50% stake in the block.

Under the terms of the agreement, BP has committed to cover Chariot's cost of drilling the first exploration well, as well as past costs incurred.

Block 2714A is located in the Orange Basin offshore Namibia and covers an area of 5,481km². The Nimrod prospect is situated within this license and is the largest of Chariot's prospects. With this farm-out, Chariot will continue to pursue its drilling campaign within this license area whilst sharing in the costs, risks and rewards of exploration. Funds received and retained through this deal will be used in further exploration and appraisal work.

This agreement remains subject to the full approval of the Ministry of Mines and Energy in Namibia. It includes standard representations and warranties given by both parties and other conditions precedent.

Paul Welch, Chief Executive of Chariot, said, "We are delighted to enter into this farm-out agreement with BP whose global expertise of deep water exploration and related petroleum systems is exceptional and whose contribution to our campaign going forward will be invaluable. It is a pleasure to welcome another major oil company as a partner.

"It has been a key strategic objective for us to farm down our assets in order to facilitate exploration drilling, retain capital and mitigate risk; we are very pleased to have made progress towards this. We look forward to proving up the potential of our assets alongside our partners, as we seek to deliver long-term value to our shareholder."

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Max Petroleum Discovers Oil in East Kyzylzhar

- Max Petroleum Discovers Oil in East Kyzylzhar

Monday, August 08, 2011
Max Petroleum plc

Max Petroleum announced that the KZIE-1 exploration well in the East Kyzylzhar I prospect has reached a total depth of 1,620 meters, with electric logs indicating 17 meters of net oil pay in two Jurassic sandstone reservoirs at depths ranging between 987 and 1,251 meters. Reservoir quality appears excellent with porosities ranging from 20% to 30%. The Company is running production casing in the well, which is expected to be completed and placed on test production in approximately 60-90 days.

Robert B. Holland, Executive Co-Chairman, commented, "We have now made five field discoveries since we renewed our post-salt exploration program in January 2010, with another three post-salt prospects to test this quarter alone. We are well positioned to execute on our exploration program regardless of macro market conditions and look forward to continue generating significant value for our shareholders in the very near-term."

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Range Successfully Drills First Development Well in Trinidad

- Range Successfully Drills First Development Well in Trinidad

Monday, August 08, 2011
Range Resources Ltd.

Range announced that in the two months since completing its Trinidad acquisition, the Company has successfully drilled its first development well on the Morne Diablo Block.

As part of the initial 21 well drilling program, the MD 247 well was drilled to a total depth of approximately 900 ft using the Company's own drilling rig and personnel. Despite the shallow depth, open hole logs indicate the presence of roughly 145 ft. of net oil pay in the shallow Forest Formation, an established producing horizon on the block. Casing is currently being run in the well in preparation for production testing next week.

Added Peter Landau, Range's Executive Director, "The successful drilling of the MD 247 well indicates that Range's aggressive program to increase production and cash flow in Trinidad is on track and the first pay zone size has exceeded expectations. As previously announced, we will be adding a second and third rig to the remaining 20 well 2011 drilling program in order to begin exploitation of deeper producing reservoirs. The MD 247 well is only the beginning for us in Trinidad, but represents an important milestone for Range as our first internationally operated well, drilled and completed by the Company's own operations team using our own equipment."

The Company looks forward to keeping our shareholders updated as our drilling program continues in Trinidad, Georgia, Texas, and Puntland, in what will be an exciting period for Range with wells being drilled on all four the Company's assets in the coming months.

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Heritage Commences Drilling in Kurdistan

- Heritage Commences Drilling in Kurdistan

Monday, August 08, 2011
Heritage Oil plc

Heritage Oil has commenced drilling the Miran West-3 well in the Kurdistan Region of Iraq ("Kurdistan").

Highlights

• The Miran West-3 well has commenced drilling with the primary objective of appraising the Miran West structure
• The well is targeting both the Jurassic and Cretaceous reservoir formations encountered in the Miran West-1 and Miran West-2 discovery wells
• The deviated well path, determined from the recent 3D seismic survey, targets the flanks of the structure to optimally intercept networks of open fractures
• It is intended that multiple reservoir intervals will be tested and evaluated as the well is drilled to a target depth of c.4,400 meters
• The well is expected to take approximately seven months to drill and test
• The commencement of drilling of the Miran West-3 well represents the beginning of a multi-well appraisal and exploration program, using the first of two rigs scheduled for back to back drilling on the Miran Field

Miran West-3 Well

Drilling of the Miran West-3 appraisal well has commenced. The well is targeting reservoir sections encountered in discovery wells with the primary objective of appraising the Jurassic and Cretaceous reservoir formations in the Miran West structure. Management estimates gross in-place volumes for the Miran West structure to have a P90-P50 range of 6.8-9.1 TCF of gas, with an upside P10 gas potential of 12.3 TCF. This is in addition to the estimated P50-P90 range of 42-71 MMbbls of condensate and 53-75 MMbbls of oil.

The Miran West-3 location and well trajectory provides a c.4.3 kilometer appraisal step out from the Miran West-2 Jurassic reservoir penetration. The planned well path targets the flanks of the structure. The well bore will be orientated and inclined to optimally intercept open fracture networks associated with multiple faults identified on recently acquired 3D seismic data. This well will also appraise the Cretaceous oil and gas reservoirs discovered in the Miran West-1 and Miran West-2 wells, further enhancing knowledge of the Miran structures.

Drilling of the Miran West-3 well is expected to take approximately seven months with key reservoir intervals being tested as the well is drilled.

After drilling and testing, it is intended that this rig will move to drill the Miran West-4 appraisal well. A second rig is being sourced to drill the planned Miran East-1 exploration well, with drilling expected to commence before year end, at which time there will be two rigs operating in the Miran Field.

3D Seismic Program

The Miran 3D seismic program is now approximately 90% complete. The significant improvement in seismic data quality over the Miran Field is encouraging and assists greatly with the selection of well locations. Initial interpretation of the first tranche of data acquired has highlighted increased resource potential, in particular for the Miran East structure. This potential will be targeted by the Miran East-1 exploration well to be drilled before year end.

Tony Buckingham, Chief Executive Officer, commented, "The spudding of Miran West-3 begins our active multi-well exploration and appraisal drilling program in Kurdistan. This first well is principally appraising the Cretaceous and Jurassic discoveries made in the Miran West-1 and Miran West-2 wells. We plan to provide regular announcements during the drilling of this well as the key reservoir intervals will be tested as the well is drilled."

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