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Oil Quest Resources (OILQ)

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Wednesday 10 August, 2005

Oil Quest Resources

Option to Acquire Interests

Oil Quest Resources PLC
10 August 2005



                            OIL QUEST RESOURCES PLC

                                   (AIM OILQ)



 OPTION TO ACQUIRE INTERESTS IN UK ONSHORE AND OFFSHORE HYDROCARBON EXPLORATION
                                    LICENCES





The Directors of Oil Quest Resources plc ('Oil Quest' or the 'Company') are
pleased to announce that the Company has entered into a one year option
agreement with Wessex Exploration Limited to acquire a 20 per cent. interest in
both onshore Exploration Licence PEDL 089(B) and in offshore Production Licence
P1153, which contain the Hurst Castle prospect.



Due to a confidentiality undertaking, the financial terms of the option
agreement cannot be disclosed.  However, the financial impact to the Company is
not material at this stage.



Onshore Hydrocarbon Exploration Licence PEDL 089(B)



The onshore licence PEDL 089(B) is located immediately north of Christchurch Bay
and the Solent in the Wessex-Channel Basin.  This basin is a proven hydrocarbon
producing area and contains fields producing from Triassic and Jurassic
reservoirs.  The basin contains the prolific Wytch Farm oilfield.  This field
was discovered in 1973 when the Jurassic Bridport Sandstone reservoir was
drilled.  Subsequent drilling in 1977 to the deeper Triassic Sherwood Sandstone
also encountered oil in this reservoir.





Offshore Licence P1153



P1153, located in the Wessex-Channel Basin also contains the Hurst Castle
prospect which straddles the Hampshire coastline.  The main reservoir objective
is the Sherwood Sandstone with secondary potential in the Bridport Sandstone.



The offshore well 98/7-2 drilled by BP in 1987 is of particular significance
regarding the prospectivity of this licence.  98/7-2 is situated approximately
six kilometres from the southwest corner of Licence P1153 and encountered oil in
the upper section of the Triassic Sherwood Sandstone.  This well tested 1095
bopd of 43 degree API oil from the Sherwood Sandstone interval, the same
reservoir as in the Wytch Farm field.  This oil is lighter gravity than that at
the Wytch Farm field which is 36 degree API.



The significance of this well is that it indicates that oil has migrated and is
preserved east of the main hydrocarbon trap at Wytch Farm.  This is believed to
be the result of the basin configuration at the time of oil migration.  Early
formed structures of pre-Upper Cretaceous age such as that at Hurst Castle are
potential traps for migrating oil.





For further information contact:


David Bramhill                               Maxine Barnes/Dominic Barretto
Oil Quest Resources plc                      Bishopsgate Communications Ltd
+44 (0) 117 957 3666                         +44 (0) 20 7430 1600
[email protected]                          [email protected]
www.oilquest.net

Tim Feather
Westhouse Securities LLP
+44 (0)20 7601 6101
[email protected]




                      This information is provided by RNS
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