Eaglewood Gains Ground at Ubuntu Well

Eaglewood, as operator of the Ubuntu Area, announced that the Ubuntu-1 well was drilling ahead in 6" hole at 3,453 meters, after having successfully drilled and cased 8 ½" hole to 3,235 meters.

Data acquisition during drilling is limited to LWD Gamma Ray log data and mud logging data.

Preliminary evaluation of the LWD gamma ray data indicates that the first two of the three primary targets, namely the Elevala sandstone and the Toro sandstone, are present in the Ubuntu-1 well as per prognosis. Gas shows have been observed, however a quantitative assessment can only be made after wireline logging, pressure measurement and sampling programs have been completed and the data interpreted.

Over the course of the next few days, the anticipated operations will be to drill the 6" hole through the remaining undrilled primary and secondary reservoir targets to the top of the Basement at the well's total depth of approximately 3,600 meters. Wireline logs, pressure measurements, and downhole samples will be acquired once total depth has been reached. Once the appropriate data has been acquired and analyzed, the results are expected to be announced on Monday prior to the market open.

The Ubuntu-1 well is located on Petroleum Prospecting License 259 (the "259 License"), approximately 17 kilometres east of the Ketu and Elevala gas condensate discoveries in Papua New Guinea. Eaglewood is the operator of the 259 License, holding a 40 percent participating interest in the Ubuntu Area and a 90 percent interest in the rest of the 259 License.