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					Aurelian Oil & Gas PLC
(“Aurelian” or the “Company”)
Final results for the year ended 31 December 2011

Aurelian, the European focussed E&P Company, is pleased to announce its final results for the year ended 31
December 2011.

Key highlights

           A challenging year for the Company, but important technical lessons learned which are now being positively applied to
            operational activities

           Phase one of the Siekierki field appraisal programme completed. Significant gas volume in place confirmed with mid-
            case 2tcf gross GIIP (forthcoming RPS CPR – see table below). Recoverability and commerciality still to be proven –
            typical of the early stage appraisal of a large unconventional gas resource.

           High impact exploration prospects in central and southern Poland, Slovakia and Romania will provide further
            opportunities in the future

           Strong cash position of €63.4 million, sufficient to carry out our planned exploration programme of up to 10 wells and
            appraisal activities well into 2013

           Strategic Options Review continuing, update to be announced in due course

Siekierki GIIP and resources from the forthcoming 2012 RPS CPR

            Gross (100% equity)                            Low           Mid           High
            GIIP (bcf)                                     932           1,992         4,088
            Contingent Resources (bcf)                     96            422           1,395
                                                           1C            2C            3C
                                                                                        Mid-case 2C
            Contingent Resources (bcf)                                                 422
            NPV                                                                        €383 million


           Notes:

           Siekierki is a discovery and, as such, is assigned a significant quantity of Contingent Resources
           (Development Pending).The chance of development is primarily contingent on resolving the
           following uncertainties:

                    Demonstration of successful fracture stimulation as per design and commercial flow rates
                     from an extended well test.
                    Demonstration of successful operation of Jet Pumps for lifting water.
                    Disposal via re-injection of produced water.

           RPS considers that Aurelian’s current appraisal programme is reasonable and will address
           these issues.



Rowen Bainbridge, CEO of Aurelian, commented:

“Despite 2011 being a challenging year for the company, with operational difficulties and lower than expected initial
flow test rates on our Siekierki asset, our confidence in the attractiveness and materiality of Siekierki has been
reaffirmed by the forthcoming CPR and we have learnt significant lessons which we are now applying to on-going
operations. The Siekierki project is a fundamental part of the Aurelian portfolio and we remain committed to bringing
this significant gas resource to market.
We are also continuing with the review of strategic options, and the maximisation of shareholder value remains our top
priority. Aurelian is a well-funded company with high quality assets and a talented and motivated team of people and
we look forward to 2012 with renewed confidence.”


There will be a conference call this morning at 10.00am UK time for analysts and investors. Please call
College Hill on 020 7457 2020 for the dial in details and go to the Company’s website
www.aurelianoil.com to download the presentation that will be discussed on the call.


Enquiries:

Aurelian                             Rowen Bainbridge, CEO               020 7245 4999


Greenhill & Co. LLP                  Financial Adviser                   020 7198 7400
                                     Mark Bentley

Ambrian Partners Limited             Nominated Adviser                   020 7634 4700
                                     Richard Morrison
                                     Jen Boorer

Oriel Securities                     Joint Broker                        020 7710 7600
                                     David Arch
                                     Ashton Clanfield

Macquarie Capital (Europe)           Joint Broker                        020 3037 2000
Limited                              Paul Connolly
                                     John Dwyer

College Hill                         Public Relations Adviser            020 7457 2020
                                     Nick Elwes
                                     Matthew Tyler
                                     Catherine Maitland
Chairman’s statement

Overview

2011 has been a tough year for Aurelian. Positive progress in understanding the potential of our extensive exploration portfolio, and
successful strengthening of our technical capabilities, particularly in Poland, have been overshadowed by disappointing results from
our appraisal programme in the Siekierki field.

Much of our energies in recent months have been devoted to unravelling the evident technical complexity of the Siekierki field. While
the production results of the two wells were below expectation, the data acquired has significantly enhanced our understanding of the
asset, and leads us to the conclusion, supported by two Third Party Assessments, that Siekierki remains a material and attractive
project. Indeed, the Siekierki project is a fundamental part of the Aurelian portfolio and we remain committed to bringing this
significant gas resource to market. Mr Bainbridge comments in some detail in his Chief Executive Officer’s review on our thinking
regarding the future of Siekierki.

The changing outlook for Siekierki is the main driver for the Board to have initiated the Strategic Options Review which we
announced recently.

