Portland Gas plc provides an update on the current operations of the company.

In Northern Ireland a drilling rig has been secured from British Drilling and Freezing Company Limited to drill a borehole to confirm the suitability of the Permian salt sequence for the creation of caverns below Larne Lough. It is currently estimated that drilling operations for the borehole will commence in January 2009.

Engineering design and site preparation work is progressing for the Portland project, to ensure drilling operations can commence for the cavern boreholes in the summer of 2009. The process to seek funding for the Portland project through the introduction of Joint Venture partners is progressing in accordance with an agreed timetable. Binding bids for this process are due shortly and the Company will provide an update on the process at the time of its Preliminary Results announcement, scheduled for 10th October 2008.

Tags: British Drilling and Freezing Company Limited, Portland Gas plc