(Oslo, February 16th, 2009) Aladdin Oil & Gas Company ASA has encountered oil during drilling of the reef structure in Orenburg. Cores recovered during drilling contain oil.

Drilling of the reef structure in Orenburg has demonstrated presence of oil. Since last update on 19th January the company has recovered a number of cores which clearly shows liquid oil in zones of interest.

During the last week of January technical problems with the drilling equipment occurred, which took more than one week to solve. Thereafter the company decided to take core samples, which resulted in significant delays but provided proof that the structure contains oil.

The company will now drill the well to total depth and continue coring of applicable. Thereafter a logging and testing of zones of interest will take place. This is expected to take approximately one month, and will confirm if this is a commercial discovery.

- There is no doubt that the reef structure contains oil. We have recovered cores with clear presence of liquid oil. However, the core samples also show modest porosities, and further testing of additional intervals will be required to decide if this is a commercial oil discovery says CEO Hans-Axel Jahren.