28 June 2010 - Catcher East Oil Discovery

Press Release

For immediate release: 28 June 2010

EnCore Oil plc (‘EnCore’ or ‘the Company’)

Catcher East Oil Discovery

EnCore Oil plc (LSE: EO.) is pleased to provide an update on the Catcher East side-track well located in UK Central North Sea block 28/9.

The 28/9-1Z well has successfully encountered excellent quality oil bearing sandstones very similar to those in the Catcher discovery well, with average porosity of approximately 34 per cent. Initial analysis indicates 82ft of net hydrocarbon pay over a gross interval of over 236ft. A core was taken in the main sand body which recovered 44ft of oil bearing sand.

The well was drilled to a total depth of 5,931ft Measured Depth (MD) and no oil water contact was encountered. Initial pressure data indicates a common pressure regime between Catcher East and Catcher and on this basis, an oil column of 267ft has been proven.

Initial analysis of the data indicates that both Catcher East and Catcher are likely to be part of a single significant oil accumulation.

EnCore and its co-venturers have now decided to drill an additional side-track to the south west of the original 28/9-1 Catcher discovery well. The aim of this well is to determine the presence or otherwise of additional reservoir sands not encountered in the original Catcher well. This side-track, to be known as the 28/9-1Y Catcher SW Appraisal, will commence following completion of the current Catcher East side-track operations and will take approximately 10 – 15 days, dependent upon weather and operational delays. This will be the final well in this phase of the Catcher area appraisal drilling programme.

The co-venturers will now integrate the information obtained from this drilling programme to determine the next steps for Catcher and an appropriate appraisal programme for the licence, which will also target other high potential prospects on the licence, most of which have now been significantly derisked.

Alan Booth, EnCore's Chief Executive Officer, commented:

“The results of this side-track have confirmed that Catcher and Catcher East are one contiguous accumulation. Initial analysis of the seismic data, now calibrated by drilling, suggests that block 28/9 could possibly contain a series of discoveries that would form one of the larger North Sea oil accumulations of recent years. EnCore’s initial scoping analysis indicates that the Catcher feature (including East and North) may contain Oil in Place of up to 300 mmbbls. Further work will be needed to determine likely recovery rates. In addition, the surrounding prospects in the block, which have yet to be appraised, could add very significantly to this number. The Catcher drilling programme has to date delivered a truly exceptional result, and I would like to thank both our own staff and those of our co-venturers for their commitment to wildcat exploration in the UKCS.”


Click here for pdf of announcement

The equity in the joint venture partnership is as follows: EnCore Oil plc (15 per cent., Operator), Premier Oil (35 per cent.), Wintershall (UK North Sea) Limited (20 per cent.), Nautical Petroleum (15 per cent.) and Agora Oil & Gas (15 per cent.).

Peter Williams B.Sc. (Hons.) in Physics and EnCore’s Group Technical Manager, who has over 35 years' engineering experience in the oil exploration and production industry, has reviewed and approved the technical information contained in this announcement.

For further information, please contact:

Notes to Editors:

The 28/9-1 original Catcher discovery established a minimum 240ft oil column with a calculated net pay of 90ft.

EnCore Oil plc (LSE:EO.) is an oil and gas exploration and production (E&P) company quoted on AIM.

It is not the Company’s aim to build a full cycle E&P company. The principal strategy is to create shareholder value through the successful exploration and appraisal of prospects and discoveries. The Company will seek to monetise or exchange the asset at the appropriate point in its life cycle and return value directly to shareholders wherever possible.

EnCore has an experienced and proven management team, a number of whom were responsible for the discovery of the Buzzard field in the UK North Sea, which currently produces over 10 per cent. of the UK’s total oil production.

All EnCore’s commercial and material technical evaluations are undertaken in-house by the EnCore team. This brings both continuity to the management and development of the assets and an ownership that is vital to unearth the best and most creative new ideas and opportunities.

www.encoreoil.co.uk

Monday, June 28, 2010