Mart Resources, Inc.: Operations and Production Update

Mart Resources, Inc. (TSX VENTURE:MMT) - 



--  Umusadege field production averaged 8,083 barrels of oil per day
    ("bopd") during February 2014 based on calendar days; average field
    production based on production days was 14,342 bopd during February
    2014. On February 16, 2014, production from the Umusadege field was
    16,567 barrels of oil ("bbls"), which was a new record production day
    for the field. 

--  Umusadege field net deliveries into the export pipeline were
    approximately 206,700 bbls in February 2014 before pipeline losses. 

--  Pipeline and export facility losses reported and allocated to Mart and
    its co-venturers for January 2014 were 32,272 bbls, or 9.4% of total
    crude oil deliveries into the export pipeline. 

--  Aggregate downtime during February 2014 totaled approximately twelve
    days due mainly to a shutdown of export pipeline resulting from a lack
    of storage capacity at the Brass River export terminal due to export
    shipment delays. 

--  Construction activities on the Umugini pipeline are progressing, and
    pipeline construction is expected to be completed in the first half of
    2014. 

--  UMU-10 final flow test results for the XVIIa&b, XVIIIa and XXI sands
    totalled 7,103 bopd. 



Mart Resources, Inc. (TSX VENTURE:MMT) ("Mart" or the "Company") and its
co-venturers, Midwestern Oil and Gas Company Plc. (Operator of the Umusadege
field) and SunTrust Oil Company Limited are providing the following updates on
Umusadege field production for February 2014 and other operations.


February 2014 Production Update

Umusadege field production during February 2014 averaged 8,083 bopd. Aggregate
Umusadege field downtime during February 2014 was approximately twelve days due
mainly to a shutdown of the Nigerian Agip Oil Company Limited ("NAOC") export
pipeline resulting from a lack of storage capacity at the Brass River export
terminal due to export shipment delays, combined with other minor operational
interruptions. There were five consecutive down days recorded during the month.
The average field production based on producing days was 14,342 bopd in February
2014. On February 16, 2014, production from the Umusadege field was 16,567 bbls,
which was a new record production day for the field.


Total net crude oil deliveries into the NAOC export pipeline from the Umusadege
field for February 2014 were approximately 206,700 bbls before pipeline losses.
Pipeline and export facility losses reported by NAOC and allocated to Mart and
its co-venturers for January 2014 were 32,272 bbls, or 9.4% of total crude oil
deliveries into the export pipeline for that month. As previously announced,
total net crude oil deliveries into the export pipeline from the Umusadege field
for January 2014 were approximately 343,800 bbls, so after deducting the actual
pipeline and export facility losses allocated for January 2014, the total net
crude oil deliveries less losses for January 2014 were approximately 311,500
bbls. February 2014 pipeline and export facility losses have not yet been
reported by NAOC.


Umugini Pipeline Update

Surveying and clearing of the right of way for the first 41 kilometres ("km") of
the Umugini pipeline has been completed and pipeline construction is ongoing.
The first 23 km of the pipeline have been completed and backfilled. Stringing of
approximately another 10 km of pipe has been completed, and welding, coating,
radiograph testing, trenching and lowering of approximately 4 km of this length
has been finished. Procurement of materials and equipment required to complete
the pipeline pumping, monitoring and control facilities is ongoing. Surveying
and clearing of the right of way for the final section of the Umugini pipeline
has commenced. Construction crews and equipment are expected to be mobilized in
the near term. Negotiations with local communities and the Nigerian Petroleum
Development Company along the final section of the Umugini pipeline are
progressing and nearing completion. The group managing construction of the
Umugini pipeline continue to estimate that pipeline construction will be
completed in the first half of 2014. Pipeline commissioning will occur following
completion of pipeline construction and installation of pipeline pumping,
monitoring and control facilities.


UMU-10 Well Flow Test Results Update

The UMU-10 well was completed in six zones, two of which were commingled. The
completed sands consist of the XVIIa&b, XVIIIa, XIX, XXb, and XXI sands. After
putting the flow testing operations on hold during the drilling of the UMU-11
well, flow tests required to establish the maximum efficient rate ("MER") have
been carried out and test results finalized for three of the six zones
completed. Of the total 161 feet of gross pay accessed by the completions, the
testing to date represents flow from 135 feet of gross pay, or 84% of the well's
completed gross pay.


Recent MER testing was undertaken for the XVIIIa and XXI sands, which are
intended to be the first zones to be put on long-term commercial production. 


The production test of the XVIIIa sand yielded a flow rate of 2,348 bopd at 46
degree API crude oil on a 32/64 inch choke setting and flowing tubing head
pressure of 1,400 psig. Basic sediment and water ("BS&W") was 0%. In addition to
testing at smaller choke settings, the production test duration at 32/64 inch
choke setting was 8 hours and recovered a total of 796 barrels of liquid.


