Morumbi Resumes Ops Post Weather Delay

Morumbi will soon begin completion operations at its newly drilled 12-33 vertical well in northwest Alberta.

Morumbi's 12-33 vertical well was drilled in early March 2010 and encountered the targeted Cadotte reservoir approximately 2 meters structurally higher than the highest offset wells drilled to date in the McKinley Cadotte light oil pool. The well logs indicate that we are on the up dip northeastern edge of the McKinley Cadotte D Pool and are only 8 meters east of what geological mapping suggests should be 25 to 30 feet of oil bearing clean reservoir sands.

Morumbi intends to complete the New 12-33 vertical well in July at which time surface conditions will be sufficiently dried out to permit access to the well site which has to date been inaccessible due to unseasonably wet conditions. Morumbi's plans include upgrading the access roads for all season access to enable the Company to bring in the necessary completion equipment. Morumbi intends to undertake a relatively small fracture stimulation of the well to access the clean sands penetrated by the original 12-33 horizontal well 8 meters to the west of our new 12-33 vertical well.



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