Coastal Energy Company
Coastal Energy Announces Guidance for 2013

Coastal Energy Company 

26.11.2012 14:30
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HOUSTON, 2012-11-26 14:30 CET (GLOBE NEWSWIRE) -- Thailand, today announced the
following guidance for 2013: 

  -- The Company expects total company production to average 33,000 boepd (net
     to Coastal) for the full year. This estimate includes 27,000 bopd from
     offshore Thailand, 2,300 boepd onshore Thailand and net production from
     Malaysia averaging 3,700 bopd (Production expected to begin in early Q3).
  -- The Company expects operating expenses to average approximately $19.00 per
     bbl offshore Thailand, well below 2012 levels as the Company realizes a
     full year of facilities purchases for its Thailand operations.
  -- Total capital expenditures are expected to be approximately $315MM, down
     from the estimated $360MM in 2012. 2012 capital expenditures were largely
     driven by substantial facilities purchases which will be significantly
     lower in 2013. The reduction in facilities expenditures is offset largely
     by the doubling of drilling capex as the Company adds a second drilling rig
     for the full year. The Company is also expecting to incur higher than
     average capex onshore in Thailand due to the beginning of pipeline
     construction and the development drilling at the Dong Mun field. The
     breakdown of the Company's capex budget is $200MM offshore Thailand, $40MM
     onshore Thailand and $75MM Malaysia.

Randy Bartley, President & CEO of Coastal Energy commented:

'As our guidance demonstrates, we expect a strong 2013. Our business is
performing well and, given our highly prospective inventory, significant asset
base, exploration success and growing oil production profile, we are well
positioned to continue delivering value to our shareholders. 

'We continue to be pleased with our operational results. The first hydraulic
fracturing program at Bua Ban South is underway and initial results are
encouraging. If successful, this would be a viable solution to unlocking the
millions of barrels in lower porosity and permeability sands in the Songkhla
basin. We expect to provide a comprehensive update on this program prior to
year end. 

'Coastal is anticipating a busy 2013 as we put a second drilling rig to work in
Thailand. This will allow us to use one rig for development drilling and
increasing production while simultaneously drilling several of the high-impact
exploration prospects in our portfolio. We will also be working to bring our
first oil online in Malaysia and will be moving toward producing our first gas
from the Dong Mun field onshore Thailand. We expect to fund our capex budget
entirely out of cash flow.' 

The Songkhla A-19 water injector has been drilled and encountered 292 feet of
17% porosity Lower Oligocene sand and will make an excellent injector for the
south east block (A-10 & A-12) wells. The well also encountered 100 feet of
high quality Miocene M100 sand with 20 to 35% oil saturation. Although, the
Miocene here would not be commercially productive, it shows oil migration
through the Miocene in the Songkhla area. The recently shot 3-D seismic program
should help detect structural closures once processed and interpreted in Q113. 

The Company also disclosed that it had been in discussions with Pertamina about
a potential transaction, but those discussions have ended. 

Said Mr. Bartley, 'We are always evaluating our strategic alternatives, and we
will continue to do so, but we will not undertake any transaction unless we
believe it will deliver more value than our highly successful current strategy
of organic growth.' 

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

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. 


         Enquiries:
         
         Coastal Energy Company
         Email: investor@CoastalEnergy.com
         +1 (713) 877-6793
         
         Strand Hanson Limited (Nominated Adviser)
         +44 (0) 20 7409 3494
         Rory Murphy / Scott McGregor
         
         Macquarie Capital (Europe) Limited (Broker)
         +44 (0) 20 3037 2000
         Paul Connolly / Jeffrey Auld
         
         FirstEnergy Capital LLP (Broker)
         Hugh Sanderson / Travis Inlow
         +44 (0) 20 7448 0200
         
         Buchanan
         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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