Evidently, the current impact of the 2011 Siekierki programme on our share price has been severe. Throughout this difficult period we
have received encouraging support from our shareholders and I would like to thank them for that.

Importantly, our cash position at 31 December was €63.4 million, which allows us to carry out our planned exploration and appraisal
activities well into 2013.

Exploration

Our exploration portfolio has been critically examined and re-structured by Dr Smallwood, our Exploration Director. It now focusses
on four distinctive plays in Central Europe. Two of these plays have been matured for testing with the drill bit in 2012. The Sosna-1
well is planned to test the Zechstein ‘reef’ oil play in the Torzym concession in western Poland in Q2. The other play test will be
Aurelian’s first operated thrust belt well. Prospects in East Karpaty in southern Poland are approaching drillable status and Svidnik in
Slovakia is also being matured as a drilling option. All these wells are intended to be play-opening in the success case, in that they
would de-risk a number of additional prospects and leads identified within the existing Aurelian portfolio. The acreage position is
under review, with two new concessions being added in the Polish sector of the core areas in 2011, namely Prusice and Wetlina,
while two fringe blocks, Romanian Cuejdiu and Bulgarian B1-Golitza, are being relinquished.

Our Relationships

We recognise that we are unlikely to be successful in creating value in our business without the excellent relationships we have built
with governments, service providers and the communities in our areas of operation. We appreciate their input and consider it a prime
enabler of safe and effective operating performance.

Our people

Last September we were delighted to announce the appointment of Mr Rozwadowski as an independent Non-executive Director. He
brings valuable regional insight to the Board, particularly in the context of operating within Central Europe and Poland. At the end of
November, Mr Reid resigned as Chief Financial Officer for personal reasons. We wish him well in his new career. We are most
grateful to Mr Matthews for stepping into the role of Finance Director at short notice and at a crucial time for Aurelian.

We have continued to invest in our people, building stronger teams in all of our locations. I believe that the expertise we can now
bring to bear in any situation is remarkable for a company of our size and I would like to thank all our staff for their resilience and
excellent contribution during this last year.

John Conlin
Chairman
Chief Executive Officer’s Review

Strategic Options Review

2011 was an extremely challenging year for the Company. The steady progress we made in 2010 was overshadowed by
disappointing well results in both of our core areas. Geological risk and uncertainty is part of the exploration business and yet we
found ourselves caught in a perfect storm across conventional, unconventional, operated and non-operated plays. Specifically, the
initial production rates from the first two MFHWs on our Siekierki tight gas project were significantly lower than we had forecast and
our conventional thrust fold belt exploration programme did not make a significant discovery. It was a tough year for exploration
companies across the board but particularly hard for pioneers in early stage appraisal and high impact, emerging plays like Aurelian.
The support of all our staff, partners and shareholders has been essential and the Board and I would like to express our deepest
thanks in helping the Company move forward.

Whilst we retain our first mover advantage in Central Europe and we believe we have good people with the right experience,
expertise and technical skills to deliver project success across the Aurelian portfolio, the Board recognise that to unlock shareholder
value we will require more time, technology and capital. It is for this reason that we announced the Strategic Options Review in
February 2012 and appointed Greenhill & Co. to assist us in establishing the best way forward. The Review is continuing and I look
forward to updating you in due course. In the meantime, we continue to execute the plans we have set out; moving the appraisal of
the Siekierki tight gas field forward and drilling the high impact exploration prospects in central and southern Poland, Slovakia and
Romania.

In the review below, I have touched on the key achievements and challenges we have endured over the year across our businesses.
I have also described how, despite the initial set-backs, we have weathered the storm and face 2012 stronger for the experience and
with a lot to look forward to.

Unlocking value through technology

Our strategy remains the exploration, appraisal and development of onshore hydrocarbon resources, through the application of
proven technologies to underexplored hydrocarbon systems. In our tight gas business, this means employing horizontal drilling and
fracture stimulation processes, and across our exploration business this means applying modern 2D and 3D seismic, along with the
latest thinking in geology and geoscience.

In 2011, we executed two MFHWs (approximately 5,000m and 5,500m along holes), drilled the deviated vertical Krzesinki-1 gas
discovery well and conducted the first urban 3D seismic survey in the city of Poznań as part of the appraisal of the Siekierki gas field.
These activities involved a number of technological firsts for the region such as the use of multistage fracture stimulation, directional
drilling and wireless geophones. In total, we acquired 1,657km of new 2D and 120km 2 3D seismic data in 2011 to deepen our
exploration prospect inventory and de-risk our high impact plays. This brings our investment in new seismic technology to over €19
million since 2009. Whilst technology transfer has had its challenges, notably in the Trzek-2 well on the Siekierki gas field, we remain
convinced that our strategy remains solid and that we are steadily progressing up the learning curve.

