Highlands Natural Resources Regulatory News (HNR)

21 Mar 2006 07:00

Hardman Resources Limited21 March 2006 STOCK EXCHANGE / MEDIA RELEASE RELEASE DATE: 21 March 2006 AUSTRALIAN CONTACT: Simon Potter Hardman Resources Ltd +61 8 9261 7600 LONDON CONTACT: Patrick Handley Brunswick Group +44 207 404 5959 RE: HARDMAN DRILLING PROGRAMME WEEKLY PROGRESS REPORT PAGES: 2 Hardman Resources Limited ("Hardman") provides the following progress report onits drilling activities: Uganda: Block 2 - Waraga-1 Wildcat The Waraga-1 well has been cased and suspended at a total depth of 2,010 metrespending the commencement of a well testing programme. Weekly reporting willresume once the testing programme is about to commence. Pressure tests and samples from the lower zone of interest between 1,780 and1,930 suggest the presence of two oil columns in a number of sands of varyingthickness and quality through a lower net section. Oil samples recovered from anexcellent reservoir sand at 1,893 metres appear to have a similar gravity to theoil recovered in another, previously reported, shallower zone at approximately1,700 m. Pressure data suggest that this shallower 32 m gross intervalrepresents a 45 m light oil column in a better net reservoir sand section. Testing of this well and the Mputa discovery will provide better information onthe reservoir than is available from the wireline logs and confirm oilproperties. Additional appraisal drilling is being planned to determine thelocation of oil water contacts and target potential improved reservoirintervals. Waraga-1 is located 19 kilometres to the northeast of the recently drilledMputa-1 oil discovery well and 41 kilometres southwest of the Butiaba Waki-1well (drilled in 1938). Waraga-1 tested a structural prospect with identicalgeological targets to the oil bearing reservoirs seen at Mputa-1. The Waragaprospect was defined by the 2005 onshore seismic survey and the geological riskwas significantly reduced by the success of Mputa-1. ... Page 2 ... 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 UTC/GMT +3 hours (Uganda time), 5hours behind Western Standard Time, Perth. All reported depths are referenced tothe rig rotary table (RT). SIMON POTTERMANAGING DIRECTOR Note: In accordance with Australian Stock Exchange Limited listing requirements,the geological information supplied in this report has been based on informationprovided by geologists who have had in excess of five years experience in theirfield of activity. This information is provided by RNS The company news service from the London Stock Exchange