Contingent Resources of 42 million barrels gross of conventional oil (21 million barrels net to Tethys) has been identified in the third party resource audit of Blocks 3 and 4, onshore Oman conducted by Gaffney, Cline & Associates (GCA), the independent international petroleum consultancy.

The resource report covers the Farha South structure on Block 3 and the Saiwan East structure on Block 4. The audit is based on data available as at May 1 and include information obtained from the Saiwan East-2 and Farha South-3 wells drilled in 2009, combined with data from the recently completed 3D seismic study over the Saiwan East structure as well as information from previous 2D seismic studies and wells on both Blocks.

The Best Estimate (2C) of Gross Contingent Resources on Block 3, Farha South, is estimated to amount to 8.9 million barrels in the Barik layer and 12.2 million barrels in the Lower Al Bashir. On Block 4, Saiwan East, the 2C Gross Contingent Resources within the Khufai layer is estimated to amount to 20.8 million barrels. In addition the Miqrat and Amin heavy oil layers in Saiwan East are estimated to hold 2C Contingent Resources of 32.7 million barrels gross . Tethys has a 50 per cent Working Interest in the licences covering Blocks 3 and 4, so the Contingent Resources net to Tethys are 50 per cent of the gross number before government take.

"The numbers are very encouraging and show that we are heading the right way with our plans for Blocks 3 and 4. This is an excellent start in proving the potential of Blocks 3 and 4 and as the year moves on and appraisal drilling continues we are confident we can increase the resource base further and also move up into the reserves category. It is also worth noting that already at this early stage we are able to include a small resource number for the Saiwan East heavy oils," says Magnus Nordin, Managing Director of Tethys Oil AB.

GCA's independent third party resources and reserves report is provided according to standard of The Society of Petroleum Engineer's Petroleum Resources Management System (SPE PRMS), also adopted by WPC, AAPG and SPEE. GCA is an independent international petroleum consultancy. The firm is focused on the provision of integrated technical and managerial services and independent advice to all sectors of the oil and gas industry. GCA has over forty years of experience, also with a considerable background of work in the Middle East, including Oman.

Tethys has a 50 per cent Working Interest in the licences covering Blocks 3 and 4. Consolidated Contractors Energy Development (Oman) Ltd holds the remaining 50 per cent and is Operator.


This release is an extract of that published by the Issuer. Accordingly, MAC Capital Limited accepts no responsibility to the accuracy of the information provided.

About Tethys Oil AB

Tethys Oil is a Swedish energy company focused on identification and development for production of oil and natural gas assets in the Middle East, North Africa and Europe. Tethys' strategy is to primarily invest in projects in areas with known oil and natural gas discoveries that have not been properly appraised using modern technology. In this way, high returns can be achieved with limited risk.

The company has interests in licences in Oman, Morocco, France, Spain, Turkey and Sweden. The shares are listed on First North (TETY) in Stockholm. Remium AB is Certified Adviser.

Website: www.tethysoil.com

For further information, please contact
Magnus Nordin
Managing Director
Phone +46 8 679 4995
magnus@tethysoil.com

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