Bengal Energy Announces Spud of Kingtree Well - Timor Sea

CALGARY, Oct. 14, 2011 /CNW/ - Bengal Energy Ltd. (TSX: BNG) ("Bengal" or the "Company") is pleased to provide this operational update:

Offshore Australia - Timor Sea

Exploration Permit AC/P 24 - Bengal wishes to advise that the Kingtree exploration well commenced drilling operations on October 14, 2011. The well will evaluate a large, shallow structure, defined on the basis of multiple 3D and 2D seismic data, on offshore Permit AC/P 24 in the Vulcan Sub-basin of the Timor Sea off the northwest coast of Australia. Bengal holds a 10% working interest in the prospect and Permit AC/P 24.

The drilling location lies on trend with the Challis-Cassini oil field, approximately 300 kilometres offshore in a water depth of approximately 110 metres. The pool analogy for the Kingtree prospect is the nearby Jabiru oil field (115 MM bbls cumulative oil to date). This drilling location sits separately, approximately 12 kilometres east of Bengal's original Katandra oil discovery.

The well will be drilled by the semi-submersible rig "Ocean Patriot" and is planned to be drilled to a total depth of 1,472 metres over a period of approximately 17 days and abandoned after logging and evaluation. The purpose of the well is to help delineate the extent of the potential hydrocarbon deposits in the area and if successful will provide valuable information in determining the total amount of hydrocarbons in place and the scale of the subsequent development drilling and production infrastructure plan.

About Bengal

Bengal Energy Ltd. is an international junior oil and gas exploration and production company with assets in Australia and India. The Company is committed to growing shareholder value through international exploration, production and acquisitions. Bengal trades on the TSX under the symbol BNG. Additional information is available at www.bengalenergy.ca.

Forward-Looking Statements

This news release contains certain forward-looking statements that involve substantial known and unknown risks and uncertainties, many of which are beyond Bengal's control. These statements relate to future events or our future performance. All statements other than statements of historical fact may be forward looking statements. The projections, estimates and beliefs contained in such forward looking statements are based on management's estimates, opinions, and assumptions at the time the statements were made, including assumptions relating to: the impact of general global economic conditions in Canada, Australia, India and in the United States, industry conditions, changes in laws and regulations including the adoption of new environmental laws and regulations and changes in how they are interpreted and enforced, increased competition, the lack of availability of qualified operating or management personnel, fluctuations in commodity prices, foreign exchange or interest rates, stock market volatility and fluctuations in market valuations of companies with respect to announced transactions and the final valuations thereof, and the ability to obtain required approvals from regulatory authorities. We believe the expectations reflected in those forward-looking statements are reasonable but, no assurances can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do so, what benefits that Bengal will derive from them. Forward-looking statements included in this news release include without limitation, expectations related to drilling of the Kingtree exploration well. The forward looking statements contained herein are subject to numerous known and unknown risks and uncertainties that may cause Bengal's actual financial results, performance or achievement in future periods to differ materially from those expressed in, or implied by, these forward-looking statements, including but not limited to those material risks discussed in Bengal's Annual Information Form under the heading "Risk Factors" and in Bengal's annual MD&A under the heading "Risk Factors". The forward-looking statements contained in this news release speak only as of the date hereof and Bengal does not assume any obligation to publicly update or revise them to reflect new events or circumstances, except as may be require pursuant to applicable securities laws.

Analogous Information

Certain data provided in this news release may constitute "analogous information", such as the location, size and production of the Jabiru and Challis-Cassini oil fields. This information is derived from publicly available information sources that the Company believes are predominantly independent in nature. The Company believes this information is relevant as it helps to define the reservoir characteristics in which the Company may have an interest. The Company is unable to confirm that the analogous information was prepared by a qualified reserves evaluator or auditor or in accordance with the Canadian Oil and Gas Evaluation Handbook and therefore, the reader is cautioned that the data relied upon by the Company may be in error, may not be analogous to the Company's land holdings and/or may not be representative of actual results of the Company's wells (future or completed) or the Company's oil and gas properties.