Mediterranean Oil & Gas Announces Several E&P Licenses

Mediterranean Oil & Gas (MOG) reported that it has secured exploration permits for several properties.

D'Aglavizza is an application for a 7 square kilometre production concession. The Civita 1 well discovered gas bearing tertiary sands at a depth of about 1200 metres with proved and probable reserves of 1.3 Bcf with additional possible resources of 1.0Bcf (best estimate case). MOG can profitably develop this field and believes there is potential for additional resources to add to the present reserves. The award of the concession is expected in 2009 with production anticipated to commence from a suspended well shortly afterwards.

The D'Aglavizza field is expected to produce approximately 14,500 scm/d. (512Mcf/d).

Civita is an exploration permit located near d'Aglavizza application which contains the Civita 1 field. Civita North is a mature prospect and is ready to drill. The prospect is supported by 3D seismic and presents a significant DHI AVO anomaly, calibrated to the Civita 1 gas discovery. The best estimate prospective resources for the prospect are 5.0 Bcf. The permit is mostly covered by 3D seismic and other exploration leads have been identified.

The Montalbano exploration permit is operated by Vega Oil, and is located on the main Bradano Trough gas productive trend.

The primary exploration play is biogenic gas in shallow Pliocene clastic sequence. The commitment well objective is the appraisal of Montesano-1 directional well that tested 25,100scm/d to 47,600 scm/d (886Mcf/d to 1,680Mcf/d). The best estimate prospective resources are 5 Bcf.

In the Fiume Arrone exploration permit, the commitment well was drilled in 2007 and was dry. In the Company's view the residual exploration potential is limited and no value has been ascribed to JIL's interest.

The Corropoli exploration application covers an area previously relinquished by ENI. ENI recorded an 80 square kilometre 3D seismic survey identifying several leads and prospects. ENI also drilled one well, Fonte Armata 1, which found gas shows but was not tested. The primary targets are the clastic layers in the Middle and Lower Pliocene. Several gas fields are located adjacent to the licence area. The permit award is expected in2008 .