DENVER, Sept. 24, 2012 /PRNewswire/ -- Magellan Petroleum Corporation (NASDAQ: MPET) today announced that its Board of Directors has approved a new stock repurchase program whereby the Company is authorized to repurchase up to a total of $2.0 million in shares of its common stock. This authorization supersedes the prior plan announced by the Company on December 8, 2000, and will expire on August 21, 2014. The shares may be repurchased from time to time in open market or privately negotiated transactions, subject to market conditions and other factors, including compliance with securities laws. Stock repurchases may be funded with existing cash balances or internal cash flow. The stock repurchase program may be suspended or discontinued at any time.

"I'm very pleased with the Board's decision to approve this new share repurchase program.  I believe this program is indicative of the Board's confidence in our Company's value potential.  Furthermore, I believe this program could provide support to our share price while we work to deliver enhanced stockholder value by executing our strategy in the coming fiscal year," stated Tom Wilson, President and CEO of Magellan.

CAUTIONARY INFORMATION ABOUT FORWARD LOOKING STATEMENTS
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934.  Magellan cautions that any statements contained in this press release that are not strictly historical statements constitute forward-looking statements.  Such forward looking statements include, but are not limited to, the Company's expectations regarding the success of the stock repurchase plan.  These statements are based upon current beliefs or expectations and are subject to various risks and uncertainties, including those set forth in the "Risk Factors" section of Magellan's Annual Report on Form 10-K, its Quarterly Reports filed on Form 10-Q, and other filings with the Securities and Exchange Commission.  Readers should not place undue reliance on any such forward-looking statements, which are made only as of the date hereof.  Although Magellan may from time to time voluntarily update its prior forward looking statements, it disclaims any commitment to do so except as required by securities law.

ABOUT MAGELLAN
Magellan is an independent energy company engaged in the exploration, development, production, and sale of crude oil and natural gas from currently held assets in the United States, Australia, and the United Kingdom.  Traded on NASDAQ since 1972, the Company conducts its operations through two wholly owned subsidiaries, Nautilus Poplar LLC, which owns interests at Poplar, a highly attractive oil field in the Williston Basin, and Magellan Petroleum Australia Limited, a successful independent oil and gas company in Australia and the UK in existence since the 1964.  The Company's mission is to enhance shareholder value by maximizing the full potential of existing assets.  Magellan routinely posts important information about the Company on its website at www.magellanpetroleum.com.

For further information, please contact:
Matthew Ciardiello, Manager, Investor Relations at 720.484.2404

SOURCE Magellan Petroleum Corporation