Half-yearly report

29th January 2010
 
GOLD OIL plc
                         ("Gold Oil" or "the Company")
 
Unaudited Interim Report
                  for the period 1 May 2009 to 31 October 2009
 
Gold Oil the AIM-listed oil and gas exploration and production company primarily
focused  on  opportunities  in  Latin  America  announces  its unaudited interim
results for the six months ended 31 October 2009.
 
Highlights
  * Continuing discussions with a number of parties to bring in additional
    resources to the Company;
  * Ongoing interpretation of Z34 seismic data, five leads identified with
    substantial potential; application lodged for up to 250km of 2D seismic on
    Block XXI Peru;
  * Successful acquisition of data on the Azar Block; two wells and further
    seismic acquisition planned as a result;
  * Successful long term test of two Burdine wells; workovers planned;
  * Profit on Ordinary Activities After Tax £62,000 (2008 Loss £1.48m)
  * Profit Per Share £0.01p (2008 loss £0.31p)
 
CHAIRMAN'S STATEMENT
Introduction:
During  the period  under review,many  junior oil  & gas companies have suffered
from  very limited access to the capital  markets.  Indeed risk capital has been
scarce  since the onset  of the credit  crunch back in  2008.  This has affected
Gold in two ways; direct access to fresh capital has been difficult and existing
companies in the sector who also have found new capital difficult to source have
also  curtailed  their  operations.   As  a  direct  consequence, there has been
considerably  less  interest  in  farming  into  high risk projects.  Even those
companies  with  healthy  cash  reserves  have  been  less  willing  to  take on
additional commitments until some confidence returned to the capital markets.
The good news is that with a recovering oil price we are seeing renewed interest
and  confidence in the whole E&P sector.   Hence the management team of Gold has
been  focused on restructuring the Company, concentrating on cost reductions and
asset  consolidation. A  major effort  was made  during the  period to establish
relationships  with potential  investors and  partners with  a view  to creating
additional resources for the Group and thereby allowing us to develop our assets
aggressively.   We are in negotiations with  a number of parties concerning ways
in  which to secure such additional resources  and are confident that we will be
able to announce something in the near future.
Peru Highlights:
BlockZ34 Offshore
 
