Sea Dragon Provides an Operational Update on Egypt

/NOT FOR DISTRIBUTION TO U.S NEWSWIRE OR FOR DISSEMINATION IN THE UNITED STATES/

CALGARY, Nov. 22 /CNW/ - Sea Dragon Energy Inc. ("Sea Dragon") (TSX Venture: SDX) is pleased to provide the following update on its Operations in Egypt.

NW Gemsa Concession

Al Ola X-1 Exploratory Well

The Al Ola X-1 well was drilled to its total depth of 14,323 feet in the Nukhul Formation. Open hole logs were run and the well was cased to total depth. The shallower Kareem oil producing formation encountered 25 ft of oil pay. The Rahmi member of the Kareem Formation was perforated in the interval 9,780-9,800 feet and placed on test. Preliminary results show a rate of 1,600 bopd on a 32/64" choke. The Lower Rudeis Formation, where strong gas shows were experienced, could not be adequately tested due to mechanical difficulties.

The drilling rig will now be mobilized to drill the Al Amir SE #7 well which is expected to delineate the outer limits of the Al Amir SE field. The well is anticipated to be completed as a water injection well in preparation for commencing water injection in the field. Water flooding of the Al Amir field is expected to provide significant reserve and production additions in 2011.

Sea Dragon has a 10% working in the NW Gemsa Concession with Vegas Oil at 50% as operator and Circle Oil Plc with 40%.

Kom Ombo Concession

Al Baraka #12 Well

The well was spud on November 4th and drilled to its total depth of 4,910 feet in the Six Hills Formation. Open hole logs were run and analyzed. The primary objective being the Six Hills "E" Formation was successfully encountered with 20 feet of oil pay. Casing was run and the drilling rig was released on November 14th. The well will be completed shortly using the work over rig.

Al Baraka SE Well

This step out well was spud on September 15 and drilled to its total depth of 8,750 feet in the Kom Ombo Formation. Petrophysical analysis of the open hole logs indicates 46 feet of potential oil pay in the Kom Ombo "A" and "C" Formations. The Kom Ombo "A" Formation was perforated in the intervals 8,499-8,511 feet and 8,448-8,456 feet and the well will be placed on production shortly. The testing of oil in the Kom Ombo sands is very encouraging as it could potentially result in additional development drilling and production from this southeastern extension of the Al Baraka Field.

Al Baraka #9 Well

The Abu Ballas and Sabaya Formations show 50 feet of potential oil pay. The well will now be recompleted in these formations as the Six Hills "E" sands showed non-commercial quantities of oil.

Al Baraka #6 Well

Recompletion operations were carried out in this well in the Six Hills "E" sands and the well was returned to production.

Remaining in the 2010 work program is the drilling and completion of up to two development wells and one exploration well, and the recompletion and fracturing of up to three wells.

Sea Dragon has a 50% working interest and is a joint operator of the Kom Ombo Concession with Dana Gas Egypt owning the remaining 50%.

Commenting on the latest developments on the Company's operations in Egypt, Company Chairman and CEO Mr. Said Arrata stated "Our Company is now engaged in a very active development drilling program in both the Kom Ombo and NW Gemsa concessions. Our aim is to ramp up production quickly in order to meet our exit target of 2,000 barrels per day."

Certain statements contained in this press release constitute "forward-looking statements" as such term is used in applicable Canadian and US securities laws. These statements relate to analyses and other information that are based upon forecasts of future results, estimates of amounts not yet determinable and assumptions of management. In particular, statements concerning the development of the Al Baraka field and exploration of the Kom Ombo Concession and events or projections referenced or implied herein should be viewed as forward-looking statements. 

Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or are not statements of historical fact and should be viewed as "forward-looking statements". Such forward looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Corporation to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such risks and other factors include, among others, costs and timing of exploration and production development, availability of capital to fund  exploration and production development; political, social and other risks inherent in carrying on business in a foreign jurisdiction, the effects of a recessionary economy and such other business risks as discussed herein and other publicly filed disclosure documents. Although the Corporation has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate as actual results and future events could vary or differ materially from those anticipated in such statements.  Accordingly, readers should not place undue reliance on forward-looking statements contained in this news release.

Forward-looking statements are made based on management's beliefs, estimates and opinions on the date the statements are made and the Corporation undertakes no obligation to update forward-looking statements and if these beliefs, estimates and opinions or other circumstances should change, except as required by applicable law.

This news release contains forward-looking statements based on assumptions, uncertainties and management's best estimates of future events. When used herein, words such as "intended" and similar expressions are intended to identify forward-looking statements. Forward-looking statements are based on assumptions by and information available to the Corporation. Investors are cautioned that such forward-looking statements involve risks and uncertainties. Actual results may differ materially from those currently anticipated. The forward-looking statements contained herein are expressly qualified by this cautionary statement.

NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THE RELEASE

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For further information:

Please see the website of the Company at http://www.seadragonenergy.com or the Company's filed documents at http://www.sedar.com.

Said Arrata

A.D. (Tony) Anton

Chairman & CEO

President & COO

[phone]

[phone]

Scott Koyich						Graeme Dick
President, Brisco Capital Partners						Brisco Capital Partners
[phone]						[phone]
[email protected]						[email protected]