New World Oil And Gas Regulatory News (NEW)

New World Oil and Gas Plc / Index: AIM / Epic: NEW / Sector: Oil & Gas

24 November 2011

New World Oil and Gas Plc ('New World' or the 'Company')

Update for the Danica Jutland Project, Denmark

New World Oil and Gas Plc, a company focused on making investments in the oil and gas sector, is pleased to provide an update on the progress to date and planned work programme for 2012 at its 4,107 sq km Danica Jutland Project consisting of two licences, 1/09 and 2/09, located in the productive and highly prospective Jutland on-shore area in South Western Denmark ('the Licences').

Overview

·; Partner, North Sea Fund (branch of the Danish Energy Agency), formally approved New World's naming on the Joint Operating Agreements for Licences 1/09 and 2/09 of the Danica Jutland Project - formal Danish Energy Agency approval is expected in the next two weeks

·; Upon full completion of the earn-in work programme, New World has the option to obtain up to an 80% working interest in the Licences

·; Phase 1 of the 2-D seismic acquisition programme, the preliminary budget for 2012, and estimates for 2013-2015 have all been formally approved by the Licence holders

·; New World to begin tendering process for the 2-D seismic acquisition programme before end of Q4 2011 - expected commencement of seismic programme Q2 2012, subsequently initiating the earn-in programme

·; On completion of Phase 1 seismic, updated Competent Person's Report expected Q2 2012

New World CEO William Kelleher said, "The approval from our partner, North Sea Fund, for our operatorship of Licences 1/09 and 2/09 is another encouraging step forward as we progress towards commencing a 2-D seismic acquisition programme at the Danica Jutland Project. We are very excited about the Licences due to the high level of prospectivity attributed to them by our Competent Person, RPS Energy ('RPS'), in the first Competent Person's Report ('CPR'). The encouraging results provided significant evidence pointing to the presence of a working hydrocarbon system on the southern flank of the Northern Permian Basin, where our significantly sized licences are located.

"As with the updated CPR for our Blue Creek Project in Belize, we hope to be able announce reduced geological risk in Denmark to levels that support drilling. These levels currently stand at 1 in 8 for the Zechstein and 1 in 5 for the Triassic. This approach is supported by RPS in their CPR whereby they state that the acquisition of further seismic 'is the next step to identify a robust prospect'.

"We look forward to updating our shareholders on our progress in both Belize and Denmark as we pursue our stated goals of achieving early production through the use of extensive state-of-the-art technology, thereby minimising geological risk up to the point of drilling."

Further Information

The Farm-Out Agreements for Licences 1/09 and 2/09 were agreed between the Company's wholly-owned subsidiary New World Jutland ApS ('NW Jutland')and Danica Jutland ApS ('DJ'), the joint-holder of the Licences (dated 17 May, 2009) ('the Licence holders'). DJ currently has an 80% working interest in the Licences with a single partner, Danish North Sea Fund, which holds a fully-paying working interest in the remaining 20% of the Licences.

The first phase of the 2-D seismic acquisition programme ('the seismic programme') for the Licences (as previously described in the Company's 11 October 2011 announcement) was formally approved by the Licence holders at an Operations Committee meeting held on 14 November 2011 in Copenhagen, Denmark. This will entail the permitting for, and acquisition, processing and interpretation of 50 line kilometres of 2-D seismic on each of the Licences during Q2 of 2012. In addition, a preliminary budget for 2012, and estimates for 2013 - 2015 were also approved.

The Company will begin the tendering process for the seismic programme before the end of 2011, with a view of commencing at the beginning of Q2 2012 at an aggregate cost of US$1.25 million which will deliver an initial 12.5% working interest in the Licences. The Company has the option to increase its working interest to 25% by the investment in further seismic data, and to 80% by funding the completion of one exploration well on each Licence.

Following the completion of the first phase of the seismic programme, the Company's Competent Person, RPS, will provide an updated CPR, further high-grading prospective drillable prospects, which is expected at the end of Q2 2012.

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For further information please visit www.nwoilgas.com or contact:

Notes

New World Oil and Gas Plc is focussed on making investments in the oil and gas sector, either by acquisition or by participation through Farm-Out. The Company targets late stage exploration or early production projects that, in the opinion of the Directors, are undervalued, underdeveloped or under-performing, located in basins with large proven reserves. New World is currently operating in Central America and Europe where New World has acquired two highly prospective projects via Farm-Out Agreements, although the Board is actively identifying exploitation opportunities in areas including Africa, South America and South East Asia.