MINE: NZO: Hoki Exploration Well Disclosure Notice

6 Apr 2010 11:42 am

NZO 06/04/2010 MINE

REL: 1142 HRS New Zealand Oil and Gas Limited

MINE: NZO: Hoki Exploration Well Disclosure Notice

NZOG (New Zealand Oil & Gas Ltd) advises that drilling operations have resumed at the Hoki-1 exploration well.

Drilling operations had been delayed to allow some essential repair work to be carried out by the Kan Tan IV drilling rig operator, Maersk Drilling.

Over the past three weeks, as a consequence of technical inspections of the rig equipment, Maersk Drilling has undertaken a programme of repair to the drilling mast to ensure regulatory compliance. This work is now complete.

Hoki-1 drilling operations resumed at 0200 hours on Monday 5 April 2010. As at 0600 hours today, preparations were being made to install the well control equipment in advance of resuming drilling. The well depth is currently at 1505 metres with casing set and cemented.

As previously stated, the repair costs and the rig day rate during the repair delay are being met by Maersk Drilling.

The Hoki-1 well is located in exploration permit PEP 38401 in the offshore Taranaki Basin. It lies approximately 135 kilometres west of New Plymouth and in water depth of approximately 330 metres.

Hoki-1 is targeting the oil potential of the Cretaceous North Cape reservoir sequence and the underlying Wainui sandstones. The well is planned to be drilled to a total depth of approximately 3,570 metres.

Participants in Hoki-1 and PEP 38401 are: AWE (Operator) 50% New Zealand Oil & Gas Ltd (through its subsidiary Petroleum Resources Ltd) 10% OMV New Zealand Pty Ltd 21.25% Todd Petroleum Mining Company Ltd (Todd Energy) 18.75% End CA:00193389 For:NZO Type:MINE Time:2010-04-06:11:42:35

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