Otto confirmed in May 2008 that the Company was awarded the Santa Rosa Licence, located in the Cuyana Basin in the Province of Mendoza, Argentina, for a six-year exploration period. Otto has earned a
32.48% working interest in the licence.

The farm-in agreement is with Canadian-listed Oromin Explorations Ltd, operator of the field, through the Argentina subsidiary Exploraciones Oromin S.A.

The exploration well 'OLE.MD.SRE X-2001' was spudded on 15 July 2009 (Mendoza time). On 26 July 2009, the well reached a total depth of 1,270 m in basement.

An initial electric logging evaluation confirmed that the well did not encounter 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.