Otto Energy Limited (ASX:OEL) Updates On The Exploration And Drilling Projects In Argentina

Perth, July 28, 2009 AEST (ABN Newswire) - Otto Energy Limited (ASX:OEL)(PINK:OTTEF) provides an update on its exploration drilling program in Argentina.

Argentina - Santa Rosa Licence

On 26 July 2009, the exploration well 'OLE.MD.SRE X-2001' reached a total depth of 1,270 m in basement.

An initial electric logging evaluation confirms that the well has not encountered hydrocarbons. The results suggest that the target reservoir zones are not present at this crestal well location.

The Joint Venture will now study the well data and incorporate this in a regional data base to determine whether potential stratigraphic traps on the western flank of the Santa Rosa dome warrant further investigation.

The well will be plugged and abandoned as a dry hole.

Name of well     OLE.MD.SRE X-2001 (Santa Rosa)Spud date                15 July 2009Depth of well            1,270mOEL beneficial interest  32.5%

This concludes the current exploration drilling programs for Otto's non operated assets.

Contact

INVESTOR / MEDIA INQUIRIES Jill Thomas, Investor Relations Mgr Tel: +61-8-6467-8803 Email: thomas@ottoenergy.com