The acquisition of 2013 km of 2D seismic in our offshore block Z34 was the first
deep water exploration ever in Peruvian waters and as such was a significant
milestone.  The initial processing and interpretation of the data shows that our
'blue sky exploration block' definitely has potential.  Four priority areas for
further investigation have been identified so far. Three areas are based on the
feasibility of extending and improving the characteristics of the major oil
fields in the Talara basin. A fourth exploratory area is based on the symmetry
of the trapping models to those of the present fields. The seismic survey has
established the presence of typical deepwater turbidities, which normally have
high porosity, permeability and good lateral continuity. We have concentrated
our first interpretation on near shore leads in water depths ranging from 100 to
300m and we have identified five definitive leads all of which could have
substantial potential and when aggregated could represent a very significant
discovery.
Block  Z34 covers  371,339 hectares and  is bordered  to the  east by Block Z2B,
which is producing both oil and gas and is operated by Petrotech Peruana
Currently  the  main  objective  of  the  Company  is to continue to improve and
analyze  the acquired data and to continue  the interpretation so as to increase
the  geological  understanding  of  the  area.  We  believe that having acquired
interpreted  and improved the  data on the  block it is  now the optimal time to
start to step up the farm out of a portion of this asset.
Based  on the initial interpretation of the seismic date, in August we filed for
an extension of the EIA permit in order to extend the existing 2D permit to give
us  authorization to carry  out a 3D survey.  We believe this  process is a much
simpler  procedure than  that which  was necessary  for the environmental impact
assessment and therefore approval is expected during the first quarter of 2010.
Block XXI Onshore:
The  Companyhas been analyzing exploration information in the region in order to
define  a seismic grid on Block XXI.  In August 2009 we applied for a 2D seismic
permit, and are hopeful that this will be granted in the first quarter of 2010.
 The  Company has already informed PeruPetro  that in this exploration period we
will  be acquiring a 160 to  250 km 2D seismic survey and  work will commence as
soon  as the environmental license is granted. We are gearing up to acquire this
data in the first half of 2010 and are currently in negotiation with a number of
seismic  contractors. The objective of  this survey is to  get a better regional
understanding  of the block and  also define one or  more drill locations on the
San Alberto prospect.
Block  XXI covers 303,000 hectares and is  bordered by Olympics' producing oil &
gas fields on Block XIII.
Colombia Highlights:
Azar Block
On  the  Azar  Block,  two  important  exploration  seismic  surveys  have  been
completed, which we believe significantly enhance the value of the block.
Some  42 km of 2D seismic was acquired in  the period and the data has confirmed
the potential of the northern section of the block.  As a result the partners in
the  block have decided to acquire an additional 75km2 of 3D seismic over the La
Florida  structure, which is located in the  northern section of the bloc during
the  current year. The La  Florida lead has the  potential for 15 to 25 MMbbl of
Standard  Tank Oil  Initially In  Place ("STOIIP").  We will  be able to confirm
these  estimates after the 3D seismic survey is completed, which we expect to be
in the second quarter of 2010.
In  addition,  the  acquisition  of  50 km2  of  3D seismic  confirmed  two firm
prospects:  La Vega  South &  La Vega  East.  Both  prospects have an identified
drill  location and  will be  drilled in  either the  second or third quarter of
2010, as  soon as the EIA permits are granted. La Vega East has resources net to
Gold  estimated at  3.25MMbbl in the  T and  U sands,  whilst the  La Vega South
prospect  has resources  of 3.24MMbbl in  both sands.  Both structures  are very
similar and are close together and will be drilled 'back to back'.  The operator
of  the Block,  Gran Terra  Energy has  considerable operating experience in the
Putumayo Basin, of which these prospects are very typical.
Gold  has  a  20% working  interestin  the  Azar  Block. Azar is located, to the
northeast  of the  Company's existing  Nancy, Burdine  and Maxine oil fields and
immediately  to the east of the Guayoyaco  Block in which the Juanambu discovery
well  also operated by Gran  Tierra Energy tested at  a flow rate of 1,410 bopd.
All three blocks are located in the prolific Putumayo basin in south Colombia.
Nancy-Burdine-Maxine:
In  June 2009, the Company  took over the  operation of the Nancy-Burdine-Maxine
fields  and hired an experienced Colombian Petroleum Engineer as Country Manager
and established a small office in Bogota.
In  early  July  the  workover  programme  of three wells, Burdine 1, 4 & 5, was
initiated.  The first step was  to open each of  the three wells and check their
mechanical  status and  we found  that all  three wells  are in  good mechanical
condition.  Consequently all three wells have been production tested. Burdine 1
was the first well to be tested and a mobile pumping unit was brought onto site
The  production testing  of the  Burdine wells  started early  in October 2009.
Burdine  1's long term test was concluded in early December 2009 after producing
an average of 230 bopd of light crude (25.6o API) with 320 barrels of water from
the  N  and  U  sands.  The  objective  of  the  test  was to get more down-hole
information  on the well  to optimize the  work-over programme for  B-1 and B-5.
Burdine-5  produced 60 bopd of light crude on  a short term test and a work-over
to  chemically remove probable formation damage and increase production is being
planned.   Petrophysical analysis of  B-4 shows unperforated  oil reservoirs and
our  intention is that during the work-over  they will be perforated and brought
on stream.
As  stated,  the  test  of  the  Burdine  wells  gave  us  a  sound data-base of
information  about  the  mechanical  condition  and  production potential of the
existing producing sands in order to define the overall development plan for the
NBM  field.  For 2010 the  Company plans to  work over the  three Burdine wells,
acquire  a  small  amount  of  3D seismic  on  the  Nancy  prospect and drill an
additional development well at the crest of the Nancy prospect.
Rosa Blanca:
The  Company took back operatorship and increased its working interest to 90% in
Rosa  Blanca: the  balance of  10% rests with  a local  consulting & engineering
group Empesa.
During   November-December  we  acquired  60 km of  2D seismic  in  the southern
portion of  the Block. The Company  has been granted  an extension of the second
period  until the end of February 2010, which will give us more time to evaluate
the  three leads identified by  the seismic and decide  if to move them into the
next Exploration Period.
The  Rosa Blanca  Block covers  an area  of approximately 45,000 hectares. It is
located  in  the  Middle  Magdalena  Valley  and is surrounded by the nearby oil
producing  fields of Cristalina, Santa Lucia, Tisquirania, Totumal, Baturama and
the South Bolivar Block.
 
