Magellan Petroleum Announces Weekly Drilling Report, Kamel-1 & Burrum-2

HARTFORD, Conn., March 22 /PRNewswire-FirstCall/ -- Magellan Petroleum Corporation (Nasdaq: MPET; ASX: MGN) ("Magellan") announced that its 100% owned subsidiary, Magellan Petroleum Australia Limited ("MPAL") advises the following drilling report.

Nockatunga Oil Fields - SW Queensland

The Kamel-1 exploration well spudded in PL 51 in the Cooper Basin of southwest Queensland on 16 March. The well was drilled to a total depth of 1,391 meters. Oil shows were recorded in the Murta Member during drilling. Wireline logs have been run and at 06:00 hrs on March 2. The operations were preparing to run DST-1 over the Murta interval.

Maryborough Basin - Queensland

The Burrum-2 well, the second of the two coal seam gas well program in ATP 613P in the Maryborough Basin of southeast Queensland, spudded on March 8. The wells were designed to evaluate the coal seam potential of the previously unexplored Burrum Coal Measures in the northern portion of the Burrum Syncline.

    Burrum-2 was drilled to a total depth of 545 meters, of which the interval
from 115 meters to 390 meters in the Burrum Coal Measures was fully cored.
Several coal seams with a total net thickness of approximately 16 meters were
cored and sampled for desorption analysis. Three Drill Stem Tests were
conducted over coaly intervals in the core section which indicated that the
coals have low primary permeability. Evaluation of the coal seams' gas
potential is continuing.

    Kamel-1  Details:

    Petroleum Title:        PL 51, Queensland
    Location:               Approximately 1.7 km north northwest of Thungo-5
    Coordinates:            Latitude: 27 degrees 42' 16.51" South
                            Longitude: 142 degrees 34' 38.24" East (GDA 94)
    JV Operator:            Santos Limited
    Drilling Rig:           PDI 721
    Total Depth:            1391 meters RT
    Objectives:             Primary - Murta Member; Secondary - Birkhead
    Operations for period:  Kamel-1 spudded on March 16, 2007 and was drilled
                            to a total depth of 1,391 mRT. Wireline logs were
                            run and DST-1 is being conducted over the Murta
    Progress for Period:    1,391 meters.

    Participants in Kamel-1 are:

        Magellan Petroleum Corporation         38.994%
        Santos Limited Group (Operator)        61.006%

    Burrum-2 Details:

    Petroleum Title:        ATP 613P Queensland
    Location:               Approximately 2 km northeast of the township of
                            Howard and approximately 55 km north of the city
                            of Maryborough
    Coordinates:            MGA 94 56457785E 7200350S
    JV Operator:            Magellan Petroleum Corporation
    Drilling Rig:           Depco Rig 22 - UDR 1200
    Total Depth:            545 meters
    Objectives:             Coals of the Burrum Coal Measures
    Operations for period:  Burrum-2 spudded on March 4, 2007 and was drilled
                            in open hole to a depth of 115 m. The well was
                            fully cored from 115 m to 390 m in the Burrum Coal
                            Measures and three DSTs were run. The well was
                            then open holed to a total depth of 545 meters and
                            wireline logs run. Burrum-2 was plugged and
                            abandoned as planned and the rig released on March
    Progress for Period:    155 meters.

    Participants in Burrum-2 are:

        Magellan Petroleum Corporation (Operator)   10%
        Energy Investments Limited                  90%

    Forward Looking Statements

Statements in this release which are not historical in nature are intended to be, and are hereby identified as, forward-looking statements for purposes of the Private Securities Litigation Reform Act of 1995. These statements about Magellan and MPAL may relate to their businesses and prospects, revenues, expenses, operating cash flows, and other matters that involve a number of uncertainties that may cause actual results to differ materially from expectations. Among these risks and uncertainties are the extent of the recoverable reserves at those properties and the risk that any wells drilled may fail to encounter hydrocarbons in commercially recoverable quantities. Any forward-looking information provided in this release should be considered with these factors in mind. Magellan assumes no obligation to update any forward- looking statements contained in this release, whether as a result of new information, future events or otherwise.

SOURCE Magellan Petroleum Corporation