Bounty Oil & Gas NL (ASX:BUY) Ubute 1 Oil Well Spudded in South West Queensland

Sydney, Nov 9, 2010 AEST (ABN Newswire) - Bounty Oil & Gas NL (ASX:BUY) (PINK:BYOGF) is pleased to announce the Ubute 1 oil exploration well in ATP 560P Eromanga Basin SW Queensland will spud today and be drilled by ADS Rig 6. Ubute 1 lies in the Utopia Block.

Participating interests are:

- Bounty Oil & Gas NL 40%

- Bridgeport Energy Limited 60% (Operator)

Ubute 1 is primarily targeting oil in the Murta Formation and in the Wyandra Sandstone. Oil is proved and being produced from these zones in offsetting wells; principally at the Talgeberry Field to the west, and Utopia Field to the south. The well will test secondary targets in the Namur Sandstone, Westbourne Formation, Adori Sandstone and Birkhead Formation all of which produce oil in the area.

Significant oil shows were recorded in two zones in the nearby Toolerah Creek 1 well.

The well is part of the joint ventures plan to seek expansion of Murta zone oil surrounding the Utopia Field and will intersect all target formations in a four way dip closure. It is planned to tag the Late Devonian age basement at TD of around 1350 mRT. The closure has an area of 2 km2 and is targeting 500,000 barrels of oil recoverable at the Murta Level.

Commenting; Bounty's CEO Philip Kelso said:

"Ubute 1 is the first exploration well drilled for some time in the large Utopia Block which covers over 200 square kilometres. It is part of our core oil development strategy at a time when TAPIS crude is at US $96/bbl and will be the first of 3 wells to be drilled at Utopia in the next 6 weeks. A success will greatly upgrade the potential for Bounty to develop further oil in the Utopia area"

The location of the Ubute 1well and the nearby oil fields and exploration wells and shown on Map 1 below (see link):
http://www.abnnewswire.net/media/en/docs/64131-ASX-BUY-612501.pdf

Bounty also holds 100% of ATP 789P.

Contact

Graham Reveleigh Chairman Tel: +61-7-4033-1805 Email: mining@cairns.net.au Philip F Kelso Chief Executive Officer Tel:+61-2-9299-7200 Email: geo@bountyoil.com http://www.bountyoil.com