great year in the making

We have had success at mirage 2.drilling at mirage 3 has commenced and it appears to be a safer play than mirage 2 was.So keeping this in mind one could expect a significant rise in revenue for 2006.The icing on the cake is ITC drilling proframe has ONLY JUST BEGUN. . 2006 Drilling Program
• 3 appraisal wells at Mirage
• 2 exploration wells in PEL 115
•(Lightning and Jindivik)
• 2 exploration wells in PEL 104
• 2 exploration wells in PEL 111
march,april,june july,aug.No time to rest
If you believe the price of oil will drop you are in the minority.If you can see oil going to $75 a barrell you are with the majority.$100 maybe but unlikely in the near future.Can you see the aussie $$$ below US.75. I can.Can not see it above US.78 at all for the forseable future.Now with say minium 1000 bopd at US$64 WHATS ITS WIRTH far north of were we are now.Thats for sure.
_ebit

Production Activities
PEL 115, Cooper Basin, South Australia, 40% working interest
Mirage Oil Field
The Mirage 1 well has been on continuous production since 27 July 2005. The well is currently producing via
beam pump at a rate of approximately 380 barrels of oil per day.
The Operator has produced a report on the Mirage and Ventura Oil Fields including estimates of the ultimate
recoveries expected for the two wells and comments on the fields.
The Mirage 1 well produces from the Murta Formation and is performing as expected and has produced over
37,000 barrels of oil to date. The Operator’s report states as follows:
• The Mirage well is expected to have ultimate recoverable reserves of approximately 250,000 barrels to
be produced over a 12 year life.
• The well will produce under natural decline until approximately 2017.
• A representative original oil in place figure for the field is approximately 4.2 million bbls with estimated
recoverable reserves, under primary recovery, of over 1 million bbls. Impress considers that secondary
recovery has the ability to increase this reserve to over 1.5 million bbls.
It must be emphasised that this is an estimate based on the performance of the Mirage well combined with the
results of the 3D survey. Impress expects the appraisal wells to intersect better reservoir sands in the Murta and
have improved production profiles. Following the drilling of the 3 appraisal wells, further information will be
acquired prior to embarking on a field development program that could involve the drilling of up to 7 wells.
Ventura Oil Field
After some initial difficulties in setting up the pumping system the Ventura well commenced 24 hour operation on
11 October 2005.
The well is currently producing approximately 50 barrels of oil per day.
Ventura 1 well
The Ventura well produces from the McKinlay and as expected has intersected a limited reservoir. The well has
produced 11,000 barrels of oil to date. The Operator’s report states:


• A reasonable estimate for ultimate recoverable reserves is approximately 44,000 barrels to be produced
over a 3 year life.
• It must be emphasised that this is an estimate for the recovery from the Ventura 1 well only and not the
Ventura Field. Further analysis of the 3D data is continuing and may well lead to further drilling
locations. At this stage it is not intended that any drilling will take place during 2006.
Exploration Activities
PEL 115, Cooper Basin, South Australia, 40% working interest
Mirage 3D Seismic Survey
The results of the interpretation of the 3D seismic survey have been particularly encouraging both from a
production and exploration viewpoint. Impress has reviewed the data with its own consultants and in conjunction
with the Operator.
At the Mirage oil field, the survey has concluded that structurally the field covers over 2.5 square kilometers in an
“L” shaped feature broadly trending north – south. The Mirage 1 well appears to be just north east of the crest of
the feature.
The Jindivik and Lightning structures, to the east of Mirage, were confirmed as targets.
Further detailed work was carried out on the data specifically to assist in determining where better reservoir
properties in the Murta Formation could be located. This work entailed studying the characteristics or ‘attributes’
of the seismic signal to indicated where more porous areas existed and hence better reservoir conditions.
The results of this work showed that there was a broadly east west trending “attribute” anomaly located to the
north of the Mirage well. The Mirage well appears to have just intersected the southern part of this anomaly. The
feature stretches from the west of Mirage to the east of the Lightning and Jindivik structures.
In addition the attribute work has indicated that the previously drilled dry holes in the permit at Burruna, Plotosus
and Wirrha are all located in areas with unfavourable seismic characteristics. Analysis of these wells shows that
despite oil shows in the Murta Formation there was no reservoir sand. In addition the Ventura 1 well, which
produces from the McKinlay Formation (not the Murta), is also located in an unfavourable Murta reservoir area.
Impress is encouraged by these results as they satisfactorily explain why these wells were not successful in the
Murta.
It is Impress’ view that the seismic work has indicated areas within the Murta Formation that have better reservoir
quality than those at Mirage, as well as indicating a ‘fairway’ that could contain stratigraphic traps within the Murta
Formation.
Appraisal drilling
The results of the structural analysis in conjunction with the ‘attribute’ work has led to three appraisal locations
being determined. The locations lie to the north and east of Mirage 1 and are located to intersect both a
structurally high area in conjunction with a positive seismic attribute. Impress expects that these wells will
intersect Murta sands with improved reservoir characteristics and associated production.
The first appraisal well, Mirage 2, intersected the objective Murta horizon as expected and has been completed
for production.
Jindivik and Lightning Structures
The Jindivik and Lightning structures lie to the east of Mirage. Jindivik is approximately 2 kilometres to the northeast
while Lightning lies about 3 kilometres to the east.
Structural closure has been confirmed at both prospects and they both have favourable seismic attribute
characteristics indicating reservoir in the Murta Formation. In addition they lie in a favourable position to receive
oil charge from the source areas to the north and there is the strong possibility that other objective horizons such
as the Birkhead and Hutton Formations have also received oil charge.
PEL 104 and 111, Cooper Basin, South Australia, 40% working interest
There are four wells to be drilled in the PEL 111 and 104 permits with the current rig.
These wells will be Jurassic oil tests located to the west of Australia’s largest onshore oil field at Tirrawarra
Impress Ventures Limited 31 December 2005 Interim Financial Report
www.impressventures.com.au 3
To date prospects and leads are recognized at Catalina, Ascender, Gannet, Liberator, Wirraway and Eagle.
Further seismic was recorded during late 2005 at Wirraway, Ascender and Gannet to mature the prospects to
drillable status. The final drill locations will be determined by mid March and the rig is expected to arrive in the
area after the PEL 115 drilling in approximately April, 2006.
PEL 86, 87 and 89, Cooper Basin, South Australia, 40% working interest
There was no activity in the permits during the latter half of 2005. Exploration work is expected to commence in
the latter half of 2006.
Heron Resources/INCO Kalgoorlie Nickel Project (KNP)
Impress Ventures Ltd was previously called Merritt Mining NL and was involved in mineral exploration in Western
Australia during the 1990’s.
The company had an interest in a number of nickel tenements known as Siberia Tank that were eventually sold
to Centaur in exchange for a 10% free carried interest to production. The tenements are Prospecting Licences
24/3179 to 24/3184 inclusive.
The leases were subsequently acquired by Heron Resources Ltd.