Bayou Bend Petroleum reports that due to concerns over cost overruns and the general refocus of the Company's business strategy, Bayou Bend did not participate in the sidetrack well on the Smoothe Prospect (South Timbalier Block 49) operated by Mariner Energy, Inc. The Company was subject to a confidentiality agreement prior to results being released by Mariner Energy, Inc.

Bayou Bend Acting President, Keith Hill, stated, "Our focus remains to reformulate our business strategy in the Company including the sale of the Gulf of Mexico assets or a business combination with other operators. The preservation of cash in this difficult market is a prime concern and we therefore elected not to put additional capital at risk on exploration with the risk of further cost overruns. The deadline for bids is February 11, 2009 and we would expect to announce the results of this process shortly thereafter."

Tags: Bayou Bend Petroleum Ltd.