Bounty Oil And Gas Nl (ASX:BUY) Utopia 11H Spudded

Sydney, May 20, 2011 AEST (ABN Newswire) - Bounty Oil & Gas NL (ASX:BUY) (PINK:BYOGF) announces an update on it's oil development drilling program in the Utopia Field.

The Utopia Field lies 50km southeast of the town of Eromanga, in SW Queensland and contains oil reserves of 3 MMbo (1.2 MMbo net to Bounty) in the Murta Formation which are being actively developed by Bounty and its partner Bridgeport Energy Limited. In 2009/10 the partners drilled four productive oil development wells the last of which was the Utopia 10 well.

Due to rains and rig maintenance the drilling of the Utopia 11H oil development well has been delayed but it has now spudded. The well is a short leg horizontal development and is expected to build to the horizontal above the reservoir over the upcoming weekend and to be in the reservoir by Monday morning.

Utopia 11H will twin the Ufouria 1 well down as far as 905 metres where 7 inch casing will be run and cemented. The directional section of the well will kick off at 920 metres and the main hole will be drilled for up to 300 metres in the Murta zone towards Utopia 1. A slotted liner will then be installed followed by production tubing and a beam pump.

Reservoir modeling suggests that a horizontal well will substantially increase the oil production in comparison to an un-stimulated vertical well. The production results of Utopia 11H and the fracture stimulated Utopia 10 well will determine the optimum well design to develop the substantial remaining reserves in this field.

For the complete announcement including Utopia Field location map, please refer to the following link:
http://www.abnnewswire.net/media/en/docs/635243.pdf

Contact

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