Operational Update

Cardinal Resources plc
20 September 2006


CARDINAL RESOURCES PLC ANNOUNCES OPERATIONAL UPDATE

LONDON - Wednesday, 20th September 2006

Cardinal Resources plc (AIM:CDL) ('Cardinal' or 'the Company'), an independent
oil and gas production and exploration company operating in Ukraine, today
announces an operational update.

The Dubrivska (DB) #2 exploratory well has been drilled to a total depth of
3,806 metres with the primary objective of testing a potential carbonate
reservoir in the Visean Carbonate Plate. Work on this well was started by Rudis
Drilling Company in June of 2005 prior to its acquisition by Cardinal in October
2005. It was drilled using Ukrainian equipment with total depth reached in March
2006. The well, which is covered by a 50/50 joint activity agreement (JAA #429)
with Ukrgazvydobuvannya (Ukrgaz), encountered encouraging hydrocarbon
indications within the Carbonate Plate; however, tests of the primary objective
recovered non-commercial quantities of light oil.

A secondary objective in the Visean-19 (V-19) formation between 3,420 and 3,430
metres was also tested with encouraging indications of gas and condensate. Tests
to date of the V-19 have produced at an undetermined rate a mixture of gas,
condensate and water, with water dominating. Log analysis indicates that the
V-19 is hydrocarbon bearing and Cardinal believes the water is most likely
coming from a water-bearing sand below the V-19.

With the presence of hydrocarbons on the Dubrivska licence confirmed by the DB #
2 well, Cardinal has begun a 3-D seismic survey covering approximately 25 square
kilometres on the licence, the results of which should be available by spring
2007. The seismic will be evaluated in conjunction with the V-19 and Carbonate
Plate hydrocarbon indications to decide whether further drilling on the licence
should take place. The DB #2 well has been temporarily abandoned pending the
results of the 3-D survey.

An agreement has been made with Ukrgaz to take wells #18 and #26 on the
Kulickykhin Field out of JAA #429 and return them 100% to Ukrgaz. Production at
these wells has declined significantly since the beginning of the year - July
production averaged 42 boepd versus 256 boepd in February. In return, Ukrgaz has
verbally agreed to complete the North Yablunivska (NY) workovers of wells #201,
#203 and #300 at their expense. The workover of NY #203 is ongoing.

Well #4 on the North Yablunivska (NY) licence, which is covered by JAA #429, has
spudded. The objective is the Tournaisian 1 (T-1) reservoir and total depth is
to be 5,400 metres. The well is being drilled with a Ukrainian rig hybridised
with modern drill bits and mud conditioning equipment.

Cardinal will release its interim results on Wednesday, 27th September.

Cliff West, Executive Vice President and Chief Operating Officer of Cardinal
(Member of the American Association of Petroleum Geologists - Certified
Petroleum Geologist # 1563) is the qualified person that has reviewed and
approved the technical information within this press announcement.

Glossary of Terms
boepd                   barrels of oil equivalent per day

                                      ###

For further information please contact:

Cardinal Resources         Parkgreen Communications
Kate Spiro                 Justine Howarth / Victoria Thomas
[phone]       [phone]
[e-mail]     [e-mail]


Notes to Editor

Cardinal Resources plc
Cardinal Resources plc is an independent oil and gas company engaged in the
acquisition, development, production and exploration of oil and natural gas
properties in Ukraine. Cardinal is an experienced operator in the country
focused on expanding its existing operations through the farm-in or acquisition
of additional upstream oil and gas assets that can be further developed through
the application of modern technology and expertise.

Cardinal's main assets are:

Rudivsko-Chernovozavodske (RC) Field
Rudivsko-Chernovozavodske is a large under-developed gas field (1.54 TCF
original gas in place), located in the Dnieper-Donets basin, 200km east of Kiev
in the Poltava Oblast. Cardinal has a Joint Activity Agreement (JAA) with a
subsidiary of Ukrnafta for production and further development.

Bytkiv-Babchenske (Bytkiv) Field
Bytkiv-Babchenske is an oil field, located in the Carpathian fold belt, 45km
south-west of Ivano-Frankivsk in the Nadvirna Oblast. Cardinal has a 45%
interest through UkrCarpatOil, a Joint Venture (JV) with Ukrnafta, to operate
and develop the field.

Plus the following assets which were acquired as part of the Rudis Drilling
Company transaction in 2005:

Bilousivsko-Chornukhinska (BC) Licence
Bilousivsko-Chornukhinska is a producing gas-condensate licence in the
Dnieper-Donets basin, owned and operated by Cardinal.

North Yablunivska (NY) Licence
North Yablunivska is a producing gas-condensate licence in the Dnieper-Donets
basin, owned by Cardinal and operated under the JAA.

Dubrivska (DB) Licence
Cardinal has drilled an exploration well as part of the JAA with
Ukrgazvydobuvannya.

Ukrgazvydobuvannya JAA #429
Cardinal has a 50% percent interest in a JAA with Ukrgazvydobuvannya which
covers certain wells on the NY licence area and one well in the Bilskie field.

This release may contain certain forward-looking statements. These statements
relate to future events or future performance and reflect management's
expectations regarding Cardinal's growth, results of operations, performance and
business prospects and opportunities. Such forward-looking statements reflect
management's current beliefs, are based on information currently available to
management and are based on reasonable assumptions as of this date. No
assurance, however, can be given that the expectations will be achieved. A
number of factors could cause actual results to differ materially from the
projections, anticipated results or other expectations expressed in this
release. While Cardinal makes these forward-looking statements in good faith,
neither Cardinal, nor its directors and management, can guarantee that the
anticipated future results will be achieved.






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