Forum Energy, the UK incorporated oil and gas exploration and production company with a focus on the Philippines, today announces its unaudited interim results for the six months ended 30 June 2010.  

Forum recorded a loss of US$285,000 for the six months ended 30 June 2010, a 77% decrease on the comparative period in 2009 of US$1,243,000.   

This substantial reduction in the loss for the period was due to the following achievements:

· Full six months revenue from the Galoc field, increasing total revenues to US$2,528,000 (US$203,000 - 30 June 2009); and

· Increased share of revenue from the Galoc field, as the operator has now fully recovered development costs, which resulted in a gross profit of US$880,000, compared to gross loss in the six months ended 30 June 2009 of US$173,000.

Operational Highlights  

· Company changing development  via award of Service Contract 72 (SC72) over the GSEC101 licence area, as announced on 15 February 2010;
· The Company is actively considering a number of ways of progressing the contract work programme in respect of SC72;
· Galoc production of 1.6 million barrels of oil for first 6 months of 2010 (2.5 million barrels of oil gross for 12 months in 2009); and
· Further exploration using gravity survey, over the SC40 licence area.

Financial Highlights

· Revenues of US$2,528,000 (US$203,000 -  30 June 2009);
· Gross Profit of US$880,000 (Gross loss of US$173,000 - 30 June 2009);
· Loss before tax of US$285,000 (US$1,243,000 - 30 June 2009);
· Working capital of US$3.5 million as of 30 June 2010 (US$2.9m - 30 June 2009); and
· Continued reduction in administrative expenses.      

For further information please contact:   

Forum Energy Plc
Andrew Mullins, Executive Director                            Tel: +44 (0) 1932 445 344

Execution Noble & Company Limited
Harry Stockdale / John Llewellyn-Lloyd                      Tel: +44 (0) 20 7456 9191

Pelham Bell Pottinger
Nick Lambert / Henry Lerwill                                     Tel: +44 (0) 20 7337 1500