Financial results
 
The  unaudited financial results for the  six months to 31 October 2009 record a
profit  on  ordinary  activities  after  tax  of  £62,000  (31 October 2008 loss
£1.48m).  The  profit  per  share  was  £0.01p (31 October 2008 loss £0.31p). No
dividend is being declared.
Conclusion
I  am confident that the portfolio of  assets that we have remains an attractive
proposition.   In  this  regard  the  Company  has  demonstrated the significant
potential  of Block Z34 and remains hopeful that  we will be able to do the same
with  Block XXI in Peru.  In Colombia we are  encouraged by the data acquired on
the  Azar block and our efforts continue  to unlock the substantial reserves and
resources  in Nancy-Burdine-Maxine.  The main challenge for us is to attract the
necessary resources in the near term to allow us to develop the Company.
 
Mark Pritchard
Chairman
 
For further information on the Company, visit www.goldoilplc.com or contact:
 
Gold Oil
Mark Pritchard, Chairman                                         Tel:
020 8332 6882
 
Seymour Pierce
Jonathan Wright / Richard Redmayne                    Tel:  020  7107 8000
 
Gold Oil plc
 
--------------------------------------------------------------------------------
 
Consolidated Income Statement
 
 for the six months ended 31 October 2009
 
                                  6 months to       6 months to         Year to
 
                                   31 October        31 October        30 April
 
                                         2009              2008            2009
 
                        Note        Unaudited         Unaudited         Audited
 
                                        £'000             £'000           £'000
 
Revenue                                  696               629           1,004
 
 Cost of sales                          (557)             (219)           (925)
 
------------------ ----------------- ---------------
 Gross profit                             139               410              79
 
Development
 expenditure    written
 off                     5               (30)           (1,253)         (1,932)
 
 Administrative
 expenses                               (440)             (564)         (1,321)
 
Other operating income  6                320                 -               -
 
------------------ ----------------- ---------------
 Operating loss                          (11)           (1,407)         (3,174)
 
Finance income                             5                71             101
 
------------------ ----------------- ---------------
 Loss    on    ordinary
 activities      before                   (6)           (1,336)         (3,073)
 taxation
 
Income tax expense      7                 68             (146)              34
 
------------------ ----------------- ---------------
 Profit/(loss)       on
 ordinary    activities                    62           (1,482)         (3,039)
 after taxation
 
Dividends                                  -                 -               -
 
------------------ ----------------- ---------------
 Profit/(loss)
 attributable to equity                    62           (1,482)         (3,039)
 holders
 
Earnings/(loss)    per  8              0.01p           (0.31)p         (0.62)p
 share: basic
 
Diluted                 8              0.01p           (0.31)p         (0.62)p
 
The group's revenue and profit/(loss) arise from continuing operations.
 
Gold Oil plc
 
--------------------------------------------------------------------------------
 
Consolidated Statement of Comprehensive Income
 
 for the six months ended 31 October 2009
 
                                6 months to        6 months to          Year to
 
                                 31 October         31 October         30 April
 
                                       2009               2008             2009
 
                      Note        Unaudited          Unaudited          Audited
 
                                      £'000              £'000            £'000
 
Profit/(loss)    for
 the period                              62            (1,482)          (3,073)
 
Other  comprehensive
 income
 
 Currency
  translation
 differences                          (235)                629              876
                          ------------------ ------------------ ----------------
 Total  comprehensive
 income    for    the                   173              (853)          (2,197)
 period
 
------------------ ------------------ ----------------
 
Total  comprehensive
 income  attributable
 to :
 
 -   Owners   of  the                   173              (853)          (2,197)
 company
 
Gold Oil plc
 
--------------------------------------------------------------------------------
 
Consolidated Statement of Financial Position
 
 as at 31 October 2009
 
                                        As at             As at           As at
 
                                   31 October        31 October        30 April
 
                                         2009              2008            2008
 
                                    Unaudited         Unaudited         Audited
 
                        Notes           £'000             £'000           £'000
 
 Non-current assets
 
 Property,   plant  and
 equipment                                106               229             158
 
 Intangibles                            5,631             4,437           2,399
 
Goodwill                               1,960                 -           1,862
 
----------------- ----------------- ---------------
                                        7,697             4,666           4,419
                             ----------------- ----------------- ---------------
 Current assets
 
