Bengal Energy Provides Final Cuisinier Drilling Campaign Data and Operational Update

CALGARY, July 13, 2012 /CNW/ -

Cuisinier Project

Bengal Energy Ltd. (TSX: BNG) ("Bengal" or the "Company") is pleased to announce that the Cuisinier North 1 exploration well (the "Cuisinier North 1"), the fourth well in the 2012 Cuisinier drilling campaign on the Barta Block portion of Authority to Prospect 752P ("ATP 752P") in the Cooper-Eromanga Basin, Australia, has been cased as a future oil producer.

The Cuisinier North 1 well was drilled to a total depth of 2,066 metres to test the Murta and Birkhead/Hutton intervals. The DC70 sand exhibits 2 metres of net pay and appears to be positioned on an oil bearing trend similar to that discovered at the Cuisinier 6 well. This is supported by a preliminary pressure survey from the well indicating virgin pressures in the DC70 sand at Cuisinier North 1. A series of thin Birkhead and Hutton sands with modest oil shows and fluorescence were also encountered and these shows may be helpful in defining new exploration drilling targets for the area.

Cuisinier North 1 is located approximately 2,900 metres northeast of the Cuisinier 1 discovery well (the "Cuisinier 1") and extends the oil bearing trend in the Murta DC70 sand a further 1,700 metres north from the Cuisinier 6 well. The Murta DC70 reservoir sands have now been established to be oil bearing over a distance of approximately 4.4 kilometres from south to north.

The Cuisinier North 1 well is the eighth successful well of eight drilled to date.

Bengal has recently been informed by the operator that it expects to commence down-hole completion activities on the new wells at Cuisinier in mid August 2012.

Bengal holds a 25% working interest in the Barta Block, ATP 752P.

Tookoonooka Program and Drilling Rig

Bengal also wishes to announce that its recently purchased drilling rig (the "Bengal 1 Rig") has been successfully shipped and imported into Brisbane, Queensland. The rig arrived into the Brisbane port mid-June and subsequently entered the Australian Quarantine Inspection Service ("AQIS") facility and was released therefrom to Bengal on July 1, 2012. The Bengal 1 Rig is currently located in an operations yard in Darra, Queensland where, in addition to final electrical and mechanical maintenance, it is being fitted with the ancillary equipment required for drilling operations. Bengal anticipates that the Bengal 1 Rig will be ready for deployment to the initial Tookoonooka location near Eromanga, Queensland later this month of July, 2012.

Based upon current timeline estimates for the final Queensland State regulatory approvals and the lease and access construction schedule, Bengal anticipates a spud date for the initial Tookoonooka Exploratory location in late August 2012. The procurement of drilling-related materials and services is nearing completion as is the final sourcing of drilling operations-related personnel. The training and initial competency assessment program for all levels of drilling personnel is set to commence in Brisbane in mid-July and will be completed by month's end. Bengal currently anticipates drilling three locations in the initial 2012 Exploratory tranche targeting all four key play types from the Permian, Jurassic and Cretaceous timeframes with depths ranging from 1,100 m to 2,000 m.

Bengal holds a 100% working interest in the Tookoonooka permit, ATP 732P.

Forward-Looking Statements

This news release contains certain forward-looking statements or information ("forward-looking statements") as defined by applicable securities laws that involve substantial known and unknown risks and uncertainties, many of which are beyond Bengal's control. These statements relate to future events or our future performance. All statements other than statements of historical fact may be forward looking statements. The use of any of the words "plan", "expect", "prospective", "project", "intend", "believe", "should", "anticipate", "estimate", or other similar words or statements that certain events "may" or "will" occur are intended to identify forward-looking statements. The projections, estimates and beliefs contained in such forward looking statements are based on management's estimates, opinions, and assumptions at the time the statements were made, including assumptions relating to: the impact of economic conditions in North America, Australia, India and globally; industry conditions; changes in laws and regulations including, without limitation, the adoption of new environmental laws and regulations and changes in how they are interpreted and enforced; increased competition; the availability of qualified operating or management personnel; fluctuations in commodity prices, foreign exchange or interest rates; stock market volatility and fluctuations in market valuations of companies with respect to announced transactions and the final valuations thereof; and the ability to obtain required approvals and extensions from regulatory authorities. We believe the expectations reflected in those forward-looking statements are reasonable but, no assurances can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do so, what benefits that Bengal will derive from them. As such, undue reliance should not be placed on forward-looking statements. Forward-looking statements contained herein include, but are not limited to, statements regarding: the 2012 Cuisinier drilling program, including the estimated net pay, casing and future oil production from the Cuisinier North 1 well; the timing of the completion activities; the Tookoonooka drilling program and rig move timing. The forward looking statements contained herein are subject to numerous known and unknown risks and uncertainties that may cause Bengal's actual financial results, performance or achievement in future periods to differ materially from those expressed in, or implied by, these forward-looking statements, including but not limited to, risks associated with: the failure to secure access to necessary infrastructure, the failure to obtain required regulatory approvals or extensions; failure to secure required equipment and personnel; changes in general global economic conditions including, without limitations, the economic conditions in North America, Australia, India; increased competition; the availability of qualified operating or management personnel; fluctuations in commodity prices, foreign exchange or interest rates; changes in laws and regulations including, without limitation, the adoption of new environmental and tax laws and regulations and changes in how they are interpreted and enforced; the results of exploration and development drilling and related activities; the ability to access sufficient capital from internal and external sources; and stock market volatility. Readers are encouraged to review the material risks discussed in Bengal's Annual Information Form under the heading "Risk Factors" and in Bengal's annual MD&A under the heading "Risk Factors". The Company cautions that the foregoing list of assumptions, risks and uncertainties is not exhaustive. The forward-looking statements contained in this news release speak only as of the date hereof and Bengal does not assume any obligation to publicly update or revise them to reflect new events or circumstances, except as may be require pursuant to applicable securities laws.

Bengal Energy Ltd. 
Chayan Chakrabarty, President & CEO 
Bryan Goudie, Chief Financial Officer 
[phone] 
Email: [email protected] 
Website: www.bengalenergy.ca