Avery wins block under NELP VII in India

Avery Resources Inc., an international hydrocarbon exploration and production company based in Calgary, Alberta, announces that its totally owned subsidiary, Bengal Energy International Inc. (Bengal), along with its two partners, has won the Block CY-ONN-2005/1, offered under the Seventh New Exploration Licensing Policy (NELP VII) in India.

The Block, which covers 946 square kilometre land, is located in the Cauvery Basin, in southeast India.

Avery holds a 30% interest in the Block. The operator of the Block, GAIL (India) Limited (GAIL), holds a 40% interest and the remaining 30% interest is held by Gujarat State Petroleum Corporation (GSPC).

India has offered 57 blocks, which include 28 offshore and 29 on land blocks under NELP –VII, the bids for that closed on June 30. The formal award of blocks is expected by the end of August, after verification of data in the submitted bid documents. The formal government signing ceremony is expected to take place by the end of September.

The NELP VII provisional award is a tremendous accomplishment for us said Bradley Johnson, Chief Executive Officer of Avery.

We believe the Block may contain over four times the potential resources of all of the company’s existing on-shore and off-shore interests, he added.

As well, we have strengthened relationships with some very large key players in India, and we believe we can add value for them by applying our strong technical and operational experience, as well as our access to Canadian practices and technologies, not only to the Block, but also to other oil and gas properties that they own and operate, concluded Mr. Johnson.