Northern announces that together with Shell Italia E&P S.p.A. (“Shell”) it will be acquiring a 3D seismic survey in their joint exploration area offshore Sicily. Shell will fund the prospect defining programme in the joint venture held thrust belt offshore of western Sicily. The joint venture currently covers six offshore licences - G.R17.NP, G.R18.NP, G.R19.NP, G.R20.NP, G.R21.NP and G.R22.NP covering a total area of 4350 km² in which a 2300 km 2D seismic survey was recorded earlier this year.

Under the terms of the farm-out agreement (“Agreement”), Shell hold 55% in G.R17.NP, G.R18.NP and G.R19.NP; and 70% in G.R20.NP, G.R21.NP and G.R22.NP. Northern will continue as the operator during the seismic phase and Shell will assume operatorship for the drilling phase.

Commenting on the programme Derek Musgrove, Managing Director, Northern, said “This progresses one of the most exciting areas for exploration and material growth for Northern as well as significantly increased expenditure. Shell brings to this venture experience of exploration and production in the southern Italy part of the same Apennine-Mahgrebian Thrust Belt where the major oil fields of Val d’Agri and Tempa Rossa have been developed. The venture can also call upon their international major project and offshore expertise. If drilling is successful it could open up a whole new Western European and North African hydrocarbon province.”

In accordance with the AIM Rules – Guidance for Mining and Oil & Gas Companies, the information contained in this announcement has been reviewed and signed off by the Exploration and Technical Director of Northern Petroleum Plc, Mr Graham Heard CGeol FGS, who has over 35 years experience as a petroleum geologist.

For further information please contact:

Northern Petroleum Plc
Tel: +44 (0) 20 7469 2900/61
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

Northern announces that together with Shell Italia E&P S.p.A. (“Shell”) it will be acquiring a 3D seismic survey in their joint exploration area offshore Sicily. Shell will fund the prospect defining programme in the joint venture held thrust belt offshore of western Sicily. The joint venture currently covers six offshore licences - G.R17.NP, G.R18.NP, G.R19.NP, G.R20.NP, G.R21.NP and G.R22.NP covering a total area of 4350 km² in which a 2300 km 2D seismic survey was recorded earlier this year.

Under the terms of the farm-out agreement (“Agreement”), Shell hold 55% in G.R17.NP, G.R18.NP and G.R19.NP; and 70% in G.R20.NP, G.R21.NP and G.R22.NP. Northern will continue as the operator during the seismic phase and Shell will assume operatorship for the drilling phase.

Commenting on the programme Derek Musgrove, Managing Director, Northern, said “This progresses one of the most exciting areas for exploration and material growth for Northern as well as significantly increased expenditure. Shell brings to this venture experience of exploration and production in the southern Italy part of the same Apennine-Mahgrebian Thrust Belt where the major oil fields of Val d’Agri and Tempa Rossa have been developed. The venture can also call upon their international major project and offshore expertise. If drilling is successful it could open up a whole new Western European and North African hydrocarbon province.”

In accordance with the AIM Rules – Guidance for Mining and Oil & Gas Companies, the information contained in this announcement has been reviewed and signed off by the Exploration and Technical Director of Northern Petroleum Plc, Mr Graham Heard CGeol FGS, who has over 35 years experience as a petroleum geologist.

For further information please contact:

Northern Petroleum Plc
Tel: +44 (0) 20 7469 2900/61
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