 Inventories                               98               226             123
 
 Receivables                            1,994             2,011           2,696
 
 Cash      and     cash
 equivalents                            1,857             4,615           2,179
 
----------------- ----------------- ---------------
                                        3,949             6,852           4,998
                             ----------------- ----------------- ---------------
 
                             ----------------- ----------------- ---------------
 Total assets                          11,646            11,518           9,417
 
Equity and liabilities
 
Capital and reserves
 
 Called     up    share
 capital                9                 125               121             125
 
 Share premium account                 10,765            10,157          10,752
 
 Foreign       exchange
 translation reserve                      641                 -             876
 
 Retained earnings                    (4,621)           (2,447)         (4,683)
 
----------------- ----------------- ---------------
 Total equity                           6,910             7,831           7,070
                             ----------------- ----------------- ---------------
 
Current liabilities
 
 Trade     and    other
 payables                               4,736             3,687           2,347
 
----------------- ----------------- ---------------
 
----------------- ----------------- ---------------
 Total    equity    and                11,646            11,518           9,417
 liabilities
 
Gold Oil plc
 
--------------------------------------------------------------------------------
 
Consolidated Statement of Cash Flows
 
 for the six months ended 31 October 2009
 
                                  6 months to       6 months to         Year to
 
                                   31 October        31 October        30 April
 
                                         2009              2008            2008
 
                                    Unaudited         Unaudited         Audited
 
                                        £'000             £'000           £'000
 
Operating activities                   2,946               163         (2,476)
 
----------------- ----------------- ---------------
 
Investing activities
 
 Return from investment
 and    servicing    of
 finance                                    5                71             101
 
 Sale   of   investment
 assets                                     -             1,747               -
 
 Acquisition         of
 investment assets                          -                 -               -
 
 Acquisition         of
 goodwill                                (98)                           (1,698)
 
 Net cash acquired from
 subsidiary                                 -                 -               -
 
 Purchase of intangible
 assets                               (3,188)           (2,332)           (294)
 
 Purchase  of  tangible
 assets                                     -             (218)           (143)
 
 Received            on
 acquisition         of
 subsidiary                                 -                 -             906
 
----------------- ----------------- ---------------
                                      (3,281)             (732)         (1,128)
                             ----------------- ----------------- ---------------
 Financing actvities
 
 Proceeds from issue of
 share capital                             13                34             633
 
----------------- ----------------- ---------------
 Net               cash                 (322)             (535)         (2,971)
 inflow/(outflow)
 
 Cash      and     cash
 equivalents   at   the
 beginning    of    the
 period                                 2,179             5,150           5,150
 
----------------- ----------------- ---------------
 Cash      and     cash
 equivalents at the end                 1,857             4,615           2,179
 of the period
 
Consolidated Statement of Changes in Equity
 
                                        £'000             £'000           £'000
 
 Profit/(loss)  for the
 period                                    62           (1,482)         (3,039)
 
 Shares issued                             13                34             633
 
 Foreign       exchange
 translation                            (235)               629             876
 
----------------- ----------------- ---------------
                                        (160)             (819)         (1,530)
 
Opening  shareholders'
 funds                                  7,070             8,600           8,600
 
----------------- ----------------- ---------------
 Closing  shareholders'                 6,910             7,781           7,070
 funds
 
Gold Oil plc
 
--------------------------------------------------------------------------------
 
Notes to the Interim Financial Information
 
1. General Information
 
Gold  Oil Plc is a  company incorporated in England  and Wales and quoted on the
Alternative  Investment  Market  of  the  London  Stock Exchange. The registered
office address is Finsgate, 5-7 Cranwood Street, London Ec1V 9EE.
 
The  principal activity  of the  Group is  that of  oil and  gas exploration and
production..
These  financial statements are a condensed  set of financial statements and are
prepared  in accordance with the  requirements of IAS 34 and  do not include all
the  information  and  disclosures  required  in annual financial statements and
should be read in conjunction with the Group's annual financial statements as at
30 April 2009. The financial statements for the half year ended 31 October 2009
are  unaudited  and  do  not  comprise  statutory accounts within the meaning of
Section 435 of the Companies Act 2006.
 
Statutory  accounts for the year ended  30 April 2009, prepared under IFRS, were
approved  by  the  Board  of  Directors  on 29 October 2009 and delivered to the
Registrar of Companies.
 
