At the Annual General Meeting (“AGM”) today the Chairman, Richard Latham made the following statement.

“This is an unusual location for an AGM, but it is our pleasure to be here with you in the Forestside & Stanstead Social Club and take the opportunity to show our shareholders the way in which some of our UK operations are conducted. Later today we will visit the Markwells Wood drilling site and one of the older Weald basin oil production sites at Horndean. You will see at firsthand how we take care to fit our operations into this beautiful part of England and interact with our neighbours in the local community.

2008 saw progress with Italian trades and farm outs, most notably to Shell Italia, and an extremely profitable exit from our “non core” gas storage interests at Waalwijk in The Netherlands. Thus we entered 2009 with a further strengthened balance sheet. Net cash and working capital were a combined €52million. This positions us to complete our six field developments onshore The Netherlands and have financial comfort as we enter a new period of growth through further development of existing discoveries and exploration drilling.

The takeover of ATI Oil Plc increased our Proven and Probable reserves by a third to 103mmboe. We now have full management control and flexibility to speed up the development of the very considerable potential of our Italian projects.

In the Netherlands we have seen four very successful hydraulic fracturing operations increasing the production rate potential of our gas fields which are expected to start coming on-stream later this year. The programme has been successful beyond both our and our partners’ expectations.

Given the progress this year I, like you, must note the share price has not seen the response we would have expected. Even whilst understanding the effects of the economic turmoil we have all experienced, I am disappointed though taking small comfort in that our share price has outperformed both the AIM Index and AIM Oil and Gas Index 21%* and 35%* respectively. Being closer to first production in the Netherlands which is expected to commence in a matter of months, we know this will transform Northern and should finally reward us for all our efforts and your patience. It will be the first important milestone in our stated strategy, which may I remind you has remained constant over the years.

Our assets are in geopolitically safe areas. Northern plans to build on its already strong and impressive list of partners in the Netherlands and Italy and reinvest our near term profits into other areas of significant potential within the existing portfolio of more than 50 licences.

The Shell Italia farmin to offshore Sicily has helped to increase interest in our farmout activities. Offshore Italy contains several core areas that we feel offer the greatest medium and long term potential for material growth. As you’ve seen these Italian projects were extensively reported on in the Annual Report & Accounts.

In the Netherlands our technical work has confirmed an additional undeveloped gas discovery in the Andel III licence and three further undeveloped oil and gas discoveries in the adjacent Utrecht licence. We have also entered into agreements that are expected to lead to two further gas discoveries being incorporated into our reserves. I believe that two technical successes should be recognised. At Nieuwendjik the Casing While Drilling operation achieved a European and eastern hemisphere record of 780metres (2,567 feet) drilling. Next month we may exceed this record when drilling the Tiendeveen gas prospect close to the Geesbrug field. We also supported a new Netherlands drilling rig design which has proven its worth at Niewendijk and is currently involved in operations at Geesburg.

For the United Kingdom activities we look forward to a multi well drilling programme. Planning permission has been granted to drill at the Markwells Wood and Havant sites. Both were chosen for their minimal environmental impact. Northern remains deeply conscious of its commitments to being a good neighbour to the local community and is committed to health and safety and rational preservation and enhancement of the environment. Two further wells are being planned nearby in Hampshire and West Sussex, both to appraise oil discoveries.

Undoubtedly we are in a better position than we were a year ago. When the results of the hydraulic fracturing of our fifth Dutch well, Geesburg, are known there may result in a significant upgrading of our production and profitability forecasts and, I might reasonably suggest, our share price. I again mention that the hydraulic fracturing programme has exceeded all our expectations, our reserves have increased by a third, and our balance sheet is stronger. Production and revenues from our development projects in The Netherlands are closer and increase confidence that we will realise the potential we have ahead”.

* Indices v NOP 20th July 2008 – 20th July 2009

For further information please contact:

Northern Petroleum Plc
Tel: +44 (0) 20 7469 2900/61
Richard Latham, Chairman
Derek Musgrove, Managing Director
Chris Foss, Finance Director
Graham Heard, Exploration & Technical Director
Sophie Hull, Head of Corporate Communications

Jefferies International
Tel: +44 (0) 20 7029 8000
Chris Snoxall / Schuyler Evans

Astaire Securities
Tel: +44 (0) 20 7448 4400
Jerry Keen / Toby Gibbs

Bishopsgate Communications (Press)
Tel: +44 (0) 20 7562 3350
Nick Rome / Michael Kinirons

Buchanan Communications (Analysts)
Tel: +44 (0) 20 7466 5000
Tim Thompson / Ben Romney