Investor Presentaiton
Expansion of Resource
2010 Program - Drilling and ERT
The dual approach to increase the resource base as well as move
resources from Prospective to Contingent was advanced as planned in
2010.
1. An initial review of the ERT survey data indicates the following;
The main portion of the field appears to have confirmed and
expanded the Contingent category.
Additional oil accumulations were discovered in a new area on
the south end of field which will require further assessment.
Cost was US$4.3 million; slightly above the estimate of $4
million.
2. 24 well drilling program was successfully completed;
18 of 24 wells found favorable oil accumulations. 3 wells were
water bearing and 3 wells were drilled in fault areas to assess
ERT interpretation.
Drilling cost was 15% lower than estimated at approximately
US$170,000 per well, due to distribution of support cost to the
ERT and steam flood pilot construction programs.
Cost was US$4.1 million versus budget estimate of $6 million.
Madagascar Oil's preliminary 2011 assessment of the Contingent
areas compared to the 2009 NSAI Contingent areas is shown to the
right. The goal of expanding the total resource and elevate
Prospective areas to the Contingent Resource level will not be fully
assessed until NSAI analysis is completed in July 2011.
17 June 2011
Investor Update
MOIL Est.
Contingent
Area 2011
(yellow)
NSAI
Contingent
Area 2009
(blue hatch)
MADAGASCAR OIL
80 km
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