Sustainability

During the year, we continued with our commitment to grow a sustainable business in such a manner as to provide enduring benefits
to shareholders, stakeholders, staff and the communities in which we operate. We are committed to ensuring the health and safety of
all who work with us and to protect the environment in which we work. We insist that all our contractors maintain the same high
standards. Our ultimate goal is zero harm to people and the environment, and our HSE performance last year was good. As part of
our efforts at improvement, we have updated our HSE management system and placed a greater emphasis on sustainable
development.

The Company respects the communities in which it works and seeks to continuously improve the ways in which it contributes directly
or indirectly to the economy and well-being of those communities. We recognise that understanding and respecting local communities
is essential to ensuring the Company’s continued presence in the locations where we operate. This has been particularly true in
Poznań where we worked closely with community groups and local government to explain and minimise the implications of “fraccing”
on the Siekierki tight gas project, a subject that has been particularly sensitive in the USA. Aurelian has been a pioneer in this regard,
working closely with regional and national agencies to establish suitable legislation in Poland for these new oil field practices.

Economic review and the European hydrocarbon revolution

The Central European Energy Market continues to have compelling economic fundamentals despite the continuing Eurozone crisis.
High reliance on imports results in strong local demand for indigenously produced hydrocarbons. Fiscal terms remain some of the
most attractive in the world and gas prices in Poland remain robust. There has been some speculation about moves by the Polish
government to tighten these terms and we have seen this recently in the licence fee charges associated with the block 208 licence
extension. However, we believe that any changes are likely to be modest and will not impact upon the overall attractiveness of the
financial terms in Central Europe.

With these fundamentals, the market has seen significant new entrants, creating intense competition for new licences and
concessions, as well as the services required to carry out the necessary drilling and exploration programmes. This trend looks set to
continue throughout 2012. Aurelian, with its first mover advantage and technical and regional expertise, is an ideal partner for any
new entrants into this market.
Review of our core areas in Central Europe

Our strategy continues to be focussed on the exploration, appraisal and development activities in two core areas. The core areas
contain assets which offer potentially material returns to shareholders, significant room for organic and accelerated growth, and have
the potential to deliver 50mmboe of proven reserves net to Aurelian.

Three exploration wells were drilled in 2011. Krzesinki-1 (Poland, block 207 in Poznań East) and Niebieszczany-1 (Poland, block 457
in Bieszczady) were both flow-tested as gas discoveries, while Horodnic-1 (Romania, Brodina block) was a dry hole.

A considerable investment in seismic data was made during 2011 to de-risk previously identified prospects and leads, and to provide
reconnaissance data in some areas where no data had previously existed. Aurelian’s continuing strategy of applying existing
technology for the first time in the region continued with the completion of Poland’s first urban 3D seismic survey in block 206 in
Poznań North. Furthermore, all seven operated and three non-operated seismic surveys were completed within budget.

Core area 1: The southern Permian Basin: The Rotliegendes and Zechstein plays in central and western Poland

The main focus of our activities in 2011 was the Siekierki tight gas project. We executed a three-well appraisal programme to
establish the likely recovery rates from long-reach horizontal wells and to establish the lateral extension of the field to the south-west.
All three well results were below our expectations and those of the market. Trzek-2 and Trzek-3 flowed at 3.0 and 3.2mmscf/d
respectively after 14 and 28 days of testing and Krzesinki discovered 5-20bcf gross GIIP.

Although the results were disappointing, the data collected has significantly improved our understanding of the asset. In October
2011, we commissioned an independent review by the technical consultants TRACS. The results of the review were that the Siekierki
gas field is still a material and attractive project. A CPR is being finalised by RPS. We have now answered many of the questions
posed by the initial results. We now have a much better understanding of the gas field and a clear plan to take the project forward
involving further testing, early commercialisation of gas and export system, and a strategic partner. Based on the above, we are
planning for first test production by the end of 2013.

The Siekierki project is a fundamental part of the Aurelian portfolio and we remain committed to bringing this significant gas resource
to market.

