Magnolia Petroleum Plc / Index: AIM / Epic: MAGP / Sector: Oil & Gas 17 January 2013 Magnolia Petroleum Plc (Magnolia or the Company) Update on Prucha 1-23MH well Magnolia Petroleum Plc, the AIM quoted US onshore oil and gas exploration and production company, announces that following the recent speculation regarding the Prucha 1-23 MH well (Prucha or the Well), the Company has discussed with the operator the plans for bringing the Well into full production.

The Board has now decided to relinquish the Companys interest in the Prucha well on the basis that the funds allocated for Prucha may be better utilised elsewhere in the Companys portfolio.

No funds had been transferred to the operator prior to this date and hence it is expected that there will be no loss to Magnolia through this decision. The Company currently has interests in 88 producing wells in proven onshore US formations such as the Bakken, North Dakota, with a further 16 currently drilling/completing and 16 waiting to spud.

In addition, Magnolia continues to receive multiple proposals to participate in new wells across its acreage and, as a result expects to see continued growth in its portfolio in due course. For further information on Magnolia Petroleum Plc visit www.magnoliapetroleum.com or contact the following: Steven Snead Magnolia Petroleum Plc +01 918 449 8750 Rita Whittington Magnolia Petroleum Plc +01 918 449 8750 Antony Legge/James Thomas Daniel Stewart & Company Plc +44 (0) 20 7776 6550 John Howes/John-Henry Wicks Northland Capital Partners Limited +44 (0) 20 7796 8800 Lottie Brocklehurst St Brides Media and Finance Ltd +44 (0) 20 7236 1177 Frank Buhagiar St Brides Media and Finance Ltd +44 (0) 20 7236 1177
Notes Magnolia Petroleum Plc is an AIM quoted, US focused, oil and gas exploration and production company.

Its portfolio includes interests in 88 producing and non-producing assets, primarily located in the highly productive Bakken/Three Forks Sanish hydrocarbon formations in North Dakota as well as the oil rich Mississippi Lime and the substantial and proven Woodford and Hunton formations in Oklahoma. Summary of Wells Category Number of wells Producing 88 Being Drilled/Completed 16 Elected to participate/waiting to spud 16 TOTAL 120
This summary excludes four out of six wells acquired as part of the acquisition of 800 gross acres with a 100% working interest in Osage County, Oklahoma, as announced on 10 February 2012.

These four wells are currently shut in and will require a workover programme at some point in the future to bring back into production.
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