Magnolia Petroleum Regulatory News (MAGP)

Magnolia Petroleum Plc / Index: AIM / Epic: MAGP / Sector: Oil & Gas 05 July 2013 Magnolia Petroleum Plc (`Magnolia' or `the Company') Excellent Initial Production at Helgeson Well in the Bakken Formation, North Dakota Magnolia Petroleum Plc, the AIM quoted US onshore focused oil and gasexploration and production company, is pleased to report an initial productionrate of 1,401 boepd for the Marathon Oil operated Helgeson 41-30H well in theBakken Formation, North Dakota in which Magnolia holds a 4.071% net revenueinterest. In addition, the Company announces its participation in seven newwells in producing US formations in Oklahoma, in line with its strategy torapidly build production and reserves. Commencement of Production at Helgeson 41-30H well Well Name Targeted Operator Gross IPR Magnolia's Net IPR NRI% Formation Helgeson Bakken, Marathon Oil 1,401 boepd 4.071 57 boepd41-30H North Dakota Participation in new wells The Company is participating in the following seven wells at an aggregate netcost of US$301,402: Well Name Targeted Formation Operator Magnolia's Net Cost to WI/NRI Magnolia TBN 1-31H Mississippi Lime, Red Fork 3.066%/ US$104,244 Oklahoma 2.30% Linda 1-4* Wilcox, Oklahoma MT. Dora 12.5%/ US$72,875 9.375% Kennedy #5** Dolomite, Oklahoma Bill Laird 8.125%/ US$34,685 6.094% Donaldson Woodford, Oklahoma Meason 1.388%/ US$34,0471-21H Petroleum 1.041% Yani 1-31H Hunton, Oklahoma Equal Energy 1.041%/ US$31,626 0.781% Robison 4-1MWH Woodford, Oklahoma Calyx 0.434%/ US$12,820 0.335% Territory East Mississippi Lime, Dorado E&P 0.312%/ US$11,1059-1H Oklahoma 0.234% *vertical well ** re-entry into and re-completion of existing wellbore Rita Whittington, COO of Magnolia, said, "Based on the initial productionrates, the two Bakken wells, Helgeson and Gustafson, have together increasedour daily production by 107 boe in the space of a week. This represents a neardoubling of the 122.5 boepd reported in the Competent Person's Report as at 31December 2012. "We expect the strong momentum to be maintained if not built upon. The sevennew wells announced today bring the total number in which Magnolia has aninterest that are at various stages of development or waiting to spud to 47. Aswith Helgeson and Gustafson, Magnolia holds larger than average interests in anumber of these wells such as the Blaser and Great White. We are on course tobuild a significant US onshore oil and gas company and I look forward toproviding further updates on our progress in due course." On-going Leasing Activity As a result of on-going leasehold activity, Magnolia's total acreage in theMississippi Lime, Hunton, Woodford and Wilcox formations in Oklahoma now standsat 5,226.37 acres. ** ENDS ** Glossary `boe' means barrels of oil equivalent: a unit of energy based on theapproximate energy released by burning one barrel (42 US gallons or 158.9873litres) of crude oil. There are 42 gallons (approximately 159 litres) in one barrel of oil, whichwill contain approximately 5.8 million British Thermal Units (MBtus) or 1,700kilowatt hours (kWh). The value is necessarily approximate as various grades ofoil have slightly different heating values. BOE is used by oil and gascompanies in their financial statements as a way of combining oil and naturalgas reserves and production into a single measure. `boepd' means barrels of oil equivalent per day `IPR' means initial production rates For further information on Magnolia Petroleum Plc visitwww.magnoliapetroleum.com or contact the following: Steven Snead Magnolia Petroleum Plc +01 918 449 8750 Rita Whittington Magnolia Petroleum Plc +01 918 449 8750 Jo Turner / James Caithie Cairn Financial Advisers LLP +44 20 7148 7900 John Howes / Alice Lane / Northland Capital Partners +44 20 7796 8800Luke Cairns Limited Lottie Brocklehurst St Brides Media and Finance Ltd +44 20 7236 1177 Frank Buhagiar St Brides Media and Finance Ltd +44 20 7236 1177 Notes Magnolia Petroleum Plc is an AIM quoted, US focused, oil and gas explorationand production company. Its portfolio includes interests in 118 producing andnon-producing assets, primarily located in the highly productive Bakken/ThreeForks Sanish hydrocarbon formations in North Dakota as well as the oil richMississippi Lime and the substantial and proven Woodford and Hunton formationsin Oklahoma. Summary of Wells Category Number of wells Producing 118 Being Drilled / Completed 10 Elected to participate / waiting to spud 37 TOTAL 165