Mart Resources provides the following updates on its drilling activities and operations in Nigeria.

Qua Ibo Field The Qua Ibo-3 well has now reached a total depth (“TD”) of 10,037 feet (7,367 feet vertical depth). The D5 reservoir target was encountered at the anticipated depth of 9,816 feet (7,220 feet vertical depth). A suite of open hole logs were run that have shown the D5 zone to be waterbearing at this location. A cement plug is being installed at the bottom of the casing and the well has been suspended. All other operations on the site will also be suspended pending an analysis and evaluation of the drilling results. Mart and its partner, Network Exploration & Production Nigeria Limited (“Network”, the operator of the Qua Ibo field) intend to revise their interpretation of seismic data over the field based upon the results of the Qua Ibo-3 well.

The Qua Ibo field was discovered in 1960 by Shell-BP, who acquired 2D seismic over the field and drilled two wells. Both of these wells encountered oil in two zones, the D5 and C4 reservoirs, but the field was not put into production. Depending on the results of the full analysis of the Qua Ibo 3 well, one possible option would be to drill a sidetrack to a different position within the D5 reservoir. Appraisal of the C4 reservoir has been planned for a subsequent well.

Umusadege Field Drilling of the UMU-5 well is ongoing and has achieved a depth of 7,374 feet. The well has taken longer than originally scheduled due to a number of mechanical problems encountered during the drilling process. Mart and its partners, Midwestern Oil & Gas Company PLC (Operator) and Suntrust Oil Company Nigeria Limited, plan to drill this well to a TD of 7,775 feet. A further announcement will be made once the well has reached TD and logs have been run.

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