drill next month total potential of 500mmboe

Great News

OPERATIONS UPDATE
TWO WELL PROGRAM TO COMMENCE NEXT MONTH
TOTAL RESOURCE POTENTIAL OF 500MMBOE

The Directors of emerging oil and gas explorer Agri Energy Limited (ASX: AAE) (Agri or the Company) are pleased to announce that plans are on track to commence drilling in Syria Block 9 next month. This follows the announcement on 22 March 2011 of a substantial increase in the estimated Resource Potential, as verified by independent experts RPS Energy, to over 500 million barrels of oil equivalent (mean recoverable).
The operator of Syria Block 9 has executed a drilling rig contract with Sinopec International Petroleum Company for a two well program. The drilling rig is expected to complete its current contract this month and drilling on Syria Block 9 is scheduled to commence in July 2011. The first well in the program is Itheria‐1, with estimated mean recoverable Resource Potential of 394 million barrels of oil equivalent. The well is expected to take around 80 days to drill, on a dry hole basis.
Triton is the holder of a 20% beneficial interest in Syria Block 9, a 10,032km2 petroleum exploration licence in north‐western Syria located on the north‐eastern flank of the prolific Palmyride Basin. Agri has exercised its Call Options to acquire Triton.
At the present time the company is not aware of any oil field or exploration activities that have been halted by the current security issues in Syria. The Operator of Syria Block 9 is in close contact with other operators and is monitoring the security situation closely and will report if there are major changes or if the situation deteriorates which in turn effects the current and ongoing pre‐drilling operations. The Operator has prepared operational and management plans to deal with an escalation of the security situation adversely affecting operations and the safety of drilling personnel should that occur.
Agri Director, Mr Joseph Naemi, said ?With the signing of the drilling contract, and receipt of all permitting approvals, virtually all of the operational preconditions are now in place to drill these two world class prospects.?
Agri Energy Limited
ABN 83 061 375 442
PO Box 637
West Perth