Drilling Update

19th July 2011

Jubilant Energy N.V.

("Jubilant" or "the Company")

Jubilant spuds the Srikantabari Appraisal Well (S-1) in the southern part of the Tripura block in North Eastern India

Jubilant is pleased to announce that it has spudded the Srikantabari well (S-1) on 18th July 2011 in the Tripura block. This is the first well to appraise the Kathachari-1 (K-1) discovery. The well is located 4 kms north east and up-dip from K-1 and 3 kms south west and down dip of the ONGC's discovery in TMD-1 well (flowed approximately 1.7 mmscfd). The well will be deviated by 650 meters to the south west and will be drilled to a total depth of 3100 meters true vertical depth subsea. The well, which is being drilled by Quippo Oil & Gas Infrastructure Limited, is estimated to take 65 days to drill and will cost approximately USD 11 million on gross basis, excluding the testing cost.

The well will be drilled using managed pressure drilling due to high pressure in the region. This well will test the Middle Bhuban Sands encountered in the K-1 well, one zone of which had flowed 5.2 mmscfd. These sands are expected to be encountered approximately 800 meters up-dip of the K-1 sands. The well is the first deviated well to be drilled by Jubilant and is the fourth well to be drilled on the block.

Management's best estimate of gross un-risked prospective resources is 800 bcf for a deviated well compared to previous estimate of 480 bcf for drilling S-1 as a vertical well, as in the deviated well it is expected to encounter an additional sand package.

Further, as part of the Katharchari-1 appraisal programme (which was approved by The Director General of Hydrocarbons in February 2011), Jubilant has completed seismic data acquisition of 160 lkm prior to the onset of the rainy season. The remainder of the survey will commence after the rainy season and will be completed by September 2011. This work was carried out in the southern part of the block, in and around the Katharchari-1 discovery well. Pursuant to the initial work programme, the total seismic survey length was 137 lkm, which was later extended to 180 lkm.

Jubilant is the operator of this block and holds a 20% participating interest, through its wholly owned subsidiary Jubilant Oil and Gas Private Limited in India.

For further information, please contact:

Competent Person's consent for Release-

Maxwell Birley, BSc in Geological Geophysics, the Company's Chief Operating Officer, has over 30 years of international experience in the exploration and production industry. He has reviewed and approved the technical information contained in this announcement pursuant to the AIM guidance note for mining and oil and gas companies.