Anadarko to Launch Drilling at Windjammer in Next Few Days

Cove Energy has provided the following drilling and operational update on progress in Mozambique, where it holds a conditional 8.5% interest in the offshore Rovuma Block, and a conditional 10% participating interest covering the Rovuma onshore area, both of which are operated by Anadarko Mozambique Area 1, Ltda ("Anadarko").

Rovuma Offshore Area 1 Mozambique

Cove Energy has been informed by Anadarko that the Belford Dolphin drillship has left port in Mozambique and is preparing to commence the drilling of the fully funded offshore four well program in the next few days. The initial plan is to set surface casing for the Collier well and then move to and drill the Windjammer well before returning to Collier.

Mecupa 1 Commitment Well -- Onshore Mozambique

The Company has been advised by Anadarko, the operator of the Rovuma Onshore Concession in Mozambique, that the Mecupa 1 commitment well encountered hydrocarbon shows. Pending further evaluation of the well data, the decision has been taken by the partners to plug and abandon the well at this time.