88 Energy Regulatory News (88E)

14 Aug 2012 09:54

14 August 2012

TANGIERS PETROLEUM LIMITED Tangiers Granted New Petroleum Exploration Permit NT/P83, offshore Australia

Highlights

* Tangiers' awarded Petroleum Exploration Permit NT/P83 following successful work program bid. * Approximately 15,000 km2 added to Australian exploration portfolio. * Permit is believed to be highly prospective for hydrocarbons based on source and reservoir rocks of several age units.

Tangiers Petroleum Limited is pleased to announce that it has received written confirmation from the National Offshore Petroleum Titles Administrator (NOPTA) that the Company had been successful in its work program bid and has been granted Petroleum Exploration Permit NT/P83 (NT/P83). It is anticipated that NOPTA will cause a notification of the grant to be published in the next edition of the Commonwealth Gazette.

NT/P83 (formerly Release Area NT P11-1) lies in the Arafura Sea to the north of Melville Island and the Coburg Peninsula of the Northern Territory and is approximately 100 kilometres north of Darwin (Figure 1), Australia. It comprises and area of approximately 15,000km2 and is in waters shallower than 200 m.

A number of exploration wells have been drilled in the vicinity of the permit with gas discoveries to the west in the wells Caldita-1, Lynedoch-1 and ST-1, Lynedoch-2; and gas shows in the Beluga-1 well. Oil shows were encountered to the east of the permit in the Kulka-1 and Tasman-1 wells. The large Evans Shoals and Abadi gas fields are located to the west and northwest of the permit in the Malita Graben-Darwin shelf area.

The permit lies in the Money Shoals Basin, a relatively undeformed Jurassic to Cainozoic sequence that unconformably overlies the mainly Paleozoic rocks of the Arafura Basin. Part of the acreage extends into the Arafura Basin with folded and faulted Palaeozoic to lower Mesozoic rocks. The Golburn Graben is also present in a portion of the permit and is a dominant northwest to southeast Palaeozoic intra-cratonic rift basin. With several age units of source and reservoir rocks, this permit area is expected to be highly prospective for hydrocarbons.

The Company's proposed exploration program will initially focus on performing geotechnical studies and the acquisition of 500km of 2D seismic data.

Mark Ceglinski, Executive Chairman of Tangiers Petroleum, commented, "The grant of NT/P83 is a exciting step in furthering the Company's strategy to expand its exploration portfolio and leveraging the Company's technical expertise to identify potential leads and plays in areas believed to be highly prospective for hydrocarbons. NT/P83 is an excellent complement to the company's existing Moroccan and Australian acreage."

Qualified Person

The information in this announcement was produced by Mrs Margaret Hildick-Pytte who is the Director of Exploration for Tangiers and Mr Brent Villemarette who is an Executive Director of Tangiers. Mrs Hildick-Pytte holds a BSc and MSc in Geology and is undertaking a MSc in Petroleum Engineering. She is a member of SPE, AAPG, the SPWLA and PESA. Mr Villemarette is a petroleum engineer with over 30 years of experience and is a member of the Society of Petroleum Engineers. Mrs Hildcik-Pytte and Mr Villemarette have reviewed this announcement and consent to its release. Terminology and standards adopted by the Society of Petroleum Engineers ("SPE") "Petroleum Resources Management System" have been applied in producing this document.

Under these standards:

"Undiscovered Oil Initially in Place" is that quantity of oil which is estimated, on a given date, to be contained in accumulations yet to be discovered. The estimated potentially recoverable portion of Undiscovered Oil Initially in Place is classified as Prospective Resources, as defined below; and

"Prospective Resources" are those quantities of oil or gas which are estimated, on a given date, to be potentially recoverable from undiscovered accumulations.

KRYSTEL KIROUJoint Company SecretaryTangiers Petroleum LimitedLevel 6, 5 Mill StreetPerth WA 6000, AustraliaPh: +61 8 9485 0990 www.tangierspetroleum.comContactsMr Mark CeglinskiChairman+61 8 9485 0990 RFC Ambrian Limited (Nominated Adviser)Mr Stuart Laing+61 8 9480 2506Old Park Lane Capital PLC (Joint AIM Broker)Mr Michael ParnesMr Luca Tenuta+ 44 20 7493 8188Shore Capital Stockbrokers Ltd (Joint AIM Broker)Mr Jerry KeenMr Bidhi Bhoma+ 44 20 7408 4090

Mr Ed Portman (Media and Investor Relations - United Kingdom) Tavistock Communications +44 20 7920 3150