blackwood-2 progress report no.1

MELBOURNE, AUSTRALIA (28th October, 2013)

MEO Australia Limited (ASX: MEO; OTCQX: MEOAY) advises that the Ensco 104 jack up drilling rig was handed over to the NT/P68 Joint Venture on 26th October and arrived on location on 27th October. The drilling program is expected to take around 65 days.

Blackwood-2 is expected to spud within the next few days and is planned to be drilled to a depth of 3,360mRT. The appraisal well is approximately 8km from the Blackwood-1 discovery well and will provide a greater understanding of the distribution of reservoir properties, clarify the position of the Gas-Water-Contact and provide an indication of productivity.

The drilling of Blackwood-2 is an obligation under the NT/P68 Farm-in Agreement (FIA) dated 17th May 2011 between Eni Australia Limited (Eni) and MEO. Under the FIA and subsequent amendment, MEO’s 50% participating interest share of the costs of the well will be carried. MEO intends to release weekly progress reports.

MEO’s CEO and MD Jürgen Hendrich commented on the announcement:
“We have eagerly been awaiting the drilling of the Blackwood-2 appraisal well. The results will help us to gain a better understanding of the resource size and the potential for the resource to underpin
or complement a commercial development.”