Venture Production provides an update on recent drilling activity in the east Irish Sea and the southern North Sea.

The Marram appraisal well, which was spudded on 1 July 2009 using the Ensco 92 jack-up rig, has proven gas in the eastern part of the field. The well reached a total measured depth of 2,020ft on 9 July 2009 and encountered a gross gas column of 469ft within the Ormskirk Sandstone. Down hole samples were taken to confirm the gas quality and the initial analysis indicates that the gas quality is within the pre-drill expectation range. A preliminary assessment of the well results indicates that the gas in place ('GIIP') volume is also within the pre-drill range of expected outcomes. The nitrogen content in the down hole samples is material but other fields in the same area have been successfully developed despite having high nitrogen content and processing facilities already exist in the local infrastructure. A final evaluation will be completed over the next few weeks and potential development options are being reviewed.

The Marram well was designed to appraise the eastern section of the Marram gas discovery made in 1993. Venture holds a 70% interest in the field which is located in blocks 110/4 and 110/9b in the Morecambe Bay area of the East Irish Sea. The discovery lies on trend with both the producing Hamilton and Lennox fields, and is close to the Morecambe field complex. The blocks in which Venture has an interest also have exploration prospectivity and contain up to six additional Sherwood sandstone exploration leads. The well was operated by Senergy on Venture's behalf.

Andrea Exploration Well (Venture 100%) - Southern North Sea The Andrea well 48/15b-10 commenced drilling from the Noble Julie Robertson jack-up drilling rig on 6 June 2009 and entered the reservoir 60 feet high to prognosis on 10 July 2009 confirming gas bearing sands. The well was designed to test a Leman sandstone and cores are currently being taken to confirm reservoir quality, prior to drilling to total depth ("TD") and testing the well.

Andrea, which is located in the 'A' Fields production hub, has the potential to be Venture's largest discovery to date with pre-drill recoverable resource expectations of between 3 and 44 million barrels of oil equivalent ('MMboe'). Although reservoir quality needs to be proven before any resources could be deemed commercial, confirmation of gas bearing sands eliminates the primary 'trap effectiveness' risk and it is anticipated that within approximately two weeks the remaining critical information required to confirm estimated recoverable resources will be available.

At 31 March 2009, in its total proven and probable reserves of 240 MMboe, Venture had no booked reserves associated with either Marram (contingent resources) or Andrea (prospective resources). In addition, this figure did not take into account the impact of either the successful second Cygnus appraisal well or the successful Kew appraisal well.

Commenting on the news, Mike Wagstaff, Chief Executive said, "As the largest holder of net exploration acreage in the UK North Sea, the continuing success of our 2009 drilling campaign underlines the breadth of the exploration and appraisal opportunities in our portfolio. Following extensive seismic re-processing activity on the Andrea prospect we're delighted that we have confirmed further potential gas resources in our core 'A' Fields hub. On a risked basis the Andrea well was one of the top opportunities in our 2009/10 drilling programme and the information so far is extremely encouraging. With the opportunity being so close to existing infrastructure, rapidly unlocking the value of any discovery should be relatively straightforward. We will provide a further update as soon as the remaining well evaluation data is acquired. On completion at Andrea the Noble Julie Robertson will move to the East Annabel extension well, also within the 'A' Fields hub, targeting another substantial low risk opportunity.

As well as the encouraging news from the 'A' Fields, confirmation of gas in the eastern section of the Marram field and the potential for a commercial development is also a positive result and one that validates our 2008 entry acquisition to the east Irish Sea. We now look forward to our nearby Whitbeck exploration well, the next activity in the Ensco 92 rig campaign."

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