Drilling update   Oil discovery in Turaco -1 C

Oil discovery in Turaco -1 C7 formation

The Company is pleased to announce that the Turaco 1 well has tested oil in the upper section of the C7 formation.

The Turaco-1 well has been finalized and logs from selected sections of the C7 Formation, tested to measure the petrophysical properties. The well proved oil in the upper section of the C7 Formation (5742 - 5746 ft MD). Tests will continue with slickline, to determine the size of the oil accumulation to evaluate commerciality and further development. The lower section C7 (5915 - 5919 ft MD), produced 100% water.

Mobilisation to Vikingo Well

SLS (the farm in partner for the drilling campaign) is now "rigging down" in Altair to mobilize the equipment to LLA-47 - the Vikingo well. Estimated mobilisation time is 12 days.

Julio Cesar Garzon, VP of Exploration, commented: "We are pleased with the confirmation of oil tested in the upper part of the C7 formation. IOX and SLS are looking forward to the next phase of the drilling campaign with the wells planned in the LLA-47 license."

Contact: ir@interoil.no *************************** Interoil Exploration and Production ASA is a Norwegian based exploration and production company - listed on the Oslo Stock Exchange - with focus on Latin-America. The Company is the operator of several production and exploration assets in Colombia. Interoil currently employs approximately 71 people and is headquartered in Oslo.

This information is subject to the disclosure requirements pursuant to section 5 -12 of the Norwegian Securities Trading Act.