Positive results from South Chestnut, performance on the Chestnut Field and the Company's participation in the Third Faroese Licensing round.

Tórshavn, Faroe Islands, 5th November 2008 - Atlantic Petroleum (OMX: FO-ATLA)
the international upstream oil and gas company, today announced positive
results from the South Chestnut 22/2a-16Y appraisal/production well, an update
on the Chestnut Field performance, and an update on the Company's participation
in the in the Third Faroese Licensing round. 

Commenting on the announcement, Wilhelm Petersen, Managing Director of Atlantic
Petroleum said: 

“Encouragingly for our shareholders, the results of the South Chestnut
production well have been positive. The well was drilled based on innovative
seismic technology which the group used to identify the optimal well location.
The well will become the second producer well on the field and will be tied
back and brought on stream early next year, adding significant value in -terms
of production and reserves to the field. In addition to this the production
rates from the Chestnut Field have been in the upper end of expectations, and a
second lifting via tanker off-take has been successfully completed. In addition
to this and in line with our longterm strategy, Atlantic Petroleum, in a strong
partnersship with StatoilHydro, DONG Energy and Faroe Petroleum, have submited
an application for acreage's in the Faroes Third Licencencing round” 

A second Chestnut appraisal/production well, South Chestnut, which was spudded
7th September 2008, has been successfully drilled, completed and tested. The
well was completed across 64' of oil bearing sandstone and produced at a
maximum gross rate of 9,000 boepd during testing, the rate being restricted by
the surface test facilities. Downhole pressure measurements, taken during
testing, confirm that the well is connected to the main body of the field and
can therefore be supported by the injection well that was drilled in 2006 as
part of the overall field development plan. The new production well will be
tied-in to the subsea infrastructure during early 2009 and is expected to
significantly increase production rates, recoverable reserves and overall field
life. Investment in this second production well was sanctioned in May 2008 and
is expected to be brought on stream in less than nine months from when that
decision was taken. 

The Chestnut Field has been developed using the innovative Sevan Hummingbird
floating production storage and offloading vessel ('FPSO'). It has already
produced nearly 500,000 barrels of oil from the single production well. The
average gross production rate since the first oil production is 12,000 barrels
of oil equivalent per day ('boepd') or 1,800 boepd net to Atlantic Petroleum.
The production up time has been in excess of 99% despite final commissioning
activities on several systems continuing after first oil. 

Atlantic Petroleum holds a 15% working interest in Block 22/2a containing the
Chestnut Field. 


Atlantic Petroleum has together with is partners, StatoilHydro, DONG Energy and
Faroe Petroleum submitted an application for acreage in the Faroese Third
Licensing round. The application was submitted prior to the closing date of 3rd
November by the operator StatoilHydro. The award of licences is expected to
take place around yearend 2008. 


Further Details
Further details can be obtained from Wilhelm Petersen, Managing Director, tel
+298 350 100 (wilhelmp@petroleum.fo) or Teitur Samuelsen, Financial Manager,
tel +298 350 100 (teiturs@petroleum.fo). This announcement will be available,
together with other information about Atlantic Petroleum, on the Company's
website: www.petroleum.fo. 

P/F Atlantic Petroleum	  Telephone +298 350 100              Issued 05-11-2008
Gongin 9	                    Fax +298 350 101
P.O. Box 1228	           Website: www.petroleum.fo
FO-110 Tórshavn 
Faroe Islands

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Notes to Editors:

Chestnut Field

•	The Chestnut Field is one of the oldest undeveloped oil fields in the North
Sea having been discovered in 1986 

•	Chestnut lies approximately 180 kilometres east of Aberdeen in a water depth
of 120 meters and is located 13 kilometres  south east of the Alba oil field 

•	The Chestnut field co-venturers are: 
o		Venture Production plc (operator) - 69.875% 
o		Bow Valley Petroleum (UK) Limited - 15.125% 
o		Atlantic Petroleum UK - 15%

•	Atlantic Petroleum acquired its 15% interest in the Chestnut Field in 2003

•	FDP (Field Development Plan) approval for the Chestnut Field was obtained in
late 2005 for a single production well development with water injector support 

•	The water injector well (22/2a-12) was drilled by the partnership mid-2006
and showed good pressure communication with the original production well 

•	First oil was achieved on 22nd September 2008.

Sevan Hummingbird

•	The Hummingbird platform is a Sevan 300 FPSO (floating production storage and
offloading vessel) with an oil storage capacity of 270,000 barrels. The unit
can carry up to 3 risers and umbilicals and will have an oil processing
capacity of 30,000 barrels of oil per day and a water injection capacity of
20,000 barrels of water per day.