Nautical Postpones Drilling North Sea's Hydra Prospect Until 2009

Nautical Petroleum has announced that the planned drilling of the Hydra prospect has been postponed until 2009 due to bad weather in the North Sea and the high standby costs that Nautical would incur if the Company held the rig until drilling could commence.

As a consequence of the bad weather, the partnership made the decision to move the rig to the east of the Shetland Islands and then the rig was demobilized.