Hardman Resources Ltd (‘Hardman’) provides the following progress report on the Mauritania offshore drilling programme:

Tiof-6 Appraisal Well - PSC B

Progress and Current Status:
Since the last report on 8 February 2005 the West Navigator commenced production testing operations on the Tiof-6 appraisal well and at midnight on 14 February, an extended flow period was underway.

The maximum rate the well has been flowed at was approximately 12,400 barrels of oil plus 11.0 million standard cubic feet of gas per day constrained by a 104/64 inch choke. The well test is currently in the main flow period and the well is flowing at a stable rate of approximately 9,150 barrels of oil per day in the main flow period constrained by a 72/64 inch choke. Note: The gas production is of gas dissolved in the crude oil - no free gas was observed in this well.

Well Location:
The Tiof Discovery is located approximately 90 kilometres west of Nouakchott, the Mauritanian capital and 25 kilometres north of the Chinguetti Field. The Tiof-6 well is located 3 kilometres west of the Tiof-1 discovery well and 1 kilometre east of Tiof-3. Water depth is approximately 1,165 metres.

Well Details:
The Tiof-6 well is intended to further appraise the Tiof oil discovery and will continue the evaluation of the Miocene channel sand system within the Tiof Field area as interpreted with 3D seismic.

Simon Potter, CEO and Managing Director, Hardman Resources, commented:

‘This is a very encouraging first oil flow from Tiof. The Tiof reservoir sands tested in this well are considered to be of poorer quality than those at Chinguetti and we therefore expected significantly lower production rates than those achieved in the Chinguetti Early Development Well. The flow rates we have achieved at Tiof-6 exceed our pre-test expectations.

The results of the appraisal programme to date have upheld our initial assessment of the volume of oil-in-place in Tiof, of approximately 1,000 million barrels. The assessment of potentially recoverable oil (i.e. reserves) is more difficult in these types of reservoirs and will ultimately depend on the chosen development project. The results of this test will form a critical part of the assessment of the Tiof development.’

Chinguetti Development Drilling
Since the last report on 8 February, the Stena Tay continued operations on the Chinguetti Development wells. Hardman does not intend to provide detailed weekly reports during the course of the development well drilling programme but will continue to report significant matters as appropriate and in accordance with its continuous disclosure obligations.

Other information:
All reported depths are referenced to the rig rotary table (except water depth).

Times and dates refer to Mauritania time (GMT), 8 hours behind Western Standard Time, Perth.

A map showing the location of the 2004/05 wells is available on the Hardman website (www.hdr.com.au)and will be updated during the course of the 2004/2005 drilling programme.

The joint venture interests in the Chinguetti Field and PSC B are:

SIMON POTTER, MANAGING DIRECTOR

Note: In accordance with Australian Stock Exchange Limited listing requirements, the geological information supplied in this report has been based on information provided by geologists who have had in excess of five years experience in their field of activity.

This information is provided by RNS, The company news service from the London Stock Exchange.