Artumas Spuds Msimbati-1X Exploration Well

Artumas Group has commenced drilling of the Msimbati - 1X (MS-1X) exploration well, located in the Mnazi Bay Concession, Southern Tanzania.

The primary target for MS-1X is the Msimbati Prospect, a series of potentially hydrocarbon bearing, multiple, stacked sands of the Middle Miocene age. The Msimbati Prospect is interpreted to be a separate, high amplitude fairway identified from seismic acquired over the southeastern area of the Msimbati Peninsula. The Msimbati Prospect has the potential to be a 67 Million barrels of oil equivalent (MMboe) structure. The drilling location for MS-1X is located 2.5 km to the southeast of the MB-3 well site.

MS-1X will be drilled to a target depth of 6570 feet, testing for southeastern extension of the producing Miocene/Oligocene sandstone formations of the Mnazi Bay Gas Field. The well will be drilled utilizing the Nabors 221 top-drive rig, which was used to drill the MB-2 and MB-3 wells in 2006.

Coincident with the drilling of MS-1X, the Company is planning to execute a new 2D seismic program focused on high-grading a deeper exploration prospect for an Eocene/Cretaceous oil test. The new seismic will cover approximately 60 kilometers over the Mwambo Prospect commencing in Q2 2007. Given supporting interpretation of this new seismic, Artumas will look to drill an exploration well, the Mwambo-1X (MW-1X). This exploration well will target the deeper Eocene and Cretaceous turbidities and fan deltaic sands. A secondary target would be the shallower Tertiary sands which are currently being produced from the Mnazi Bay Field. Drilling of the Mwambo Prospect is currently targeted for 3Q07.