Drilling Update

18th April, 2011

PRESIDENT PETROLEUM COMPANY PLC

("President" or "the Company")

Drilling Update

Northumberland 2 Well, PEL 82, South Australia

HIGHLIGHTS

·; Northumberland 2 drilled to schedule and budget

·; A significantly thicker than expected primary hydrocarbon reservoir present, the Waarre, extending to over 650 metres thick and still continuing at the time drilling ceased

·; Whilst no commercial discovery made some very encouraging hydrocarbon fluorescence up to 60% and gas shows up to 3% C1 to C5 visualised and measured and supported by core samples and mudlogs

·; First well to prove significant hydrocarbon charge in the onshore area of the Late Cretaceous of the South Australian sector of the Otway Basin

·; Presence of a top seal confirmed but seal at this location thinner than forecast relative to the throw of the bounding fault of this particular structure

·; Significant de-risking of other prospects in PEL 82 as hydrocarbons are now proven with thick primary sandstone reservoir

·; Work now being carried out on the many other structures in PEL 82 to identify where fault throw is less or seal is thicker

The Northumberland 2 exploration well has been drilled to a measured depth of 3,427 metres with the primary target reservoir, the Waarre sands extending even deeper beyond this point. The well was drilled to schedule and budget and extensive logging has now been completed, including a drill stem test over a 30 metre section.

Detailed results from the well

·; Whilst wire-line logs and the results of the drill stem test did not indicate moveable hydrocarbons in commercial amounts the evidence points to considerable quantities of condensate and gas having migrated through the very thick Waarre sandstones.

·; Although hydrocarbons have not been trapped at the well location because of thinner than forecast seal and a possible leak window to the next fault block, importantly the presence of a top seal to the Waarre sands being Belfast mudstone has been confirmed. No material Flaxman sands were identified in the well.

·; The results of this well show evidence of hydrocarbons from core samples and logs, and the materially deeper than expected Waarre sands are very encouraging. This points to significantly greater potential for economic gas condensate and/or oil to be preserved, and in greater volumes than previously projected in many other structures within the PEL 82 licence, where fault movement is less or the seal thicker. Indeed structures in the north of the licence have yet to be covered by a higher resolution 3D seismic. Prospective resources for the PEL 82 licence remain similar to the previously estimated 430mmbbls of oil or 630Bcf of gas, due to the materially thicker sands.

·; President have identified a number of potential hydrocarbon bearing structures and by way of example the first location to which President is applying the learnings so far obtained, albeit originally a relatively small structure, on current information has benefited from an over 50% increase in volumes of recoverable hydrocarbons.

·; Accordingly as there has now been a substantial de-risking by the confirmation of charging of a potentially thick reservoir, President is now addressing the other risk as to sealing and detailed work will now be carried out to identify areas for further work both seismic and drilling.

Commenting on today's announcement, Peter Levine, Chairman of President Petroleum Company Holdings BV said:

"Interestingly it may be said that the value proposition of the PEL 82 licence is greater now than before the drilling of the well, both in terms of increased potential and reduction of risk.

Whilst Northumberland 2 has not made a commercial discovery, the clear identification of hydrocarbons in the system with a significantly thicker than expected reservoir sand, has given encouragement and impetus to move forward with further work on this licence. Now that one of the two main questions has been de-risked, our attention is focused on identifying structures with a complete and effective seal and we move forward on this task with some optimism as much of the licence has not yet been covered by high resolution seismic.

Now that the two legacy prospects have been drilled, and notwithstanding the important work now continuing on PEL 82, President clearly recognises the priority of exponentially growing the Company and is very much focused on pursuing acquisition opportunities. President remains in a strong financial position with substantial current net cash balances, and continues to be well funded with the ongoing support of its major shareholder Levine Capital Management. Patient and careful progress is being made in various directions and further announcements will be made as soon as appropriate."

For further information contact:

President Petroleum (AIM: PPC), is an oil and gas exploration and production company with onshore producing and exploration assets in Louisiana, USA and onshore exploration licences in South Australia. The PEL 82 licence in South Australia is 100% owned by President.

Dr Jonathan M Cohen, FGS, C Geol, Executive Vice President Exploration, meets the criteria of qualified persons under the AIM guidance note for mining and oil and gas companies, has reviewed and approved the technical information contained in this announcement.