Niko Provides Exploration Updates

Niko Provides Exploration Updates 
CALGARY, ALBERTA -- (Marketwire) -- 03/20/13 -- Niko Resources Ltd.
("Niko" or the "Company") (TSX:NKO), is pleased to provide the
following exploration updates: 
Indonesia 
The Cikar-1 exploration well, located in the West Papua IV block in
eastern Indonesia, has been drilled to a depth of 14,431 feet and
temporarily suspended after encouraging initial results. The
suspension will allow Niko to return to the well for future deepening
and testing. 
Located in a water depth of 4,528 feet, the well encountered a 700
foot thick section of the targeted New Guinea Limestone primary
objective and was still in the porous zone when well conditions
forced suspension of drilling operations. The well encountered gas in
the drilling of the deeper section. 
Significant exploration potential in New Guinea Limestone and
Pliocene/Pleistocene prospects remains to be drilled on the 6,389 km2
West Papua IV block.  
The Ocean Monarch drilling rig will be mobilizing to the
Niko-operated North Makassar block in the prolific Kutei basin where
it will spud a well in early April, with a projected drilling time of
70-80 days. The well will target an extension of previous Miocene age
deep water discoveries and is located near the Lebah-1 gas discovery
drilled in the North Ganal block in September 2012. 
India 
The MJ-1 exploration well in the D6 Block was spud in early March and
is drilling ahead. MJ-1 is targeting a Mesozoic synrift clastic
reservoir, similar to the producing MA oil and gas field and over two
kilometers deeper than and directly beneath the producing D1 D3
fields in the block. Results of the well are expected in April / May
and the operator's pre-drill estimates of the gross prospective
resources are as follows: 


 
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                                                 Gross Prospective Resources
----------------------------------------------------------------------------
                                                         Low    Best    High
----------------------------------------------------------------------------
Gas (Bcf)                                                262     819   2,562
----------------------------------------------------------------------------
Liquids 
(MMbbl)                                           18      56     176
----------------------------------------------------------------------------

 
Forward-Looking Information  
Certain statements in this press release constitute forward-looking
information. Specifically, this press release contains
forward-looking information relating to future exploration potential
of the West Papua IV block, the anticipated timing of drilling
activities for the North Makassar block and prospective resources
associated with the MJ-1 exploration well. Statements regarding
"resources" are deemed to be forward-looking information, as they
involve the implied assessment, based on certain estimates and
assumptions, that the resources described exist in the quantities
predicted or estimated. Forward-looking statements are based on
certain key expectations and assumptions, including geological
interpretation of oil and gas deposits, evaluation of analogous
information and anticipated drilling conditions. The reader is
cautioned that the assumptions used in the preparation of such
information, although considered reasonable at the time of
preparation, may prove to be incorrect. Actual results may vary from
the information provided herein as a result of numerous known and
unknown risks and uncertainties and other factors and such variations
may be material. Such factors include, but are not limited to: risks
associated with oil and gas operations including equipment failures
or accidents; the ability of suppliers and third party contractors to
meet commitments; pressure or irregularities in geological
formations; adverse weather conditions; uncertainties regarding
estimates of resources; changes in the availability of capital; and
risks in conducting foreign operations, including political and
fiscal instability and the possibility of civil unrest or military
action. Niko makes no representation that the actual results achieved
during the forecast period will be the same in whole or in part as
those forecast. 
Prospective Resources 
Gross prospective resources are one hundred percent of those
quantities of petroleum estimated to be potentially recoverable from
undiscovered accumulations by application of future development
projects. Prospective resources have both an associated chance of
discovery and a chance of development. There is no certainty that any
portion of the resources will be discovered. If discovered, there is
no certainty that it will be commercially viable to produce any
portion of the resources. The low estimate of prospective resources
is considered to be a conservative estimate of the quantity that will
actually be recovered. It is likely that the actual remaining
quantities recovered will exceed the low estimate. If probabilistic
methods are used, there should be at least a ninety percent
probability that the quantities actually recovered will equal or
exceed the low estimate. The best estimate of prospective resources
is considered to be the best estimate of the quantity that will
actually be recovered. It is equally likely that the actual remaining
quantities recovered will be greater or less than the best estimate.
If probabilistic methods are used, there should be at least a fifty
percent probability that the quantities actually recovered will equal
or exceed the best estimate. The high estimate of prospective
resources is considered to be an optimistic estimate of the quantity
that will actually be recovered. It is unlikely that the actual
remaining quantities recovered will exceed the high estimate. If
probabilistic methods are used, there should be at least a ten
percent probability that the quantities actually recovered will equal
or exceed the high estimate.
Contacts:
Niko Resources Ltd.
Edward Sampson
Chairman of the Board, President & CEO
(403) 262-1020 
Niko Resources Ltd.
Glen Valk
VP Finance & CFO
(403) 262-1020
www.nikoresources.com