announcement, page-3

FURTHER DEVONIAN OIL LEADS INTERPRETED IN THE PEDIRKA BASIN
Central Petroleum Limited (ASX:CTP) (?Central?), is expected to step up oil exploration on its Pedirka Basin permits in the Northern Territory following encouraging seismic surveys undertaken early this year.
Exploration work to date on the new seismic outlines, inter alia, a possible new Devonian carbonate reefal oil play with over 1,500m of vertical extent potential where examined.
Central believes some of its future activity will be based around the interpreted Pellinor Reef, along the Hale River fault trend, in the Pedirka Basin mainly within the Pellinor exploration block EP 97.
The Pellinor, Simpson, Bejah and Dune prospect blocks are subject to a farmin agreement with Central?s interest at 80% and Rawson Energy (RAW) holding the remainder.
Erec, Lucan and the Pellinor Reef Plays in the Hale River fault trend
Central?s MD, John Heugh, said: ?There have been now at least 7 wells recording oil shows in the younger Permian, Triassic and Jurassic sequences in the Pedirka Basin.
?But nobody has yet drilled, described or tested an interpreted Devonian carbonate play in this basin? he indicated today. ?This is a preliminary interpretation of course.?
Further seismic analysis, additional seismic acquisition and drilling will be required to confirm and detail the interpreted play types.
?But if these structures are validated, and found to host oil when tested, the potential is singularly impressive, based on the potential volumes we?ve outlined to date.?
CTP announced to the ASX, in August 2008, that the Erec and Lucan leads, largely within the Simpson prospect block, were thought to represent a Devonian carbonate platform reefal complex based on preliminary interpretation. Further seismic acquired during 2010 is now being processed and analysed.
The Erec and Lucan leads have combined potential to host large volumes of Undiscovered Oil (or Gas) Initially in Place (UOIIP or UGIIP) up to a cumulative total in excess of about 5 Bbbls (billion barrels) oil equivalent at ?high? estimate. (SPE definition)
The Erec prospect is a stand alone carbonate platform prospect mapped on diagnostic seismic features with aerial closure of c.185 km2 at top carbonate platform level. Additional plays target lobate slope fans and carbonate platform rim facies. The Lucan prospect is a similar play located on the Madigan Nose with four way dip closure (4wdc) potential at the top carbonate platform level of 160 MMbbls UOIIP oil equivalent ?high? estimate. The gross vertical extent of closure potentially available in the Erec and Lucan plays varies between 50 to 300m across these two structures.
Seismic profile and interpretation of the new Devonian Pellinor Reefal Complex associated with the Hale River Fault Trend in the Pellinor Prospect Block
The seismic line shown across the new interpreted Pellinor reefal complex play clearly depicts interpreted Devonian/Carboniferous fore reef/ reef core/ back reef facies which are productive in many of these types of sequences around the world. This type of interpreted reef play, and the platform play interpreted at the Erec and Lucan prospects, are analogous in gross geological structure to several prolifically producing Devonian oil fields in the world.
The clear seismic signature at the interpreted Pellinor Reef structure adds credence to the regional model previously described at the Erec and Lucan Prospects. These interpretations then indicate the possibility of such play types extending from the northern margins of the Pellinor prospect block to the Simpson/Colson areas ? a distance of nearly 100 km.
The Company has a number of significant oil plays and prospects in the Pedirka Basin and is currently attempting to mature several of them for potential drilling in a proposed programme for 2011. Delays brought about by wet weather have hampered efforts to complete seismic uphole velocity shooting which is required to fine tune seismic processing.
John