Investment Update

4 February 2009 AIM: XTR XTRACT ENERGY PLC ("Xtract" or the "Company") PROJECT UPDATE - MEO Australia Limited Xtract refers shareholders to the following announcement released in Australia by MEO Australia Limited ("MEO"). "ASX AND MEDIA RELEASE WA-359 -P and WA-360-P work program variations approved Key Points: * WA-359-P exploration well transferred into permit year 6 commencing 1st Feb 2010 * WA-360-P permit year 4 suspended and extended to 31st Jan 2010 MELBOURNE, AUSTRALIA (February 4th, 2009) - MEO Australia Limited (ASX: MEO) is pleased to advise that the Designated Authority has approved MEO's application for a variation in the secondary work programs in relation to the WA-359-P and WA-360-P exploration permits in the Carnarvon Basin, offshore Western Australia. WA-359-P revised work program The work program has been varied such that the exploration well has been transferred from permit year 5 into permit year 6 spanning 1st February 2010 - 31st January 2011. +-------------------------------------------------------------------+ | Year of | Permit Term | Permit Term | Minimum Work | | Permit Term | Start | Ends | Requirements | |-------------+-------------+-------------+-------------------------| | 5 | 1/2/2009 | 31/1/2010 | Geotechnical studies | |-------------+-------------+-------------+-------------------------| | 6 | 1/2/2010 | 31/1/2011 | One (1) exploration | | | | | well | +-------------------------------------------------------------------+ WA-360-P revised work program Permit year 4 has been suspended at 31st January 2009 and extended by 12 months to 31st January 2010 to allow time to acquired, process and interpret additional 3D seismic to further define the Artemis prospect - refer attachment. +-------------------------------------------------------------------+ | Year of | Permit Term | Permit Term | Minimum Work | | Permit Term | Start | Ends | Requirements | |-------------+-------------+-------------+-------------------------| | 4 | 1/2/2008 | 31/12/2010 | Seismic interpretation | |-------------+-------------+-------------+-------------------------| | 5 | 1/2/2010 | 31/1/2011 | Geotechnical studies | |-------------+-------------+-------------+-------------------------| | 6 | 1/2/2011 | 31/1/2012 | One (1) exploration | | | | | well | +-------------------------------------------------------------------+ Participants +-------------------------------------------------------------------+ | Company | WA-359-P* | WA-360-P* | |-------------------------------------------+-----------+-----------| | North West Shelf Exploration Pty Ltd | 60% - 70% | 60% - 70% | | (Wholly owned subsidiary of MEO | | | | Australia Limited) | | | |-------------------------------------------+-----------+-----------| | Cue Energy Resources Limited (ASX: CUE) | 20% - 15% | 20% - 15% | |-------------------------------------------+-----------+-----------| | Gascorp Australia Pty Ltd | 0% | 20% - 15% | |-------------------------------------------+-----------+-----------| | Exoil Limited (NSX: EXX) | 20% - 15% | 0% | +-------------------------------------------------------------------+ *Subject to drill/drop decision by 31-December-2009 & election by Cue +/- Gascorp/Exoil to elect to pay 5% of well. Jurgen Hendrich Managing Director & CEO" A copy of the MEO announcement referred to above with a map attached, is available on the Australian Stock Exchange website: Further information on MEO can be found at As an unquoted company, MEO is not subject to the AIM Rules and the information contained in this announcement has not been reviewed by a named "qualified person" as defined and required by the AIM Guidance Note for Mining, Oil and Gas Companies. Enquiries please contact: Xtract Energy Andy Morrison, CEO +44 (0)20 7079 1798 Smith & Williamson David Jones +44 (0)20 7131 4000 Corporate Finance Azhic Basirov Scott Harris Ian Middleton +44 (0)20 7653 0030 James O'Shaughnessy About Xtract Energy Xtract identifies and invests in a diversified portfolio of early stage energy sector technologies and businesses with significant growth potential. The Company aims to work closely with the associated management teams to achieve critical project milestones, to finance later development stages, and to build and