Spring Energy reports further exploration success in the Company's third exploration well recently completed on the Beta prospect in PL 375 (34/4-11), located 15 km Northwest of the Snorre Field.

The objective of the well was to prove hydrocarbons in the Middle Jurassic Brent Group as well as the Lower Jurassic Dunlin Group and Statfjord Fm. The well proved high quality oil in the Brent Group and in the Statfjord Fm.

The size of the discovery is estimated to between 7 and 40 million standard cubic meters (44 - 252 MB) of recoverable oil.

Spring Energy has a 15% working interest in the license.

The well was not production tested, however extensive data acquisition including fluid sampling has been carried out which substantiate the discovery. The well will be temporarily abandoned to allow for future appraisal drilling.

The well was operated by Petro-Canada Norge AS on behalf of the PL 375 license group using the rig Songa Delta.

The success on Beta completes an excellent first year of exploration drilling for Spring Energy. During 2009 Spring Energy has participated in three wells, resulting in the successful Bream appraisal well (with 2 horizontal sidetracks), the significant Grosbeak oil and gas discovery in PL 378 and finally the success on Beta. All three wells have added significant value for shareholders.

Furthermore, since the start of 2010 Spring Energy has become a producing company through the recently announced transaction with Wintershall, where Spring Energy took over a 2.5% interest in the Brage Field.

With Spring Energy participating in at least 5 exploration and appraisal wells during 2010 shareholders are exposed to significant value accretion in the event of further success.

Tags: Spring Energy