Significant Oil Bearing Sands

Hardman Resources Ltd ("Hardman") found significant oil bearing sands in the Chinguetti 4-2 well, offshore Mauritania. Chinguetti 4-2 is located in PSC Area B. The well is being drilled onthe northern (upthrown) flank of the Chinguetti structure,approximately 2.5 kilometers north of the Chinguetti-1 discoverywell, which was located on the downthrown fault block. This well isconsidered to be a significant step out from the discovery well andis evaluating a geologically separate portion of the prospect.Since the last progress report (13/8/02) the cored interval from2,385 to 2,428 meters was opened from 8(1/2) to 12(1/4) inches, a 12(1/4) inch (311mm) hole was drilled to total depth of 2,655 meters and acquisition of wire-line evaluation logs was commenced.Preliminary evaluation of the wire-line log data indicates that thewell has intersected several oil-bearing sandstones in the primaryobjective over a gross hydrocarbon interval in the well of 94 meters.A shallower zone contains gas-bearing sandstones over a 3-meterinterval.The logging and evaluation programme is continuing and wire-linesamples of the fluid in the well are currently being obtained.Following completion of the logging programme, the Joint Venture hasagreed to undertake production testing over portions of the primaryoil zone during the next two week period after the running andcementing of 9(5/8) inch casing.

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