Ophir Energy Plc : Drilling & Operational Update

OPHIR ENERGY PLC ("OPHIR" OR THE "COMPANY") COMMENCEMENT OF TANZANIAN DRILLING PROGRAMME AND OPERATIONAL UPDATE

London, 3 January 2012: Ophir announces the start of its 2012 drilling programme in Tanzania with the drillship Odfjell Metro-1. The first three wells in the programme will be Jodari-1, Mzia-1 (previously named 1W) and Papa-1 (previously named 3A).
The Metro-1 is a state-of-the-art drillship capable of drilling in water depths of up to 3,000m. The rig has a dual derrick with a main work centre and an auxiliary work centre to facilitate a number of simultaneous operations. Both work centres are equipped for drilling. The Metro-1 was built at the Hyundai Heavy Industries yard in Ulsan, South Korea and a detailed series of acceptance tests have been performed ahead of mobilisation to Tanzania.
The Jodari-1 and Mzia-1 wells are both located in Block 1. For efficiency reasons the Mzia-1 top hole section will be drilled first, as part of a batch drilling programme, then the rig will move to drill Jodari-1 in its entirety, before returning to Mzia-1 to complete the bottom portion of the well.
The Mzia-1 well spudded in 1,500m of water on 1 January 2012 and drilling of the top hole section is expected to take 7 to 10 days. Thereafter the Jodari-1 well will spud in a water depth of 1,155m and drill to total depth of c 4,600m subsea in an estimated 40 days. The Jodari prospect contains multiple stacked targets in both the Tertiary and Cretaceous sections with the former having seismic flat spot and amplitude fit to structure. Jodari is modelled by Ophir to contain mean resources of 2.2Tcf in the stacked targets.
Ophir holds 40% of Blocks 1, 3 and 4 and has now fully handed over operatorship to 60% partner BG International, who will manage the programme with the Metro-1.

East Pande 3D Seismic Programme, Tanzania

The Fugro Geo Caribbean seismic vessel commenced mobilisation in the East Pande licence on 30 December 2011. The 2,200km2 3D seismic programme is expected to take 40 days to complete and is designed to mature prospects for possible drilling late in 2012. Ophir holds 70% of the East Pande licence and operates the Block.

Equatorial Guinea Rig Contract

Ophir expects imminently to conclude negotiations to secure a rig for a 3 to 4 well drilling programme in the extended Block R, Equatorial Guinea. The programme, which is designed to demonstrate sufficient gas volumes to underpin a planned second LNG train in Equatorial Guinea, will include one or more appraisal wells on Ophir's earlier Fortuna-1 discovery, plus exploration wells on the Tonel and Silenus prospects.
Due to rig availability, this programme is now expected to start in late March. It is anticipated that the programme will take approximately 60 days. Ophir holds 80% of the Block R licence and operates the Block.

Mbeli and Ntsina 3D Seismic Programme, Gabon

The PGS Apollo seismic vessel commenced mobilisation from Port Gentil on 26 December 2011. The 2,100km2 3D seismic programme is expected to take 42 days to complete. The survey is specifically designed to mature pre-salt targets for drilling in late 2012. Ophir holds 50% of the Mbeli and Ntsina licences and operates them; Petrobras holds the remaining 50% of the blocks.
Ophir CEO, Nick Cooper said: "2012 has the potential to be transformational for Ophir. We are pleased to start the year by kicking off our Tanzanian drilling programme and also to see drilling and seismic operations gearing up across our other key assets. Ophir plans to drill at least 9 wells across our portfolio in 2012."

ENDS FOR FURTHER ENQUIRIES PLEASE CONTACT:

Ophir Energy plc [phone]
Nick Cooper, CEO
FTI Consulting (PR Advisor to Ophir) [phone]
Billy Clegg/Edward Westropp