On our Torzym block in central Poland we have matured our ‘reef’ oil business. We plan to spud our first oil well targeting a mid-case
35mmbbl gross STOIIP prospect in April 2012. This is an exciting block with several potential follow-on prospects and leads already
mapped.

We have obtained the Prusice licence, a shale gas block adjacent to San Leon’s acreage in the Fore-Sudetic Basin in central Poland.

Core area 2: The Carpathian Thrust Fold Belt in southern Poland, Slovakia and central Romania

During the year we continued to develop our second core area. On our highly prospective Bieszczady licence, the Niebieszczany-1
well discovered 50bcf gross GIIP in two horizons and identified a 200bcf gross GIIP resource play in the Krosno Formation (Aurelian
estimates). This is something we will continue to work with the operator, PGNiG, to determine whether the discoveries can be tied in
commercially.

The deeper targets remain untested across the Bieszczady block and we have further delineated the subsurface of the licence
through two additional 2D seismic surveys; one of 312km completed in March 2011 and a second of 262km completed in February
2012, increasing the block coverage to 60%.

Across the Polish Carpathians, Slovakia and Romania we shot 6 surveys covering 1,082km. This investment to enhance our prospect
inventory has been incorporated into our plan to drill in Q4 2012, and in Slovakia, the Medzilaborce survey is expected to add further
prospects to those currently identified in Svidnik.

In Romania we tested the Sarmatian sand play on our Brodina licence with the Horodnic-1 exploration well. The well showed that the
Voitinel trend did not extend south and we will now focus on the thrust belt potential to the west of the Brodina block.

We have also obtained the Wetlina licence, a fold belt play close to the Bieszczady block in southern Poland.

Our people and values

We continue to enhance the technical depth and project execution skills at all levels of the Company. During 2011, we have added
capability in exploration with the appointment of Dr Smallwood as Exploration Director and built up our subsurface team of UK and
Poland based senior geologists and geophysicists, reducing our reliance on third party consultants. We have also strengthened the
Kraków operating base with the appointment of Paweł Chałupka as Operations Director and Eric Beaumont as Senior Drilling
Manager.

Aurelian’s values are Integrity, Courage, Resilience, Acting Like Owners and most of all a Winning Mentality. We have had to draw
heavily on these values over the last year and it is a credit to our people that we have endured and moved on. I would like to add my
personal thanks to all our employees, contractors, consultants and their families for all their hard work and character during the most
challenging year in the Company’s history.
2011 results

The reported loss of €10.1 million for the period (2010: €16.9 million) included €1.4 million of costs relating to the disposed Romanian
business (2010: €7.2 million), and exploration write-offs of €3.8 million (2010: €4.6 million).

Cash of €63.4 million was held at year-end 2011 (2010: €114.7 million plus €1.7 million held in a disposal group), which is enough to
fund our exploration programme for the next 18 months.

During the year, the net outflow of cash of €53.0 million (2010: inflow of €102.4 million) included the following major items: €6.3
million of operational expenses (2010: €8.3 million), €54.4 million of capital expenditure (2010: €20.3 million) and €1.2 million related
to the early settlement of the Gemini loan facility (“Gemini loan”) (2010: nil), offset by receipts of €5.3 million from the disposal of our
non-core Romanian assets (2010: nil), €2.2 million from the issue of shares to staff and advisers on the exercise of options and
warrants and €0.8 million in bank interest received (2010: €0.4 million).
                                                                                                                                    2
The completion of Trzek 2 and 4 other wells drilled during 2011 cost a total of €33.8 million. 1,657km of 2D seismic and 120km of 3D
seismic was shot during the year, generating trends and prospects, enhancing our portfolio and costing a total of €10.7 million.

Summary and outlook

2011 was an incredibly challenging year for Aurelian. Operational difficulties and pressure on the share price have tested our values
of courage and resilience in adversity. We have weathered the storm and face 2012 stronger for the experience and can build on
what we have learnt. The insight that we have gained on Siekierki through the pioneering 2010/11 appraisal programme is an
important step forward for the Company. We now know a lot more about this project and have developed a more precise and phased
appraisal plan to capture its value, which we are now executing. 2012 will see us perform further well tests and bring in a strategic
partner. This will help us target the recovery of the 422bcf (gross) of 2C Contingent Resources and the €383 million of NPV attributed
to it by RPS .
            1




We have assembled a great team and Aurelian has created an attractive platform in Central Europe, comprising a diversified portfolio
of operated exploration and appraisal licences, which would be very difficult to replicate. We also have strong working relationships
and in-country operating experience. We are absolutely committed to delivering shareholder value and believe that the Strategic
Options Review is the correct mechanism for determining the right course of action.

