Kulczyk Oil to Drill in Syria Early 3Q11

Kulczyk Oil Ventures announced that Kulczyk Oil and its joint venture partners have executed a drilling rig contract with Sinopec International Petroleum Company for a drilling campaign in Block 9, Syria. Two exploration wells are planned for drilling this year with Itheria-1, the first well in the program, expected to commence drilling in July.

The Itheria Prospect is estimated to contain potential Prospective Resources of 338 million barrels of oil equivalent (Best Estimate). The planned total depth of the well is 3,200 metres and it is expected to take 80 days to drill, on a dry hole basis.

Kulczyk Oil is monitoring the situation in Syria closely and will provide and update if circumstances occur which impact the drilling of Itheria-1 and the timing of drilling operations. At the present time KOV is not aware of any oil field or exploration activities that have been halted by the current security issues in Syria. Kulczyk Oil is in close communication with other operators in Syria and has prepared operational and management plans to deal with operations and the safety of personnel in the event of an escalation of the situation.