Highlands Natural Resources Regulatory News (HNR)

15 Aug 2006 07:00

Hardman Resources Limited15 August 2006 STOCK EXCHANGE / MEDIA RELEASE RELEASE DATE: 15 August 2006 AUSTRALIAN CONTACT: Peter Thomas Hardman Resources Ltd +61 8 9261 7600 LONDON CONTACT: Patrick Handley Brunswick Group (UK media relations) +44 207 404 5959 RE: SUCCESSFUL UGANDA FLOW TEST AND MAURITANIA DRILLING UPDATE Hardman Resources Limited ("Hardman") provides the following update on itsexploration drilling and flow testing operations: Uganda: Mputa-1 flow test update - Block 2 On 12 August 2006, oil was successfully flowed to surface from the sands testedfrom DST #2 in the Mputa-1 exploration well, yielding an average flow rate of300 barrels of oil per day of 32degrees API oil through a 32/64" choke, with nowater production and low gas to oil ratio. The sand tested by DST#2 is a relatively thin interval (2 - 3 metres), whichgave an indication of hydrocarbons whilst drilling but did not yield definitivewireline pressure testing results during the original drilling operation. Thegravity of the recovered oil is very similar to that seen in the lower zones atthe Waraga-1 well 19 kilometres away which is likely to be of similar origin. Final flow and build-up tests are currently being concluded after which the mainoil-saturated sand in the discovery well (965 to 975m interval) will be testedby DST#3. Testing of this final interval is anticipated to commence later thisweek. The Mputa-1 well is located 220 kilometres northwest of the Ugandan capitalKampala and onshore 8 kilometres from Lake Albert. The Waraga-1 well is located19 kilometres to the northeast. Equities in Block 2 are: Block 2Hardman Petroleum Africa Pty Ltd (Operator) 50.0%Tullow Oil 50.0% Times and dates for Ugandan wells refer to Uganda time (GMT+3 hours), five hoursbehind Western Standard Time (Perth). Mauritania: exploration drilling update - Block 8 The Atwood Hunter drilling rig spudded the Flamant-1 well offshore Mauritania inBlock 8, at 1:15am on 11 August 2006. Over the last 48 hours a pilot hole hasbeen drilled to a total depth of 1,905 metres to check for shallow gas andpreparations are now underway to drill the main well bore. Flamant-1 is targeting a large Cretaceous Carbonate platform/reef prospect in anarea of different geology to the rest of the offshore Mauritanian basin, whichholds significant potential, primarily for gas, and is recognised as the besttest of a large regional high with both primary and deeper secondary objectives.Water depth at this location is approximately 1,400 metres. Equities in Block 8 are: Block 8Dana Petroleum (Operator) 41.5%Hardman Resources Ltd 18.0%ROC Oil Company 2.0%Wintershall 25%Gaz de France 13.5% Times and dates for Mauritania wells refer to GMT (Mauritania time), 8 hoursbehind Western Standard Time, Perth. PETER THOMASChief Financial Officer Note: (1) In accordance with the ASX Listing Rules, the geological informationsupplied in this report has been based on information provided by geologists whohave had in excess of five years experience in their field of activity. (2) In accordance with the AIM Rules, the information in this report hasbeen reviewed and signed off by Mr Andrew Patterson, B Eng., Technical Managerat Hardman Resources, who is a member of the Petroleum Exploration Society ofAustralia and has at least 5 years relevant experience within the sector. This information is provided by RNS The company news service from the London Stock Exchange