Brazil: OGX Strikes Hydrocarbons in BM‐C‐41 block, Campos Basin

OGX Petróleo e Gás Participações S.A. (“OGX”) , the Brazilian oil and gas company conducting the largest private sector exploratory campaign in Brazil, announced that it has identified the presence of hydrocarbons in the Albian 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.

Following the recently announced discovery in the Maastrichtian section of well OGX‐20, the drilling of this well continued to the Albian section, where an oil column of about 80 meters with approximately 50 meters of net pay was encountered in carbonate reservoirs. Drilling will continue in this section in order to determine the total column and net pay. Well OGX‐20, in the Tupungato prospect, is expected to be drilled to a final depth of approximately 3,650 meters.

The OGX‐20 well, located in the BM‐C‐41 block, is situated approximately 85 kilometers off the coast of Rio de Janeiro at a water depth of about 130 meters. The rig, Ocean Ambassador, initiated drilling activities there on September 05, 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 , October 6, 2010;