The strategic hypothesis of unlocking value through technology in oil and gas exploration and production in an energy-dependant part
of the world remains intact. We are moving the Company forward.

Rowen Bainbridge
Chief Executive Officer




1
 Siekierki is a discovery and, as such, is assigned a significant quantity of Contingent Resources. The NPV quoted is the mid-case
2C development recovering 422bcf of gas.
Consolidated statement of comprehensive income
Year ended December 31, 2011
                                                                    Notes     Year to     Year to
                                                                            31-Dec-11   31-Dec-10
                                                                                €’000       €’000


Other administrative expenses                                                 (5,377)     (3,763)
Transaction related professional costs                                              -        (14)
Exchange loss                                                                   (109)       (399)
Equity settled share based payments                                             (422)       (170)
                                                                              (5,908)     (4,346)
Exploration costs impaired                                                    (3,847)     (4,620)
Total administrative expenses                                                 (9,755)     (8,966)


Other operating income                                                             1          14

Operating loss                                                                (9,754)     (8,952)

Finance income                                                                  1,119       1,055

Finance expense                                                                  (11)     (1,782)

Loss before tax                                                               (8,646)     (9,679)

Taxation                                                                            -           -

Loss from continuing operations                                               (8,646)     (9,679)


Loss from discontinued operations, net of tax                                 (1,427)     (7,202)


Loss for the year attributable to owners of the parent                       (10,073)    (16,881)


Other comprehensive income

Foreign currency translation (loss)/gain                                      (8,425)       1,166
Total comprehensive income attributable to owners of the parent              (18,498)    (15,715)


                                                                              Year to     Year to
                                                                            31-Dec-11   31-Dec-10
                                                                              € cents     € cents

Loss per share – basic and diluted loss per 5p ordinary share for             (1.76)c     (2.83)c
continuing operations

Loss per share – basic and diluted loss per 5p ordinary share          3      (2.05)c     (4.94)c
Consolidated statement of
changes in equity
Year ended December 31, 2011


                                                                                  Share
                                                                                  based                    Exchange
                                                    Share         Share        payment            EBT     translation         Other      Retained          Total
                                                   capital     premium          reserve        reserve        reserve      reserves        deficit        equity
                                                    €’000         €’000          €’000          €’000          €’000         €’000          €’000         €’000


At 1 January 2010                                  15,498        65,856           2,124              -       (9,479)              3      (15,787)        58,215
Loss for the year                                        -             -              -              -              -             -      (16,881)      (16,881)
Foreign currency translation gain                        -             -              -              -         1,166              -              -        1,166
Share capital issued                               14,852       124,725               -              -              -             -              -      139,577
Share issue costs                                        -       (7,175)              -              -              -             -              -       (7,175)
Share based payments                                     -             -           171               -              -             -              -             171
At 31 December 2010                                30,350       183,406           2,295              -       (8,313)              3      (32,668)       175,073
Loss for the year                                        -             -              -              -              -             -      (10,073)      (10,073)
Foreign currency translation loss                        -             -              -              -       (8,425)              -              -       (8,425)
Share capital issued                                  369         1,823               -              -              -             -              -        2,192
Purchase of shares by EBT                                -             -              -          (167)              -             -              -            (167)
Share based payments                                     -             -           422               -              -             -              -             422
At 31 December 2011                                30,719       185,229           2,717          (167)      (16,738)              3      (42,741)       159,022



Share capital
Amounts subscribed for share capital at nominal value.
Share premium account

The Share premium account represents the amounts received by the Company on the issue of its shares in excess of the nominal value of the shares, net of
issue costs incurred.
Share based payment reserve
The balance held in the Share based payment reserve relates to the fair value of the share options and deferred shares issued that have been charged to the
Statement of Comprehensive Income since adoption of IFRS 2.

EBT Reserve
The EBT Reserve represents the cost of shares purchased by the Employee Benefit Trust to satisfy employee share awards.

Exchange translation reserve
The Exchange translation reserve includes movements that relate to the retranslation of the results and balances of subsidiaries whose functional currencies are
not the Euro.

