SPE Commences Drilling at Shoal Point Well

Enegi reported that Shoal Point Energy (SPE) commenced drilling operations on January 5, 2012 at the 3K39z well, at Shoal Point, Port au Port Bay, Newfoundland.

According to the announcement, the borehole has been drilled to a measured depth of 1,745 meters and encountered liquid hydrocarbon shows over the entire gross section of the well below approximately 700 meters. Further operations and a number of tests are planned, with the program expected to take between nine and twelve weeks to complete, depending on the final number of cased-hole tests conducted.

Alan Minty, CEO of Enegi, commented, "We are encouraged by the drilling results announced by SPE and in particular the presence of liquid hydrocarbon shows. We believe that the work currently being conducted on EL1070 by our partners provides value to our interests in terms of asset prospectivity and the license security to implement our plans. We look forward to further announcements over the coming weeks."