OilVoice - Manas Petroleum Provides Albania Update

Manas Petroleum Provides Albania Update

Tuesday, July 21, 2009

Manas Petroleum Corporation announces that its wholly owned subsidiary, DWM Petroleum AG signed an extended farmout term sheet covering Blocks A, B, D, E, 2 and 3 in Albania to a Finance group of international Oil and Gas investors. Both parties have agreed to keep the terms confidential until the signing of a shareholders’ agreement.

Erik Herlyn, Chief Executive Officer of Manas Petroleum Corp.: "With this farmout Manas could both lift the large exploration potential of blocks A, B, D and E and additionally drill a well to appraise the Sphiragu discovery in blocks 2 and 3.” This farmout is consistent with Manas` core strategy of acquiring major oil and gas licenses for prospective under-thrust structures and then limiting the financial burdens and risks associated with the exploration and development.

Manas announced the award of Blocks A, B, D and E on December 26, 2007 and has explored the blocks since. Portions of Blocks A, B, D and E are now drill-ready. Blocks 2 and 3 were previously explored by Occidental Petroleum including a 5000 meter deep discovery well in 2001. The council of ministers ratified the Production Sharing Contract for Blocks 2 and 3 to DWM Petroleum on July 8th 2009. Following the award of Blocks 2 and 3, data regarding Occidentals discovery were made available and the Company is currently preparing a 51-101 compliant estimate of the discovery. The farmout is subject to the execution of a final agreement with the farm-out partner.