crystallise value for all shareholders and partners. For further Information on Xtract please visit A short description of the principal assets of Xtract is set out below. These assets are either held directly or through wholly owned subsidiaries of the Company. MEO Australia Ltd ("MEO") MEO (ASX: MEO) aims to become an integrated Australian Gas-to-Liquids ("GTL") company. In 2008, MEO made significant gas discoveries in the Australian Timor Sea, in an area of shallow water known as Tassie Shoal. Early commercialisation of these discoveries is planned through construction of Liquified Natural Gas ("LNG") and Methanol plants and export terminals on the off-shore Tassie Shoal. MEO has already secured Australian Government environmental approvals for two large scale (1.8 Mtpa) methanol plants and a 3 Mtpa LNG plant on Tassie Shoal. Xtract owns approximately 13.6% of MEO's issued share capital. For the year ended 30 June 2008, MEO made a loss of approximately A$1.9 million and as at that date it's net asset value was approximately A$153.9 million. Elko Energy Inc. ("Elko") Elko is a Canadian registered oil & gas exploration company which has interests in exploration and production licences in the Danish and Dutch North Sea. Its major asset is in the Danish North Sea; an 80% interest on 26 offshore blocks in a 5,400 sq km exploration and production licence close to the prolific Central Graben oil field. Technical work indicates the potential for significant reserves. Elko also holds a 33% operating interest in gas-bearing license blocks P1 and P2 in the Dutch North Sea. Xtract owns approximately 35.4% of Elko's issued share capital. Extrem Energy AS ("Extrem Energy") Extrem Energy is an exploration and production joint venture with Merty Energy of Turkey. The JV's aim is to create a new medium-sized oil and gas exploration and production business, initially focused on Turkey where Merty Energy has particular experience and expertise. Extrem Energy has a portfolio of licence interests including the high potential prospect at Candarli Bay in south-west Turkey. Xtract owns 20% of the issued share capital of Extrem Energy and has the option of increasing its shareholding to 34% before 30 June 2009. Xtract Oil Ltd ("XOL") Xtract's wholly owned subsidiary, XOL, is focused on the development of the Company's oil shale resources in Australia and the technology for oil extraction from oil shale resources. Xtract has oil shale exploration rights over mining tenements in the Julia Creek area of Queensland. In addition to evaluating third party technologies, XOL has been developing proprietary technology for the commercial extraction of liquid hydrocarbon products from oil shale. Xtract Energy (Oil Shale) Morocco SA ("XOSM") XOSM is a joint venture with Alraed Limited Investment Holding Company WLL, a company controlled by His Highness, Prince Bandar Bin Mohd. Bin Abdulrahman Al-Saud of Saudi Arabia. XOSM has signed a Memorandum of Understanding with the Office National des Hydrocarbures et des Mines for the purposes of evaluation and possible development of an oil shale deposit near Tarfaya, in the south west part of Morocco. Xtract currently holds 70% of the joint venture. Wasabi Energy Ltd ("Wasabi") Wasabi (ASX: WAS) is a diversified investor in traditional and renewable energy technologies. Amongst its listed assets it holds approximately 38% of Rum Jungle Uranium Ltd (ASX: RUM) which has interests in uranium exploration licenses covering some 4,150 sq km of Australia's Northern Territory and approximately 12.5% of Greenearth Energy Ltd (ASX:GER) which aims to explore and develop geothermal resources in Australia and the wider Pacific Rim. Xtract owns approximately 19.4% of the issued share capital of Wasabi. Zhibek Resources Ltd ("Zhibek Resources") Zhibek Resources is an oil and gas exploration and production company which has a 72% interest in the Tash Kumyr and Pishkoran exploration licences in the Kyrgyz Republic. Xtract has entered a farm-out agreement to fund a seismic and drilling programme for 2008-09. Xtract owns 25.0% of the issued share capital of Zhibek Resources. ---END OF MESSAGE--- This announcement was originally distributed by Hugin. The issuer is solely responsible for the content of this announcement.