ASX Announcement 7 April 2010 Baraka farms out part interest in Georgina Basin permits to Accelerate Exploration Programme
Highlights - Baraka signs farm out agreement on exploration permits EP 127 and EP 128 in prospective Georgia Basin in Northern Territory, retains 25% free carried interest in permits - Baraka retains 75% of Elkedra-7 site within permits with previous oil shows - Accelerated exploration programme planned - First well spud date targeted for late 2010 - Resource evaluation for blocks expected by mid-2010 Baraka Petroleum Limited (ASX: BKP) ("Baraka" or "the Company") is pleased to announce it has signed a farm out agreement with Georgina Basin Energy Pty Ltd ("GBE"), a wholly owned subsidiary of Australia Energy Corporation ("AEC"), over permits EP 127 and EP 128 in the Georgina Basin in the Northern Territory. Under the terms of the agreement, GBE will fund all Barakas exploration obligations up to completion of a well on each of EP 127 and EP 128 to earn a 50% interest in both permits, excluding the area within a five kilometre radius of the Elkedra-7 well. Baraka was previously earning a 75% interest in the permits from Northern Territory Oil Limited and believes that the permits are prospective for hydrocarbons due to previous oil shows and the flows of gas in other wells in the basin, the high organic content Arthur Creek source rocks and the good quality reservoir rocks. Baraka will retain all rights to hydrocarbons in the approximate 75km2 area surrounding the Elkedra-7 well where previous drilling has indicated oil shows. As part of the agreement, GBE has also agreed to: prepare a resource evaluation report on EP 127 and EP 128 within 4 months; and commence drilling of the first well on either EP 127 or EP 128 by no later than December 2010. GBE will become operator of both EP 127 and EP 128, subject to all necessary consents. Key Benefits for Baraka The Board believes this farm out agreement provides a number of key benefits to Baraka including the following: - accelerates exploration on EP 127 and EP 128; - provides upside from the drilling of a well on the permits at least 1 year ahead of the schedule required; - introduces a highly experienced technical team with expertise in analogous geologic basins internationally; - preserves a controlling equity position in the prospective Elkedra-7 area that may be of significant value in the event of a successful exploration find in the Georgina Basin; and - delivers leverage to the upside in the Georgina Basin whilst preserving current cash reserves. AEC has advised Baraka that it is of the opinion that the geology of the Southern Georgina Basin is analogous to areas of the Western Canadian sedimentary basin, where its team has extensive exploration experience. Baraka believes this experience will be a major benefit for the joint venture in the future. AEC plans to complete seismic and a multi-well drilling programme in the Georgina Basin across permits EP 103, EP 104, EP 127 and EP 128 later this year, making it an exciting time for Baraka and the Georgina Basin generally. Following completion of the farm out, Baraka will continue to explore the 75% controlled Elkedra-7 area and assess further opportunities in the oil and gas sector. ends To download a copy of the ASX Announcement click here: http://esp.gewru.com/download/files/12414/1130949/20100407%20-%20Baraka%20farms%20out%20part%20interest%20in%20Georgina%20Basin%20perm.pdf FURTHER INFORMATION CONTACT Collin Vost Non-Executive Director Baraka Petroleum Limited Telephone: +61(8) 9363 1700 Tony Veitch Non-Executive Director Baraka Petroleum Limited Telephone: +61(8) 6436 1802
About Baraka Baraka Petroleum Limited is an ASX-listed oil and gas exploration company with a current focus on the Georgina Basin, onshore Northern Territory. The Georgina Basin, a sparsely explored green field area, is part of the Centralian Superbasin.

Currently there is no hydrocarbon production from the Georgina Basin, however analogous production occurs in the Amadeus Basin to the west and in similar settings elsewhere in the world. Baraka was previously earning a 75% interest in EP 127 and EP 128 from Northern Territory Oil Limited and believes that the permits are prospective due to previous oil shows and the flows of gas in other wells in the basin, the high organic content Arthur Creek source rocks and the good quality reservoir rocks.
--------------------------------------------------------------------------- This email was sent by Felicity Nuttall, PPR (WA) Pty Ltd, Level 1, 588 Hay Street, Subiaco WA 6008 Western Australia to Unsubscribe: http://esp.gewru.com/forms/u/5048315/12414/1784989815.html ---------------------------------------------------------------------------