Retained deficit
Cumulative net gains and losses recognised in the Statement of Comprehensive Income net of amounts recognised directly in equity.
Consolidated statement of financial position
Year ended December 31, 2011


                                                                     As at       As at
                                                                 31-Dec-11   31-Dec-10
                                                                     €’000       €’000

Non current assets
Oil & Gas costs pending determination                               95,732      56,511
Other intangible assets                                                 42          16
Property, plant and equipment                                          779         178
Investments                                                              -           -
                                                                    96,553      56,705
Current assets
Inventory                                                            1,168           -
Trade and other receivables                                          7,311      10,977
Cash and cash equivalents                                           63,413     114,729
                                                                    71,892     125,706

Assets in disposal groups classified as held for sale                    -       9,020
                                                                    71,892     134,726
Total assets                                                       168,445     191,431

Current liabilities
Trade and other payables                                           (9,405)    (13,163)
Loans and borrowings                                                   (8)     (1,241)
                                                                   (9,413)    (14,404)

Liabilities directly associated with assets in disposal groups           -     (1,954)
classified as held for sale

Non current liabilities
Loans and borrowings                                                  (10)           -

Net assets                                                         159,022     175,073



Capital and reserves
Called up equity share capital                                      30,719      30,350
Share premium account                                             185,229     183,406
Share based payment reserve                                          2,717       2,295
EBT Reserve                                                          (167)           -
Exchange translation reserve                                      (16,738)     (8,313)
Other reserves                                                           3           3
Retained deficit                                                  (42,741)    (32,668)
                                                                  159,022     175,073
Consolidated statement of cash flows
Year ended December 31, 2011

                                                                             Year ended             Year ended
                                                               Notes          31-Dec-11              31-Dec-10
                                                                                   €’000                  €’000

Cash flows from operating activities
Cash used in operations                                          4                (6,270)                (8,266)
Interest paid                                                                        (47)                   (92)
Tax paid                                                                                -                    (3)
Net cash used in operating activities                                             (6,317)                (8,361)

Cash flows from investing activities
Purchase of property, plant and equipment                                           (811)                  (349)
Purchase of intangible non current assets                                        (53,598)               (19,912)
Proceeds from sale of Romanian subsidiary                                           5,300                      -
Interest received                                                                     808                    397
Amounts invested in subsidiaries                                                        -                      -

Net cash used in investing activities                                            (48,301)               (19,864)

Cash flows from financing activities

Proceeds from issue of ordinary shares                                              2,192               132,402
Repayment of Gemini loan                                                          (1,241)                 (509)
Finance arrangement costs                                                              (9)                (500)
Net cash generated from financing activities                                          942               131,393



Decrease/(increase) in cash and cash equivalents in the year                     (53,676)               103,168

Cash and cash equivalents at start of year                                       116,391                 13,989

Foreign currency translation differences                                              698                     (766)

Cash and cash equivalents at end of year                                          63,413                116,391

Cash and cash equivalents at 31 December 2010 include €1.7 million classified as held for sale in the Group
Statement of Financial Position. €114.7 million related to continuing operations.
Notes to the accounts

1. Segmental information


The Group has five reportable segments as set out below. The operating results of each of these segments are regularly reviewed by the Group's chief
operating decision makers in order to make decisions about the allocation of resources and to assess their performance.
During the year revenue of €nil million (2010 €2.317 million) was recognised by the discontinued Romanian segment in respect of customers comprising
10% or more of the Group's total revenue for the year.



2011                                  Poland      Romania        Bulgaria      Slovakia      Corporate            Total     Adjustments*               Total
                                       €'000        €'000           €'000         €'000          €'000            €'000            €'000               €'000
Other operating costs (net)              (993)         (72)           (57)          (84)         (5,262)         (6,468)                561        (5,907)
Impairments and provisions               (175)      (3,816)          (138)             -             (7)         (4,136)                289        (3,847)
Segment result (operating
loss)                                  (1,168)      (3,888)          (195)          (84)         (5,269)        (10,604)                850        (9,754)
Finance income                             115            -              -             -           1,004           1,119                  -          1,119
Finance expense                              -        (580)              -             -              (8)          (588)                577           (11)
Loss before tax                        (1,053)      (4,468)          (195)          (84)         (4,273)        (10,073)              1,427        (8,646)
Taxation                                     -            -              -             -                -              -                  -              -
Loss for the year                      (1,053)      (4,468)          (195)          (84)         (4,273)        (10,073)              1,427        (8,646)

* Adjustments relate to Romanian discontinued operations (see Note 2)

2011                                                              Poland       Romania         Bulgaria        Slovakia         Corporate              Total
                                                                   €'000         €'000            €'000           €'000             €'000              €'000
Segment assets                                                      94,963         4,640             451           7,349             61,042       168,445
Segment liabilities                                                (7,338)         (868)            (16)            (88)            (1,113)        (9,423)
Cost in year to acquire property, plant and equipment and
intangible fixed assets                                            41,424          3,468            139            2,891                874        48,796
Depreciation, depletion and impairment of property, plant
and equipment and intangible fixed assets                            (186)       (3,491)           (144)                -             (185)        (4,006)



2010                                  Poland      Romania        Bulgaria      Slovakia      Corporate             Total    Adjustments*             Total
                                       €'000          €'000         €'000         €'000           €'000            €'000            €'000            €'000
Revenue                                    -          2,317             -              -              -            2,317          (2,317)                -
Cost of sales                              -        (1,303)             -              -              -          (1,303)            1,303                -
Other operating costs (net)            (584)          (412)          (10)          (63)         (3,675)          (4,744)              412          (4,332)
Impairments and provisions             (304)        (9,004)       (3,117)            (2)           (15)         (12,442)            7,822          (4,620)
Segment result (operating
loss)                                    (888)      (8,402)        (3,127)          (65)         (3,690)        (16,172)              7,220        (8,952)
Finance income                               8           23              -             1           1,046           1,078               (23)          1,055
Finance expense                            (1)          (2)              -             -         (1,781)         (1,784)                  2        (1,782)
Loss before tax                          (881)      (8,381)        (3,127)          (64)         (4,425)        (16,878)              7,199        (9,679)
Taxation                                     -          (3)              -             -               -              (3)                 3              -
Loss for the year                        (881)      (8,384)        (3,127)          (64)         (4,425)        (16,881)              7,202        (9,679)

* Adjustments relate to Romanian discontinued operations (see Note 2)

                                                                                                                                 Romania
2010                                                Poland      Romania        Bulgaria        Slovakia      Corporate      (Discontinued)          Total
                                                      €'000       €'000           €'000            €'000          €'000              €'000          €'000
Segment assets                                       58,958        3,693          2,457            5,236       112,067               9,020        191,431
Segment liabilities                                 (8,340)            -        (2,533)          (1,184)        (2,347)            (1,954)       (16,358)
Cost in year to acquire property, plant and
equipment and intangible fixed assets                23,522         1,347            956           1,508           (200)              1,654        28,787

Depreciation, depletion and impairment of
property, plant and equipment and intangible
fixed assets                                           (17)              -          (10)                -          (113)              (711)            (851)
2. Discontinued operations

In June 2011 the Company completed its sale of Aurelian Oil & Gas (Romania) S.R.L. (AOGR) to Raffles Energy Netherlands B.V., a subsidiary of the
Raphael Group. The sale included the AOGR corporate entity, the Bilca Gas Production Asset and the Suceava and Bacau blocks. The Aurelian Group has
carved out and retained two of the licences held by AOGR being the Cuejdiu licence and exploration portion of the Brodina licence, which have been
transferred to a newly formed Group entity, Aurelian Petroleum S.R.L.

The consideration paid on completion of the deal comprised €5.3 million for the oil and gas assets plus payments for working capital and the repayment of
capital injected into AOGR since the effective date of the deal, being 30 June 2010. The total amount received by Aurelian Oil & Gas PLC was €6.8
million and was treated in the books of the Company as a return of intercompany loan from AOGR.

The corporate assets of AOGR, and the non-current assets relating to the licences to be sold were classified in the Statement of Financial Position for 2010
as held for sale, and are not reflected in the Statement of Financial Position for 2011.

The loss for the current year related to discontinued operations consists of legal and professional costs related to finalising the sale (€561,000), a transfer to
the Income Statement of accumulated exchange differences previously recognised directly in equity (€577,000) and adjustments to the consideration
receivable €289,000).


The following are the totals for the major classes of assets and liabilities relating to these operations :

                                                                                                    31-Dec-11      31-Dec-10
                                                                                                        €'000          €'000
Oil & Gas costs pending determination                                                                       -          2,275
Other intangible assets                                                                                     -             29
Property, plant and equipment                                                                               -          4,090
Inventory                                                                                                   -              4
Trade and other receivables                                                                                 -            960
Cash and cash equivalents                                                                                   -          1,662
Assets in disposal groups classified as held for sale                                                         -         9,020


Trade and other payables                                                                                      -        (1,943)
Loans and borrowings                                                                                          -           (11)

Liabilities directly associated with assets in disposal groups classified as
held for sale                                                                                                 -        (1,954)


The loss on discontinued operations on the Statement of Comprehensive Income can be analysed as follows:


                                                                                                    31-Dec-11      31-Dec-10
                                                                                                        €'000           €'000
Gas sales                                                                                                   -           2,317
Costs of sale                                                                                               -         (1,303)
Other net operating expenses                                                                            (561)           (398)

Loss recognised on measurement of assets to fair value less costs to sell                                (289)         (7,815)
Recycling of exchange losses previously recognised in equity                                             (577)               -
Profit before tax                                                                                      (1,427)         (7,199)
Tax payable                                                                                                  -             (3)
Total loss recognised on discontinued operations                                                       (1,427)         (7,202)


The Group Statement of Cash Flows contains the following elements
related to Discontinued operations:
                                                                                                    31-Dec-11      31-Dec-10
                                                                                                        €'000           €'000
Net cash flows attributable to operating activities                                                     (657)           2,065
Net cash flows attributable to investing activities                                                     5,300         (1,632)
3. Loss per share
                                                                                                  31-Dec-11      31-Dec-10
                                                                                                      €’000          €’000
Loss for the period related to continuing operations                                                 (8,646)        (9,679)
Loss for the period related to discontinued operations                                               (1,427)        (7,202)
                                                                                                    (10,073)       (16,881)

                                                                                                       No.              No.
Basic weighted average number of shares                                                        490,780,949      341,658,297

                                                                                                       Cents          Cents
Loss per 5p share in Euro Cents related to continuing operations                                     (1.76)c        (2.83)c
Loss per 5p share in Euro Cents related to discontinued operations                                   (0.29)c        (2.11)c


Exercise of the share options and warrants would lead to dilution of future earnings per share.

The diluted loss per share has been calculated in accordance with the provisions of IAS 33 and is the same as the basic loss per share for the period.



For continuing operations the effect of all potential ordinary share issues arising from the exercise of options and part ownership interests going forward is
considered to be anti-dilutive. 7,915,910 (2010: 10,143,365) potential ordinary shares have been excluded from the above calculation for the continuing
operations as they are anti-dilutive.



4. Cash flow from operating activities
                                                                                                  31-Dec-11      31-Dec-10
                                                                                                       € 000          € 000
Loss after tax                                                                                      (10,073)       (16,881)
Adjustments for:
Finance income                                                                                       (1,119)        (1,078)
Finance expense                                                                                            11         1,784
Other operating income                                                                                    (1)          (66)
Tax charge for the year                                                                                     -             3
Share based payments                                                                                     422            170
Exploration costs impaired                                                                             3,847          4,627
Provision on measurement of assets held for sale to fair value less costs to sell                        289          7,815
Depreciation, depletion and amortisation                                                                 216            851
Exchange differences                                                                                   (412)            258
Increase in inventory                                                                                (1,164)              -
(Increase)/decrease in trade and other receivables                                                     3,402        (7,290)
(Decrease)/increase in trade and other payables                                                      (1,688)          1,541
Cash used in operations                                                                              (6,270)        (8,266)


5. Publication of non-statutory accounts


While the financial information included in this preliminary announcement has been prepared in accordance with the recognition and measurement criteria
of International Financial Reporting Standards (IFRSs), this announcement does not itself contain sufficient information to comply with IFRSs.


The financial information set out above does not constitute the Company's statutory accounts for 2010 or 2011. Statutory accounts for the year 31
December 2011 and 31 December 2010 have been reported on by the Independent Auditors. The Independent Auditors' Report on the Annual Report and
Financial Statements for both years was unqualified, did not draw attention to any matters by way of emphasis, and did not contain a statement under
498(2) or 498(3) of the Companies Act 2006.

Statutory accounts for the year ended 31 December 2010 have been filed with the Registrar of Companies. The statutory accounts for the year ended 31
December 2011, prepared under IFRS, will be delivered to the Registrar in due course.


6. Annual Report


The Company’s Annual Report will be posted to shareholders in early May, following which it will be available on the Company’s website at
www.aurelianoil.com.

				
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