Drillmar provides operational update and announces drilling of wells

Georgetown, Cayman Islands - February 12, 2009

The financial turmoil has created a challenging time for most industries and especially for smaller companies in the capital intensive E&P sector. Drillmar Energy is taking any possible measure to preserve cash and at the same time pursue opportunities that develops in this extraordinary environment. We are exploring possible business combinations with both public and private companies as capital raises are difficult in this environment.

The Company’s subsidiary Drillmar Oil & Gas, Inc is scheduled to spud the Rock Island well in Colorado County, Texas this week. The target depth is 3,000 feet and Drillmar has a 33% working interest. The well will be drilled with the Company’s casing enabled drilling rig “Vitesse”. Furthermore, the Company intends to drill the Looney well, also in Colorado County, subsequent to the Rock Island well. The target depth is 6,500 feet and Drillmar has 15% working interest. Thereafter, the Company has been contacted to drill a well on a contract basis for a third party either in between or following these two wells. However, no contract has been signed yet.

The previously reported Rooke #2 well in Refugio County encountered potential pay in laminated tight sands. The well is currently shut in for a build-up test.

As previously reported, the Company is finalizing a partnership ("Starr One") to drill 7 defined low risk prospects in Starr County, Texas. Drillmar plans to participate with up to 10% WI and promote out the remaining interests. The first well could spud as early as March 2009 although the current environment has resulted in a delayed start-up

For further information contact Haavard Strommen, Chief Financial Officer 713 221 1768 or visit the Company's website at www.drillmar.com

Drillmar Energy Inc is an oil and gas exploitation and production company. In the US, Drillmar Energy Inc is operating through its wholly owned subsidary Drillmar Oil & Gas Inc. Drillmar's strategy is to exploit the use of non-traditional drilling techniques and technologies.  These techniques and technologies include casing drilling, managed pressure drilling and certain petrophysical/geophysical reprocessing and remapping.  We have consistently made significant improvements in the efficiency and cost of developing oil and gas reserves for BP, Shell, PDVSA, PEMEX and Apache as well for our own account. We are currently qualified operator in Texas and Louisiana and have established appealing production and/or acreage positions in those states.