Independent Says Fiume Bruna Contains CBM Well Could Contain 92 bcf

Independent Resources says its Fiume Bruna coalbed methane property in northern Italy contains an estimated recoverable CBM resource of around 92 billion cubic feet ("BCF").

The assessment follows independent analysis of coal samples recovered from a stratigraphic well drilled in the license area late last year.

The new assessment, completed by Norwest Questa Engineering ("NQE"), found that the stratigraphic well penetrated coals which are gas saturated and contain a well-developed cleat system in the bright bands. Gas saturation and cleating are conducive to CBM production.

NQE is a leading US consultancy group with specialist CBM expertise.

Based on the data assessed, NQE estimates the in-place CBM resource to be about 170 BCF and the recoverable resource to be about 92 BCF. These estimates compare favorably with those made in March of this year which quoted in-place resources of 107 BCF (low case), 161 BCF (medium case) and 215 BCF (high case).

Independent Resources continues to plan for the acquisition of new seismic data and drilling of the next well on the license. It is intended that this well will be put on long-term test to assess the production profile of the coals.

Before either the seismic survey or the well can be carried out Independent Resources must gain the necessary environmental approvals. Because of the high quality of technical work undertaken by the Company, and its desire to involve a wider range of interested parties, it has adopted the advice of the regional authorities to convert its already-submitted environmental application (an "RIA") to a fuller "VIA" application. Although this will inevitably be time consuming the Company believes it to be best approach in the long run.

As before, the Company continues to engage with potential farm-in partners to the Fiume Bruna project.