Quarterly Report

28 Apr 2005 11:50

Global Petroleum Ltd28 April 2005 28 April 2005 Global Petroleum Limited March 2005 Quarterly Report * UK Alternative Investment Market ("AIM") The Company was admitted to AIM on the 7th of March 2005 as a complianceadmission (i.e. there was no fund raising). * Kenya (Global 20%) The Company has a holding of 20% in three blocks L-5, L-7, and L-11 offshoreKenya. In regard to the fourth Block L-10 which is now held by Dana (80% andoperator) and Global (20%) - as a result of the withdrawal of Woodside - theterms of an extension of the Licence including the work programme are undernegotiation with the Kenyan authorities. In L-5, L-7 and L-11 Global is in a Joint Venture with Woodside (50% andoperator in L5 and L7, and 40% in L11) and Dana Petroleum (E&P) Limited (30% inL5 and L7 and 40% in L11). The costs associated with Global's 20% equity arecarried for all activities including the drilling and testing of two wells. InAugust 2004, the Company announced Woodside's intention to continue in Blocks L5and L7 at which time Woodside committed to the drilling of the first of the twowells through which Global's costs are carried. Mapping of the 2003 5,500km 2D seismic survey revealed several leads in BlocksL-5 and L-7 in water depths of 1,650 -2,800 metres with the leads (potentialtargets for drilling) ranging in size from 10 sq km (2,500 acres) to 60 sq km(15,000 acres). Interpreted results of the 2004/05 3,600km 2D seismic survey are expected to beavailable mid year and these will be the basis for selection of the prospectsfor drilling - currently targetted to begin in the last quarter of this year. In Block L-11, Woodside has until late 2005 to determine whether or not tocontinue in this Block. * Falkland Oil and Gas Limited ("FOGL")(Global shareholding 16.06%)- www.fogl.co.uk FOGL announced on the 7th of April 2005 that 80% of the 10,000km 2D seismicsurvey of its Falkland Islands Licences had been completed. The Company notedthat "the early processed results had provided further information on the 8Leads referred to in the AIM Listing Prospectus, as well as identifying severaladditional leads which could warrant further work"; and that "it is evident thatthere are several different play types (tilted fault blocks, rollovers,channels, seafloor fans, basement onlap) each with several leads. It is particularly encouraging that possible Direct Hydrocarbon Indicators (DHI's which can be due to rock effects as well as oil and gas) are associated with a number of the leads - and these DHI's could be indicative of a working petroleum system"; and that "FOGL has many more opportunities than originallyanticipated". It was noted that "the fully processed and interpreted results ofthe entire survey are expected to be available in the third quarter". * Falkland Minerals Limited ("FGML") (Global shareholding 10.1%) - www.fgml.co.uk FGML announced on the 10th of April that drilling commenced on the 4th of Marchwith "first results expected to be completed by June"; and "the second drill rig- arrived in the Falklands on 14th March and it is being commissioned"; and thata ground magnetic survey team will be conducting "the planned 1300 linekilometre program over the next 2-3 months". * Queensland ATP 728 (Global 100%) The Company was unable to find a farm-in partner and ATP728 has been surrenderedback to the Queensland Government. * Ireland Licence Option 03/3 (Global 100%) The area comprises part blocks 57/3, 57/4, 57/8 and 57/9 in the North Celtic SeaBasin, 30-70km to the south and south west of the producing Kinsale Head andSeven Heads gas fields. Well 57/9-1 drilled in the area in 1984 flowed gas at2.6 million cubic feet per day from Lower Cretaceous Wealdon Sands and recoveredsome oil. Mapping has indicated a prospect with Jurassic and Lower Cretaceoustargets capable of holding a potential 280 million barrels of oil in place. The Company is seeking a farminee to take over operatorship and earn signficantequity by conducting further studies and drilling a well. * Malta Exploration Study Agreement (Global 100%) The Area comprises Malta Blocks 4 and 5 in Area 3, covering the southern end ofthe Ragusa Trough. The key prospects - Gamma and Beta have similar reservoirtargets to the 300 million barrel Vega oil field in the northern part of theRagusa Trough. Mapping of Gamma and Beta suggests that they could be capable ofcontaining 400 and 900 million barrels of oil in place respectively. The Company is seeking a farminee to take over operatorship and earn signficantequity by conducting further studies and drilling a well. * Iraq The Company continues to seek opportunities in the petroleum industry in Iraq. * Company Update On the 11th of April, the Company posted an update of its activities on the Company's website www.globalpetroleum.com.au Further information: Global Petroleum LimitedDr John Armstrong, Executive Chairman +61 (0) 7 3211 1122 Bell Pottinger Corporate & FinancialNick Lambert +44 (0) 7811 358 764 This information is provided by RNS The company news service from the London Stock Exchange