2. Basis of Preparation
 
These   consolidated   interim  financial  information  have  been  prepared  in
accordance  with International Financial Reporting Standards ("IFRS") as adopted
by  the European Union  and on the  historical cost basis,  using the accounting
policies  which are consistent with those set out in the Company's Annual Report
and   Accounts   for  the  year  ended  30 April  2009. This  interim  financial
information  for the six months to  31 October 2009, which complies with IAS 34
'Interim Financial Reporting', was approved by the Board on 29 January 2010.
 
3. Accounting Policies
 
Except  as described below, the accounting  policies applied are consistent with
those  of the  annual financial  statements for  the year ended 30 April 2009, as
described in those annual financial statements.
 
The  following new standards  and amendments to  standards are mandatory for the
first time for the financial year beginning 1 May 2009.
IAS 1 (revised), 'Presentation of financial statements'.
The  revised standard prohibits the presentation of items of income and expenses
(that  is 'non-owner changes in equity') in  the statement of changes in equity,
requiring  'non-owner changes in  equity' to be  presented separately from owner
changes in equity. All 'non-owner changes in equity' are required to be shown in
a performance statement.
 
Entities  can choose whether to present one performance statement (the statement
of  comprehensive income) or two statements  (the income statement and statement
of comprehensive income).
 
The  group has  elected to  present two  statements: an  income statement  and a
statement  of comprehensive  income. The  interim financial  statements have been
prepared under the revised disclosure requirements.
 
Gold Oil plc
 
------------------------------------
 
Notes to the Interim Financial Information (continued)
 
IFRS 8, 'Operating segments'. IFRS 8 replaces IAS 14, 'Segment reporting'.
It requires a 'management approach' under which segment information is presented
on the same basis as that used for internal reporting purposes.
 
Operating  segments  are  reported  in  a  manner  consistent  with the internal
reporting  provided to the  chief operating decision-maker.  The chief operating
decision-maker has been identified as the steering committee that makes strategic
decisions.
 
Goodwill  is allocated  by management  to groups  of cash-generating  units on a
segment  level.  The  change  in  reportable  segments  has  not resulted in any
additional  goodwill  impairment.  There  has  been  no  further  impact  on the
measurement  of the group's  assets and liabilities.  Comparatives for 2009 have
not been restated.
 
Adoption  of this Standard did not have  any effect on the financial position or
performance  of the Group. The Group determined that the operating segments were
the  same as  the business  segments previously  identified under IAS 14 Segment
Reporting. Additional disclosures about each of these segments are shown in Note
4.
 
IFRS 2 (amendment), 'Share-based payment' (effective from 1 January 2009).
The  amendment to  the standard  is still  subject to  endorsement by the EU. It
deals  with  vesting  conditions  and  cancellations.  It  clarifies that vesting
conditions  are  service  conditions  and  performance  conditions  only.  Other
features  of a  share-based payment  are not  vesting conditions. These features
would  need to be  included in the  grant date fair  value for transactions with
employees  and  others  providing  similar  services;  they would not impact the
number  of awards  expected to  vest or  valuation there  of subsequent to grant
date.  All cancellations  , whether  by the  entity or  by other parties, should
receive  the same accounting treatment. The group and company will apply IFRS 2
(amendment)  from  1 May  2009, subject  to  endorsement  by  the  EU. It is not
expected  to  have  a  material  impact  on  the  group  or  company's  financial
statements.
 
The  following new  standards, amendments  to standards  and interpretations are
mandatory  for the first  time for the  financial year beginning 1 May 2009, but
are not currently relevant for the Group:
 
IAS 23 (amendment) 'Borrowing Costs'
IAS 32 (amendment) 'Financial Instruments: Presentation'
IFRIC 13 'Customer loyalty programmes'
IFRIC 15 'Agreements for the construction of real estate'
IFRIC 16 'Hedges of a net investment in a foreign operation'
IAS 39 (amendment) 'Financial instruments: Recognition and measurement'
The  preparation of financial  statements requires management  to make estimates
and  assumptions that affect the amounts  reported for assets and liabilities as
at  the balance sheet  date and the  amounts reported for  revenues and expenses
during  the  year.  The  nature  of  estimation means that actual outcomes could
differ  from those estimates. Estimates and  assumptions used in the preparation
of  the financial statements are continually  reviewed and revised as necessary.
Whilst  every effort is made  to ensure that such  estimates and assumptions are
reasonable,  by  their  nature  they  are  uncertain,  and  as  such, changes in
estimates   and  assumptions  may  have  a  material  impact  in  the  financial
statements.
 
