Bengal to Drill Follow-Up Wells in Barta Drilling Program

Bengal announced that rig mobilization operations have commenced for the drilling of the next well (the "Barta North Well") in the Barta drilling program, as a follow-up well to the successful Cuisinier-1 oil discovery in the Cooper Basin. A four-month extended production test on the 13 meter thick Murta zone in the nearby Cuisinier-1 well indicates production capability that exceeds original estimates, with the Murta zone being capable of sustained gross production greater than 400 barrels per day of high quality 52 degree API oil.

The Barta North Well is to be located approximately four kilometers south west of the Cuisinier-1 well and is targeting oil accumulations in both the Cretaceous Murta and Jurassic Hutton formations. The well is expected to spud in early November, will be drilled to a total depth of approximately 2,030 meters and is expected to take approximately 13 days to drill and case.

Bengal, through its wholly-owned subsidiary, Avery Resources (Australia) Pty Ltd., will contribute 55% of the drilling costs of the Barta North Well to complete its earning requirement in the 360,000 acre Barta Block of ATP 752P, earning a 25% interest (current 14.26%) in the block, including the producing Cuisinier-1 well.

The Barta North Well will be followed by a Cuisinier appraisal well (the "Cuisinier-2 Well") which will be drilled approximately 450 meters north east of Cuisinier-1. The Cuisinier-2 Well is forecast to spud in late November, will be drilled to a total depth of approximately 2,010 meters and is expected to take approximately nine days to drill and case. Bengal is fully carried on the Cuisinier-2 Well where the operator will pay 100% of the drilling costs as a continuation of its earning in ATP 752P. With success of the Barta North Well and the Cuisinier-2 Well, further development drilling is planned to fully develop the Cuisinier-1 oil accumulation.

"The production performance of the Cuisinier-1 well continues to exceed expectations, confirming the Cuisinier discovery as a significant find in the Cooper Basin," said Jim Mott, Bengal's Vice President, Exploration. "The large exploration acreage earned from the ATP 752P farm-in is expected to offer additional growth potential for Bengal as follow-up exploration prospects targeting the Murta zone can be fully mapped out and drilled."

The Barta Block has the potential to host oil in additional reservoirs. The adjacent Cook oilfield produces oil from the prolific Hutton reservoir. Cuisinier-1 also had oil shows in the Birkhead and Triassic targets. Results in the Cuisinier-Cook area show that material oil accumulations can be found in different reservoirs in this region.


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