MIRACH ENERGY LIMITED

(Incorporated in the Republic of Singapore) (Company Registration No.: 200305397E)

Mirach Energy uncovers new oil layer

At Kampung Minyak Oil Field

Singapore, 27 August 2013 - Mirach Energy (SGX: C68) has unexpectedly

uncovered a new untapped oil zone at the Kampung Minyak Oil Field (“KM”) as it

drilled deeper at the KM-607 infill well, which was spudded on 9 August 2013. This

zone is below the old production oil layer.

As a result of the surprisingly high pressure experienced at the depth of 448 metres

when the drill rig Daqing-121 cut vertically down, precautionary measures has to be

introduced immediately to manage the pressure. This proper pressure control

enabled the team to drill a further 30 metres down for confirmation before ending

the drilling at 475 metres.

Figure 1: KM-607

“We were taken by surprised at the high pressure experienced at layer S8, as the

previous wells drilled were nothing like that. Our production team is expecting this to

be very good production well, compared to the earlier new wells drilled. A series of

tests and perforations will be done to optimize production and actual production rate

from the well will be known within the next two weeks.” said Mr. William Chan, CEO

of the Company.

Well logs have confirmed a net pay interval in the Air Benakat Formation of two

metres. The success of KM-607 confirms the opportunity to add a considerable

amount of reserves (2C) and increase oil production across KM.

The Daqing-121 rig is mobilized to drill another new infill well at KM-611, which is

located at a short distance west of KM-607 and sits on the same formation as KM-

607.

With the strong results shown in the newly uncovered oil zone, the Company

intends to apply to Pertamina EP to drill new wells deeper than 1000 metres to

confirm the other potential pay zones that it has identified in KM.

SUBMITTED BY

Chan Shut Li, William

Executive Chairman and CEO

Notes:

infilling well - A well drilled between producing wells for the purpose of more efficient recovery of petroleum

from the reservoir. (http://encyclopedia2.thefreedictionary.com/infilling+well)