i)  Carrying  value  of  property,  plant  and  equipment   and   of  intangible
exploration and evaluation fixed assets.
Valuation  of petroleum and natural  gas properties: consideration of impairment
includes  estimates relating to  oil and gas  reserves, future production rates,
overall  costs, oil and  natural gas prices  which impact future  cash flows. In
addition,  the timing of  regulatory approval, the  general economic environment
and  the ability to  finance future activities  through the issuance  of debt or
equity  also impact  the impairment  analysis. All  these factors may impact the
viability   of   future   commercial  production  from  developed  and  unproved
properties,  including  major  development  projects,  and therefore the need to
recognise impairment.
 
Gold Oil plc
 
------------------------------------
 
Notes to the Interim Financial Information (continued)
 
ii) Commercial reserves estimates
Oil  and  gas  reserve  estimates:  estimation  of  recoverable reserves include
assumptions   regarding   commodity  prices,  exchange  rates,  discount  rates,
production  and transportation  costs all  of which  impact future cashflows. It
also requires the interpretation of complex geological and geophysical models in
order  to make an assessment of the size, shape, depth and quality of reservoirs
and their anticipated recoveries. The economic, geological and technical factors
used to estimate reserves may change from period to period. Changes in estimated
reserves  can impact developed  and undeveloped property  carrying values, asset
retirement  costs and the  recognition of income  tax assets, due  to changes in
expected future cash flows. Reserve estimates are also integral to the amount of
depletion and depreciation charged to income.
 
iii) Decommissioning costs;
Asset   retirement  obligations:  the  amounts  recorded  for  asset  retirement
obligations  are based on each field's  operator's best estimate of future costs
and  the remaining time to abandonment of oil and gas properties, which may also
depend  on  commodity  prices.  The  directors  are  in  the  opinion  that  the
decommissioning costs are immaterial to be included in the accounts.
 
iv) Share based payments
The  fair value  of share-based  payments recognised  in the income statement is
measured  by use of the Black-Scholes model, which takes into account conditions
attached  to the  vesting and  exercise of  the equity instruments. The expected
life used in the model is adjusted; based on management's best estimate, for the
effects   of   non-transferability,   exercise   restrictions   and  behavioural
considerations.  The  share  price  volatility  percentage  factor  used  in the
calculation  is  based  on  management's  best  estimate  of  future share price
behaviour  and is  selected based  on past  experience, future  expectations and
benchmarked against peer companies n the industry.
 
4. Segmental Information
In  the opinion of the Directors the Group has once class of business, being the
exploration  for, and development  and production of,  oil and gas reserves, and
other related activities.
 
The  Group's  primary  reporting  format  is  determined  to be the geographical
segment  according to the location of theoil  and gas asset. There are currently
three geographic reporting segments: South America and Spain, which are involved
in  production,  development  and  exploration  activity, and the United Kingdom
being the head office.
 
                                  United Kingdom   Spain South America   Total
 
                                             £000    £000          £000    £000
 
 Six months ended 31 October 2009
 
 Unaudited
 
Revenue
 
 Sales to external customers                    -       -           696     696
 
 Inter-segment sales                            -       -             -       -
 
                                          _______ _______       _______ _______
 
 Segment revenue                                -       -           696     696
 
                                            ═════   ═════         ═════   ═════
 
 Results
 
 Segment result                             (198)       -           260      62
 
 Segment     result     (excluding
 exceptional items)
 
                                            ═════   ═════         ═════   ═════
 
Total assets                               1,396     112        10,138  11,646
 
                                            ═════   ═════         ═════   ═════
 
Gold Oil plc
 
--------------------------------
 
Notes to the Interim Financial Information (continued)
 
                                  United Kingdom   Spain South America   Total
 
                                             £000    £000          £000    £000
 
 Six months ended 31 October 2008
 
 Unaudited
 
Revenue
 
 Sales to external customers                    -       -           629     629
 
 Inter-segment sales                            -       -             -       -
 
                                          _______ _______       _______ _______
 
 Segment revenue                                -       -           629     629
 
                                            ═════   ═════         ═════   ═════
 
 Results
 
 Segment result                             (501)    (41)         (940) (1,482)
 
