Santos, Vicpet P&A Hudson-1, Continue Exploration

Victoria Petroleum N.L. was advised by Santos Limited, the operator of the ATP 752P Farmin Joint Venture, that the Hudson-1 oil exploration well reached a total depth of 2,430 meters on July 15, 2008.

Wire line logs run over the weekend indicated the minor oil shows encountered in the Namur, Westbourne, Birkhead, Hutton, basal Jurassic and the Doonmulla sandstones are interpreted to be residual oil and/or indications of the migration of oil through the area and the well is being plugged and abandoned as a dry hole.

Vicpet has identified several other oil prospects located between the Cuisinier Oil discovery and Hudson-1 which it still regards as prospective for oil accumulations in light of the oil shows encountered within several zones in Hudson-1.

Vicpet was fully carried through Hudson-1 and retains a 15% interest in the well and ATP 752P after the multiwell farmin is completed.

The drilling program of up to 7 wells set out in the ATP 752P farmin agreement is part of Vicpet’s strategy of being a major explorer and producer in the Cooper/Eromanga Basin in South Australia and Queensland.

Vicpet’s drilling activity in the Cooper /Eromanga Basin is planned to resume around the week starting August 12, 2008 in South Australia on the PEL 104 /111 Western Margin Oil Project where 6 wells are planned to start drilling on a continuous basis. The first well will be drilled on the Growler Oil Field where oil production has commenced against a background of continuing high oil prices.