Drilling update - Golaghat Block

18 April 2011

Jubilant Energy N.V.

("Jubilant" or the "Company")

Drilling update - Golaghat Block

Jubilant today announces that the P-16-1 well, which was spudded on 20th March 2011 in the Golaghat Block (AA-ONN-2003/1), reached a total depth of 1625 metres. The well encountered a granitic basement from 1555 metres onwards.

The well tested a NE/SW fault prospect and was drilled through all the potential reservoirs that were previously identified at this location. Based upon drilling, electric logs and MDT data, no hydrocarbons were encountered in the well. The well is thus being prepared to be plugged and abandoned.

The drilling of the well was completed under budget and without any health, safety and environmental incidents. 

The execution of the remaining work program comprising of six additional exploratory wells will be finalised on obtaining forestry land approval.

Jubilant through its subsidiary, Jubilant Oil and Gas Pvt Limited, holds a 10% participating interest in this block and is the Operator. Jubilant Securities Private Limited (JSPL), a company in the wider Jubilant Bhartia Group, also holds 35% participating interest in this block. Jubilant, through its subsidiary, Jubilant Energy (Nelp-V) Pvt Limited, has entered into a business transfer agreement dated 1 April 2007 with JSPL for acquiring its entire stake in the block. This transfer is subject to, inter alia, the parties obtaining consents from various third parties, including the management committee under the relevant Production Sharing Contract and the Government of India.

The other partners in the acreage are Gujarat State Petroleum Corporation Limited with 20% and GAIL India Limited with 35% Participating Interest.

For further information please contact:

Qualified Person:

Max Birley, BSc in Geological Geophysics, the Company's Chief Operating Officer, has 29 years' experience in the international 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.

About Jubilant

Jubilant Energy N.V. is a holding company for a group of companies engaged in the upstream oil and gas exploration and production sector with a portfolio of interests in exploration, development and production assets. The group holds interests in nine blocks in India, one of which is a producing field, one of which is under appraisal and development and the rest of the blocks are in various stages of appraisal and exploration. The group has sole operator responsibilities in six of these blocks.

Jubilant's principal strategy is to create sustainable shareholder value by building and exploiting its diverse portfolio of exploration, development and producing oil and gas assets focusing primarily on India. In particular, Jubilant will seek to monetise the value of its reserves and convert its resources to reserves through focused and economical appraisal and development. The Company intends to seek to maintain a balanced portfolio of production, development and exploration assets, with diversity across fields and basins, hydrocarbon-type, as well as a diverse set of risk/reward profiles.

The Company listed on AIM on 24th November 2010 and is part of the Jubilant Bhartia Group, a prominent diversified Indian business group founded by Shyam Bhartia and Hari Bhartia with a presence in over 65 countries and revenues of around US$1 billion for FY 2010