The production test of the XXI sand yielded a flow rate of 1,679 bopd at 55
degree API crude oil on a 24/64 inch choke setting and flowing tubing head
pressure of 1,300 psig. BS&W was 30%, which appeared to be increasing with choke
setting and flow rate. For commercial production, this zone is expected to be
produced at a smaller choke setting to optimize the produced BS&W. In addition
to testing at smaller choke settings, the production test duration at 24/64
choke setting was 8 hours and recovered a total of 811 barrels of liquid.


No pressure transient analysis has been carried out based on the production test
results for the XVIIIa and XXI sands, however no decline in flowing wellhead
pressure was observed over the duration of the tests. 


As previously announced, the production test of the XVIIa&b sands yielded a
stabilized rate of 3,076 bopd at 49 degree API crude oil on a 32/64 inch choke
setting and flowing tubing head pressure of 680 psig and BS&W of 0%. The
duration of the test at 32/64 choke setting was 8.5 hours, recovering a total of
1,075 barrels of liquid. The production test of the XIX sand yielded a flow rate
of 2,760 bopd at 48.6 degree API crude oil on 24/64 in choke setting and flowing
tubing head pressure of 1,250 psig and BS&W of 0%. The duration of the test at
24/64 choke setting was 4 hours, recovering a total of 463 barrels of liquid. 


The combined flow rate of these three sands flow tested in the UMU-10 well was
7,103 bopd. Production test results are not necessarily indicative of long-term
production performance or ultimate recovery.


Additional information regarding Mart is available on the Company's website at
www.martresources.com and under the Company's profile on SEDAR at www.sedar.com.


Except where expressly stated otherwise, all production figures set out in this
press release, including bopd, reflect gross Umusadege field production rather
than production attributable to Mart. Mart's share of total gross production
before taxes and royalties from the Umusadege field fluctuates between 82.5%
(before capital cost recovery) and 50% (after capital cost recovery).


Forward Looking Statements and Risks

Certain statements contained in this press release constitute "forward-looking
statements" as such term is used in applicable Canadian and US securities laws.
Any statements that express or involve discussions with respect to predictions,
expectations, beliefs, plans, projections, objectives, assumptions or future
events or are not statements of historical fact and should be viewed as
"forward-looking statements". These statements relate to analyses and other
information that are based upon forecasts of future results, estimates of
amounts not yet determinable and assumptions of management. Such forward looking
statements involve known and unknown risks, uncertainties and other factors
which may cause the actual results, performance or achievements of the Company
to be materially different from any future results, performance or achievements
expressed or implied by such forward-looking statements. 


In particular, there is no assurance that there will not be future disruptions
of the NAOC pipeline or Brass River export terminal. Any future disruptions will
materially and adversely affect the ability of the Company to transport, deliver
and sell its crude oil production from the Umusadege field. Statements (express
or implied) concerning the allocation of export and pipeline capacity to the
Umusadege field from their third party pipeline owners, should also be viewed as
forward looking statements. Pipeline and export facilities losses are expected
to continue in the future and such losses could be material. There is no
assurance that there will not be adjustments to previously reported pipeline
losses. There is no assurance regarding that the completion of the Umugini
pipeline will be completed in the first half of 2014 or that all equipment,
agreements or approvals required to commission, operate or transport oil through
the Umugini pipeline will be received in a timely fashion or at all. 


There is also no assurance that the Company will be able to commercially
produce, transport or sell oil from the UMU-10 well (or any one or more of the
sands identified by the UMU-10 well). Statements (express or implied) regarding
the ability of the Company to successfully complete, test and commercially
produce, transport and sell oil from the UMU-10 well (or any one or more of the
hydrocarbon sands identified by the UMU-10 well), should all be viewed as
forward-looking statements. The well log interpretations indicating
hydrocarbon-bearing sands are not necessarily indicative of future production.
There is no assurance that reserves will be assigned to such hydrocarbon bearing
sands.


There can be no assurance that such forward-looking statements will prove to be
accurate as actual results and future events could vary or differ materially
from those anticipated in such statements. Accordingly, readers should no place
undue reliance on forward-looking statements contained in this news release. The
forward-looking statements contained herein are expressly qualified by this
cautionary statement.


Forward-looking statements are made based on management's beliefs, estimates and
opinions on the date the statements are made and the Company undertakes no
obligation to update forward-looking statements and if these beliefs, estimates
and opinions or other circumstances should change, except as required by
applicable law.


NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT
TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS
RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THE RELEASE.


FOR FURTHER INFORMATION PLEASE CONTACT: 
Mart Resources, Inc. - London, England office
Wade Cherwayko
[phone]
[e-mail]


Mart Resources, Inc. - London, England office
Dmitri Tsvetkov
[phone]
[e-mail]


Mart Resources, Inc. - Canada
Sam Grier
403-270-1841
[e-mail]
www.martresources.com