Victoria Oil Preparing to Test Growler-2

Victoria Petroleum is preparing to carry out production tests on the Growler-2 well's 15 meter gross oil column over the interval 1,722 – 1,737 meters. Production testing of Growler-2 will take place with the drilling rig.

Growler-2 is being drilled as an appraisal well on the Growler Oil field to appraise the extent of the 16-meter oil column discovered in the Jurassic Birkhead Formation in Growler-1 from 1,721 – 1,738 meters. Growler-2 is 705 meters north of Growler-1 and interpreted to be an up dip test of the Growler Oil Field as currently mapped.

At the P50 level, and following the incorporation of the velocity information from the recent successful Wirraway-1 drilling to generate the post drill near top Hutton depth map, the Growler structure is mapped at the P50 level as a four way dip closed feature covering approximately 900 acres located on the western margin of the Cooper Basin. The P50 oil-in-place resource for the Growler structure alone is estimated to be 5.7 million barrels and most likely recoverable oil is estimated to be 1.4 million barrels, if oil is present.

At the mean case level, Wirraway-1 and Growler-1 may be testing the same structure covering an area of 23.7 square kilometers with the potential to contain a resource of up 4.4 million barrels of recoverable oil and in the P10 case a resource of up to 7 million barrels of recoverable oil, if oil is present.

The results of Growler-2, together with the Growler-1 oil discovery and the recent adjacent Wirraway-1 oil discovery will be used to determine the forward development strategy for the Growler- Wirraway oil field.

Commenting on the operations at Growler-2, Victoria Petroleum NL’s (Vicpet) Managing Director John Kopcheff said:

“Victoria Petroleum is pleased to be going straight to a cased hole production test of the gross 15 meter oil column interpreted as present in the primary Birkhead Sandstone target for Growler-2, the first appraisal well on the Growler- Wirraway Oil Field.”

“With the production test results to date for Growler-1, we are encouraged that good oil producing rates are achievable from the Birkhead reservoir sands in Growler-2.”

“The current production characteristics of the Birkhead oil sand if further confirmed by Growler-2, could lead to a large development drilling program of the same style as the successful Santos “Cooper Oil Project”, although it is early days yet for this area.”

“Exploration success at Growler and Wirraway maintains our 100% exploration success rate in PEL 104 and further confirms our belief that a new Jurassic “Oil Fairway” and oil production province with the potential for an in place oil resource of up to 100+ million barrels of oil is present in the western part of PEL 104 and our adjoining PEL 111 permit, if oil is present”

“Thirty two prospect and leads have been mapped as follow up targets in PEL 104 and in the immediately adjacent permit to the north, PEL 111 lie in the Jurassic “Oil Fairway”.

“Given the current exploration success rate, Vicpet would expect to enjoy further exploration success in the ongoing 2007 Cooper Basin drilling program as encountered at Wirraway-1.”

The participants in Growler-2 and PEL 104 and their respective interests through their wholly owned subsidiaries are as follows;

Victoria Petroleum N.L. (Operator) 40%
Impress Energy Limited 40%
Roma Petroleum N.L. 20%

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