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Expansion of Shale Gas Acreage in Poland

Source: www.gulfoilandgas.com 11/2/2010, Location: Europe

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San Leon is pleased to announce that its wholly owned Polish subsidiary Oculis Energy Sp. z o.o. (Oculis) has expanded the Concession for oil and gas reconnaissance and exploration and the mining usufruct agreement following an application process with the Polish Government. San Leon currently has 100% interest in the Concession.

The Concession, totalling 894.41 km2, is located in the Baltic Basin, onshore northern Poland, across license blocks 48 and 49.

The Concession is valid for up to 5 years and covers a work programme which includes geological studies, 280 km 2D seismic acquisition and a one well drilling obligation. The Concession also has an optional 3D seismic survey and an additional two wells.

The expansion of the Gdansk W Concession increases the total area of the farm-out agreement with Talisman Energy.

Oisin Fanning, Chairman of San Leon commented

"This latest award in this very sought-after shale gas area confirms our drive to early production in Poland and is a welcome affirmation by the Polish authorities. The Concession is on trend with recent drilling by Lane Energy and its partner ConocoPhillips and is also within the scope of our farm-out agreement with Talisman Energy. We are very much looking forward to the operational period, which is already in the advanced planning phase."

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