GeoGlobal to Test and Evaluate KG#1 Well

GeoGlobal Resources reports that drilling operations have been completed on the KG#1 well located within the Krishna Godavari Basin on the Exploration Block KG-OSN-2001/3 ("KG Block") off the east coast of India. The Gujarat State Petroleum Corporation ("GSPC") is the operator of the KG Block. This well is the first of an initial 4 well exploration drilling program on the KG Block. GeoGlobal has a 5% net carried interest in the wells drilled on the KG Block.

The KG#1 well has been drilled to a depth of 2,620 meters and a logging program has been completed. Based upon log analyses, GSPC is currently testing and evaluating this well for hydrocarbons. These log analyses are preliminary and exploratory and there can be no assurance that the outcome of these tests and evaluations will demonstrate the presence of hydrocarbons in commercially recoverable quantities or that any hydrocarbons that are present are capable of being recovered.

Upon completion of the testing and evaluating, the Saipem Perro Negro 3 drilling rig will move to the KG#2 well location which is approximately 2.5 kilometers due north of the KG#1 well and is situated in shallow waters of approximately 70 meters deep.