Stuart Petroleum gains Gippsland basin interest

Offshore staff

ADELAIDE, Australia -- Stuart Petroleum has earned an interest in the Gippsland basin Vic P53 exploration permit and in the Vic P53 joint venture.

Stuart has been confirmed as operator of the permit and year three of the permit has been extended to October 2008. Vic P53's six-year term will now expire in October 2011.

"Confirmation of the Joint Authority's approval comes on top of Stuart' having secured a drilling slot with Seadrill Management'sWest Triton jackup rig," says Tino Guglielmo, MD of Stuart Petroleum. "The way is now clear for Stuart to proceed with drilling the Bazzard 1 well on Vic P53 next September."

Stuart is farming in to 50% of the Bazzard structure by sole-funding the Bazzard 1 well. The company may elect to sole-fund a second well in order to earn a 50% interest in the remainder of the permit and in the Vic P53 joint venture.

12/03/2007