 Segment     result     (excluding
 exceptional items)
 
                                            ═════   ═════         ═════   ═════
 
Total assets                               2,203     182         9,133  11,518
 
                                            ═════   ═════         ═════   ═════
 
                                  United Kingdom   Spain South America   Total
 
                                             £000    £000          £000    £000
 
 Six months ended 30 April 2009
 
 Unaudited
 
Revenue
 
 Sales to external customers                    -       -         1,309   1,309
 
 Inter-segment sales                            -       -             -       -
 
                                          _______ _______       _______ _______
 
 Segment revenue                                -       -         1,309   1,309
 
                                            ═════   ═════         ═════   ═════
 
 Results
 
 Segment result                             (715)    (41)       (2,283) (3,039)
 
 Segment     result     (excluding          (715)    (41)       (2,283) (3,039)
 exceptional items)
 
                                            ═════   ═════         ═════   ═════
 
Total assets                               1,866     130         7,421   9,417
 
                                            ═════   ═════         ═════   ═════
 
5. Development expenditure write off
The  development  expenditure  written   off  in  the  period relates to general
exploration  costs incurred in  the UK in  relation to exploration activities in
South  America. There  have been  no write  offs in  this period  of development
expenditure relating to unsuccessful drilling operations.
 
6. Other operating income
The  other  operating  income  consists  of  compensation payments received from
partners  withdrawing  from  the  licence  group  for  the  Rosa Blanca block in
Colombia.
 
7. Income tax expense
The  income tax  income relates  to a  reduction in  the provision for corporate
taxes payable in South America.
 
Gold Oil plc
 
--------------------------------
 
Notes to the Interim Financial Information (continued)
 
8. Earnings/(loss) per Share
 
                                   6 months to   6 months to    Year to
 
                                     31 October    31 October   30 April
 
                                           2009          2008       2009
 
                                      Unaudited     Unaudited    Audited
 
                                          Pence         Pence      Pence
 
Earnings/(loss) per ordinary share
 
 Basic                                     0.01        (0.31)     (0.62)
 
 Diluted                                   0.01        (0.31)     (0.62)
 
                                          ═════         ═════      ═════
 
The  earnings/(loss) per ordinary share  is based on the  Group's profit for the
period of £62,000 (30 April 2009 - loss of £3,039,000; 31 October 2008 - loss of
£1,482,000)  and a weighted average number of shares in issue of 500,757,759 (30
April 2009 - 488,567,333; 31 October 2008 - 483,960,764).
 
The  potentially  dilutive  warrants  issued  were  nil (30 April 2009- nil; 31
October 2008 - nil).
 
9. Called up Share Capital
 
During  the period, the  company issued 328,850 new  ordinary shares for a total
value of £13,154.
 
10. Reconciliation  of  operating  loss  to  net  cash  outflow  from  operating
activities
 
                                6 months to       6 months to        Year to
 
                                   31 October        31 October       30 April
 
                                         2009              2008           2009
 
                                    Unaudited         Unaudited        Audited
 
                                        £'000             £'000          £'000
 
  Operating loss for the period          (11)           (1,407)        (3,174)
 
  Depreciation and amortisation             8               196             21
 
  Tax paid                              (141)                 -           (47)
 
  Foreign currency translation          (235)               672            876
 
  Inventories                              25              (12)             91
 
  Receivables                             702             (571)            491
 
  Payables                              2,598             1,285        (1,361)
 
  Short term loans received                 -                 -            627
 
                                      ___ ___           _______        _______
 
                                        2,946               163        (2,476)
 
                                        ═════             ═════          ═════
 
Gold Oil plc
 
-----------------------------
 
Notes to the Interim Financial Information (continued)
 
11. Financial information
 
The  unaudited interim financial information for period ended 31 October 2009 do
not constitute statutory financial statements within the meaning of Section 435
of  the Companies Act  2006.The comparative figures for  the year ended 30 April
2009 are extracted from the statutory financial statements which have been filed
with  the Registrar of  Companies and which  contain an unqualified audit report
and  did not  contain statements  under Section  498 to 502 of the Companies Act
2006.
The  interim  financial  information  document  is  available  on  the Company's
websitewww.goldoilplc.com.
 
[HUG#1378425]