Matra Petroleum plc says that its Hungarian subsidiary has signed a contract with Rotary Drilling of Hungary for the drilling of two exploration wells on the Inke Concession in Hungary. Rotary drilling has confirmed the availability of its rig 42 at the completion of operations at its current location, this is currently anticipated by mid-May.

The rig will be used to drill the Pamuk-1 and Polany-1 wells, both located within the 2007 3-D seismic survey on the northeastern sector of the concession. The Pamuk-1 will be drilled to a depth of 2000m and is expected to take 20 days to drill and log.

The Polany-1 will be drilled to a depth of 1600m and is expected to take 18 days to drill and log. The total cost of the two well programme is $5 million gross ($2 million net to Matra).

Both prospects exhibit strong Direct Hydrocarbon Indicators (DHI's) based on modelling of the 2007 seismic survey.

Matra has a 40% interest in the Mezocsokonya Exploration License and in the Inke concession.