Bounty Oil and Gas NL (ASX:BUY) New Seaclem 1 Preparing to Spud

Sydney, Dec 13, 2010 AEST (ABN Newswire) - Bounty Oil and Gas NL (ASX:BUY) (PINK:BYOGF) is pleased to announce that the "Ocean Patriot" semi submersible drill rig reached the New Seaclem-1 drilling location, 55 km due east of Newcastle, NSW, and ran the first anchor at approximately 0700 AEDST.

Once all anchors are run, the rig will ballast down and prepare to spud.

New Seaclem-1 is anticipated to spud early on Thursday 16th December.

Bounty will release further details as soon as this information is available.

New Seaclem-1 Well Summary

The New Seaclem 1 well will be drilled in PEP11; 55km east of Newcastle within Commonwealth Waters.

The well will be the first exploration well to be drilled offshore New South Wales.

New Seaclem-1 will target natural gas in the Great White and Marlin stratigraphic prospects contained within the Cainozoic age sedimentary sequence. The specific gas targets are within interpreted Tertiary age sandstone reservoirs in that sequence and on the basis of seismic interpretation and site surveys the Great White/Marlin prospects have prospective gas in place resources of 7 TCF.

Bounty is free carried for all costs of the New Seaclem 1 well. Upon completion of the well Advent Energy Limited will increase its working interest in PEP11 from 25% to 85%. Bounty will thereby reduce its interest from 75% to 15%.

For the complete Bounty Oil & Gas announcement including images, please refer to the following link:

http://www.abnnewswire.net/media/en/docs/64798-ASX-BUY-617106.pdf

Contact

Philip Kelso Chief Executive Officer Tel: +61-2-9299-7200 Email: geo@bountyoil.com http://www.bountyoil.com