BNK: TSX BNK: AIM CALGARY, April 5 /CNW/ - Bankers Petroleum Ltd. (the "Company") is pleased to announce that the Company's second well in the Palo Duro basin, Jones No. 1 is drilling ahead at a depth of approximately 7,000 feet. The well is expected to reach the target depth of 11,000 feet in the next two weeks after which cores will be analyzed and a fracture stimulation program designed. The Misener No. 1 well is waiting for the completion of core analysis which is taking longer than expected due to the level of industry activity. This analysis should be available in the next two weeks and once it has been received, a completion and fracture stimulation program will be designed and implemented for the Bend shale interval. The testing of the Bend shale is anticipated to commence in May 2006, subject to equipment and service availability. During the intervening period the Company plans to gather data on deeper horizons in the well prior to the completion of the Bend shale. The Company has also permitted Stansell No. 1, which will be its third well in the Palo Duro basin. It is anticipated that this well will be spudded immediately following the drilling of the Jones No. 1 well. The Company continues to increase its production from the Patos Marinza field in Albania. During the three months ended March 31, 2006, the Company averaged 2,575 bopd compared to 2,184 bopd for Q4 2005 and 1,210 bopd for Q1 2005, increases of 18% and 128% respectively. Average production for March 2006 was over 2,700 bopd with current production estimated at over 2,900 bopd. The Company continues to export oil to Italy pursuant to its oil export contract. During Q1 2006, the Company exported approximately 65,382 barrels at an average price of US$30.50 per barrel. The remainder of production continues to be sold under the Albanian Refining and Marketing Oil, ARMO Sh.A contract in Albania at a price of US$23.85 per bbl. As previously announced the export contract provides for the export of up to 2 cargoes per month of 22,000 bbls each at prices anticipated between US$28-US$31 per bbl, based on Brent prices of US$50-65 per bbl. The Company's netback increased throughout 2005 and this trend has continued into Q1 2006. During the months of January and February, the Company averaged a netback of approximately US$7.36 per barrel compared to US$6.44 per barrel for the year ended December 31, 2005, an increase of 14%. Cashflow generated from the Albanian operations will be applied to the Patos Marinza 2006 Capital program. On Behalf of the Board of Directors, "Richard Wadsworth" Richard Wadsworth, President Certain information in this news release respecting the Company and the Company's operations constitutes forward-looking information. Such forward- looking information, including but not limited to statements with respect to the estimated timing of the Company's planned work program involve known and unknown risks, uncertainties and other factors which may cause the actual costs and results of the Company and its operations to be materially different from estimated costs or results expressed or implied by such forward-looking statements. Such factors include, among others, general risks associated with petroleum operations and risks associated with equipment procurement and equipment failure. The price received by the Company for crude oil produced at Patos-Marinza is referenced to the price of Brent crude oil. To the extent that the Brent price increases or decreases, the Company's results will be similarly affected. Although the Company has attempted to take into account important factors that could cause actual costs or results to differ materially, there may be other factors that cause costs and timing of the Company's program or results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information.