PRESS RELEASE–Baraka Petroleum Limited (ASX: BKP) has confirmed its intention to progress exploration on all five blocks within the Taoudeni Basin region of Mali by committing to a US$3.7 million airborne survey.  The commitment follows a positive assessment of the Blocks during the first exploration period of the Production Sharing Agreements (“PSA’s).

The first stage of a planned ongoing works program is the US$3.7 airborne survey of the Company’s five Taoudeni Basin blocks, numbered 1,2,3,4 and 9, covering 193,200 km2 extending from the border of Mauritania (see figure 1). This is the first airborne study focussed on the entire Taoudeni Basin.

Baraka’s Chief Operating Officer Dr Satyavan Reymond said the upcoming airborne survey is a key milestone in the continued growth of Baraka Petroleum and its operations in the region.

“The assessment of results from the PSA’s first exploration period provided Baraka with a greater understanding of the Taoudeni Basin, specifically the potential location of the Silurian shale within the oil window and the identification of very large structures with potential for Infracambrian gas discoveries.

“The Company’s technical assessment has now identified the Taoudeni Basin’s similar characteristics to those that exist within the prolific hydrocarbon basins in Algeria and Libya to the north, where exploration areas focussing on the Infracambrian plays have been recently opened to the public.”

Based on the studies that have been conducted, Baraka believes that the Taoudeni Basin could have Silurian shale within the oil window of between 30,000km2 and 80,000km2.
 
The airborne survey, to commence before the end of the year and be completed by June 2005, will enable the Company to better define the distribution of the Silurian shale within the oil window and provide more definite targets for future oil and gas exploration.

The survey will fly from the northern Malian town of Timbouktou and will consist of radiometrics (235,400 line km’s), magnectics (235,400 line km’s) and a gravimetry survey (44,346 line km’s).

Subject to the outcome of this initial survey, a higher line density survey is being planned for areas of interest, coupled with an additional geochemistry program.

Worley Parsons GPX a leading provider of professional services to the energy, resource and complex process industries, will carry out the gravimetry survey for Baraka. The expert group UTS Geophysics will be responsible for the magnetic and radiometric survey. Both companies have been chosen because of their experience within the oil and gas industries internationally and specifically within West Africa.

The Company is also pleased to announce that Baraka’s Administration Manager Corinne Perrin has successfully coordinated a donation of relief supplies to the population in the North of Mali who have recently been affected by severe drought and famine. The donation of relief aid, consisting of 60 tonnes of cereals, has been jointly made by Baraka and the contractors involved in the airborne survey.

Distribution of cereals is on-going under the supervision of the Mali Government food security agency (Commissariat à la sécurité alimentaire).

Baraka looks forward to the successful development of the region and the consequential economic benefits for the people of Mali.