Hardman Reports Mputa-1 Flow Test Results

Hardman Resources Limited said that oil was successfully flowed to surface on Sunday from the sands tested from DST #2 in the Mputa-1 exploration well, yielding an average flow rate of 300 barrels of oil per day of 32 API oil through a 32/64" choke, with no water production and low gas to oil ratio.

The sand tested by DST#2 is a relatively thin interval (2 3 meters), which gave an indication of hydrocarbons whilst drilling but did not yield definitive wireline pressure testing results during the original drilling operation. The gravity of the recovered oil is very similar to that seen in the lower zones at the Waraga-1 well 19 kilometers away which is likely to be of similar origin.

Final flow and build-up tests are currently being concluded after which the main oil-saturated sand in the discovery well (965 to 975m interval) will be tested by DST#3. Testing of this final interval is anticipated to commence later this week.

The Mputa-1 well is located 220 kilometers northwest of the Ugandan capital Kampala and onshore 8 kilometers from Lake Albert. The Waraga-1 well is located 19 kilometers to the northeast.

Equities in Block 2 are:

--Hardman Petroleum Africa Pty Ltd (Operator) 50.0%
--Tullow Oil 50.0%

Times and dates for Ugandan wells refer to Uganda time (GMT+3 hours), five hours behind Western Standard Time (Perth).

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