Brazil: OGX Announces the Presence of Hydrocarbons in Well OGX-20

OGX Petróleo e Gás Participações S.A. (“OGX”) (Bovespa: OGXP3, OTC:OGXPY), the Brazilian oil and gas company conducting the largest private sector exploratory campaign in Brazil, announced that it has identified the presence of hydrocarbon in the Maastrichtian section

of well 1‐OGX‐20‐RJS, located in the BM‐C‐41 block, in the shallow waters of the Campos Basin. OGX holds a 100% working interest in this block.

“This discovery highlights the importance of the Maastrichtian section in our blocks in the Campos Basin, where oil bearing reservoirs were initially identified in the OGX‐5 well, Krakatoa prospect, and now were also found in the BM‐C‐41 block, once again presenting excellent permo‐porosity characteristics”, commented Paulo Mendonça, General Executive Officer of OGX. “The well OGX‐20 marks the one year

anniversary of the initiation of our exploratory campaign, which has demonstrated an unprecedented success rate and continues in full execution phase aiming for new discoveries and the delineation of the discoveries already made”, added Mr. Mendonça.

Hydrocarbons were identified in two different levels in sandstone reservoirs in the Maastrichtian section of the OGX‐20 well, presenting net pay of approximately 9 and 4 meters, respectively. The drilling of well OGX‐20, also known as the Tupungato prospect, will follow until an estimated final depth of approximately 3,650 meters is reached.

The OGX‐20 well, located in the BM‐C‐41 block, is situated approximately 85 kilometers off the coast of the state of Rio de Janeiro at a water depth of approximately 130 meters. The rig Ocean Ambassador initiated drilling activities there on September 5, 2010.

ABOUT OGX

OGX Petróleo e Gás SA is focused on oil and natural gas exploration and production and is conducting the largest private sector exploratory campaign in Brazil. OGX has a diversified, high‐potential portfolio, comprised of 29 exploratory blocks in the Campos, Santos, Espírito Santo, Pará‐Maranhão and Parnaíba Basins, in Brazil, and 5 exploratory blocks in Colombia, Middle Magdalena Valley, Lower Magdalena Valley

and Cesar‐Ranchería basins. The total extension area is of approximately 7,000 km² in sea and approximately 34,000 km² in land, with 21,500 km² in Brazil and 12,500 km² in Colombia. OGX relies on an experienced management team and holds a solid cash position, with approximately US$3.4 billion in cash to fund its E&P investments and new opportunities. In June 2008, the company went public raising R$6.7 billion, the largest amount ever raised in a Brazilian primary IPO at that moment. OGX is a member of the EBX Group, an industrial group founded and under the leadership of Brazilian entrepreneur Eike F. Batista, who has a proven track record in developing new ventures in the natural resources and infrastructure sectors.

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Source: OGX, September 21, 2010: