Coastal Energy Company
Coastal Energy Announces Atwood Manta Rig Contract

Coastal Energy Company 

03.10.2012 23:25
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HOUSTON, 2012-10-03 23:25 CEST (GLOBE NEWSWIRE) -- Coastal Energy Company (the
'Company' or 'Coastal') (TSX:CEN) (AIM:CEO) announces the signing of a contract
with a subsidiary of Atwood Oceanics, Inc. for the Manta jackup drilling rig
for its operations in the Gulf of Thailand and offshore Malaysia. In accordance
with the contract, Coastal will pay a $145,000 day rate throughout the 12 month
firm duration. The Company anticipates delivery of the Manta by late November. 

Randy Bartley, President & Chief Executive Officer, commented:

'We are pleased to announce the signing of this contract with Atwood and are
eager to commence drilling with the Manta later this year. The addition of a
second drilling rig is an important milestone for Coastal, as it will allow us
to conduct our development and exploration programs simultaneously. Given the
active drilling program that we have outlined, we believe a two rig program is
an appropriate step toward unlocking the value of our highly prospective asset
base.' 

Randy Bartley, President and Chief Executive Officer of the Company and a
member of the Society of Petroleum Engineering and Jerry Moon, Vice President,
Technical & Business Development, a member of the American Association of
Petroleum Geologists, a Certified Petroleum Geologist and a Licensed
Professional Geoscientist in the state of Texas, have reviewed the contents of
this announcement. 

Additional information, including the Company's complete competent person's
report may be found on the Company's website at www.CoastalEnergy.com or may be
found in documents filed on SEDAR at www.sedar.com. 

This statement contains 'forward-looking statements' as defined by the
applicable securities legislation. Statements relating to current and future
drilling results, existence and recoverability of potential hydrocarbon
reserves, production amounts or revenues, forward capital expenditures,
operation costs, oil and gas price forecasts and similar matters are based on
current data and information and should be viewed as forward-looking
statements. Such statements are not guarantees of future results and are
subject to risks and uncertainties beyond Coastal Energy's control. Actual
results may differ substantially from the forward-looking statements. 

These securities have not been registered under United States Securities Act of
1933 (the 'US Securities Act') or the securities laws of any state and may not
be offered or sold in the United States or to US persons (as defined in
Regulation S under the US Securities Act) unless an exemption from registration
is available. 

The Coastal Energy Company logo is available at
http://www.globenewswire.com/newsroom/prs/?pkgid=10062 


         CONTACT: Enquiries:
         Coastal Energy Company
         Email: investor@CoastalEnergy.com
         +1 (713) 877-6793
         
         Strand Hanson Limited (Nominated Adviser)
         Rory Murphy / Paul Cocker
         +44 (0) 20 7409 3494
         
         Macquarie Capital (Europe) Limited (Broker)
         Paul Connolly / Jeffrey Auld
         +44 (0) 20 3037 2000
         
         FirstEnergy Capital LLP (Broker)
         Hugh Sanderson / Travis Inlow
         +44 (0) 20 7448 0200
         
         Buchanan Communications
         Tim Thompson / Ben Romney
         +44 (0) 20 7466 5000
News Source: NASDAQ OMX



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Language:     English
Company:      Coastal Energy Company
              3355 West Alabama
               Houston TX 77098
              Cayman Islands
Phone:        +1 (713) 877-6725
Fax:          +1 (713) 877-7144
E-mail:       investor@coastalenergy.com
Internet:     www.coastalenergy.com
ISIN:         KYG224041189
WKN:          
Listed:       London, Toronto
 
End of Announcement                             DGAP News-Service
 
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