Grove Energy Limited - Cetatuia-1 Well update

-  Cetatuia-1 Well abandoned
-  2 potential targets identified from Well data
-  120km of seismic to be acquired over 4 prospective structures

VANCOUVER, Aug. 2 /CNW/ - Grove Energy Limited ("Grove" or the "Company")
(TSX-V & AIM: GRV), the oil and gas exploration company with assets in Europe
and the Mediterranean Margin, has been advised by the operator that the
Cetatuia-1 well ("Well"), onshore Romania, has been abandoned. The Well was
drilled to a depth of 2,600 metres and penetrated approximately 150 metres
into the middle Triassic, the primary of the two targets. There were no
hydrocarbon shows or visible porosity to this depth.
In the shallower secondary Sarmatian target, reservoir quality sands and
the presence of a working petroleum system were encountered, however, log
analysis has indicated that commercial quantities of gas are not present at
this location.
Data obtained from the Well indicates the presence of two other potential
targets within the Sarmatian which have been interpreted and integrated into
the geological model. It is believed that these targets could be accessed from
the current drill site. One target has an amplitude variable offset (AVO)
anomaly (possible fluid presence in the subsurface displayed on a seismic
section) and additional technical work is being carried out on both. In the
meantime the rig has been released. Grove has spent approximately
US$1.2 million on the Well.
The South Craiova Concession covering an area of 1.5 million acres
contains in excess of 20 identified leads and has significant exploration
potential. Immediate plans are to carry out a 120 kilometre 2D seismic program
covering 4 leads in the southeast portion of the Concession with the objective
of delineating multiple drilling targets.

Grove is committed to building a diversified portfolio of oil and gas
assets in Europe and the Mediterranean Margin. Grove's principal business
strategy is to generate a sustainable cash flow as quickly as possible.
Grove's assets are in proven hydrocarbon provinces, close to existing
discoveries and infrastructure, in regions that are net importers of
hydrocarbons with high domestic hydrocarbon prices and importantly in
countries with stable legal and political environments.

GROVE ENERGY LIMITED

Per      "Glenn Whiddon"
         ---------------
      GLENN R. WHIDDON, CEO

Some of the statements contained in this release are forward-looking
statements. Forward-looking statements include but are not limited to,
statements concerning estimates of recoverable hydrocarbons, expected
hydrocarbon prices, expected costs, statements relating to the continued
advancement of the Company's projects and other statements which are not
historical facts. When used in this document, and in other published
information of the Company, the words such as "could," "estimate," "expect,"
"intend," "may," "potential," "should," and similar expressions are forward-
looking statements. Although the Company believes that its expectations
reflected in the forward-looking statements are reasonable, such statements
involve risk and uncertainties and no assurance can be given that actual
results will be consistent with these forward-looking statements. Various
factors could cause actual results to differ from these forward-looking
statements including the potential for the Company's projects to experience
technical or mechanical problems or unfavourable geological conditions or
other factors that may mean that a commercial level of oil and gas production
is not achieved, or changes in product or general prices and other risks not
anticipated by the Company or disclosed in the Company's published material.
Since forward-looking statements address future events and conditions, by
their very nature, they involve inherent risks and uncertainties. Readers are
cautioned not to place undue reliance on forward-looking statements.

   Neither the TSX Venture Exchange nor the AIM Market operated by
London Stock Exchange plc approves nor disapproves of the information
                          contained herein.

  The information contained herein does not constitute an offer of
securities for sale in the United States, United Kingdom, Canada, Japan
                            or Australia.