Mr. Krishna Vathyam reports

PETRODORADO DECLARES DISCOVERY IN LOTO-1X

Petrodorado Energy Ltd., along with the operator, has informed the authorities of Loto-1X being a discovery well.

Loto-1X

This second exploration well on the CPO-5 block commenced on Jan. 22, 2013, and was drilled to a total measured depth of 10,500 feet. The Loto-1X well targeted the Mirador, Guadalupe and Une sands.

A multizone testing program conducted on the Une, Guadalupe, and Lower and Upper Mirador zones yielded the following results:

• Une testing: Extra heavy oil in non-commercial quantities was found and further testing was abandoned.
• Lower and Upper Mirador testing: A co-mingled test of three intervals was performed with an ESP. An oil rate of 1,500 barrels per day with an 80-per-cent water cut was achieved. The gravity of the oil was 17-degree API. The well displayed an excellent productivity index and potential, and the rate was limited to the capacity of the ESP of 10,000 barrels of fluid per day, and not due to the capacity of the well.

Multiple attempts were made to test each zone independently, but due to equipment availability and surface storage limitation a proper test was not conducted.

The drilling rig has been released and the well will be tested further with a work-over rig using an ESP and sufficient surface storage capacity to isolate the water producing zone.

In addition, the uppermost zone of the Upper Mirador was not tested and will be tested with the workover rig. The sourcing of the workover rig and other equipment has started and the company expects to recommence testing Loto-1X in July, 2013.

The CPO-5 block is presently under phase one of a two-phase exploration program representing a total of five committed exploration wells. Petrodorado has a 30-per-cent non-operated working interest in the CPO-5 block.

Krishna Vathyam, chairman, president and chief executive officer of Petrodorado Energy Ltd., said:

"The initial production rate from the co-mingled zone identifies the excellent potential of this well. Once the water zone has been isolated and the uppermost zone of the Upper Mirador has been tested, the commerciality of this discovery will be determined."

We seek Safe Harbor.