Investment update

16 March 2009

AIM: XTR

                          XTRACT ENERGY PLC
                     ("Xtract" or the "Company")

                  INVESTMENT UPDATE - Extrem Energy

Further to the announcement made  on 19 December 2008, Xtract  Energy
Plc ("Xtract") is pleased to provide the following update on a number
of aspects of  the development  of its Turkish  joint venture  Extrem
Energy A.S. ("Extrem Energy").

Post Drill Evaluation of Sarikiz Field

A further interpretation  of the  seismic data over  the Sarikiz  oil
field has been completed to incorporate the well data obtained during
the successful drilling of Sarikiz-2. The structure is now mapped  as
a fan-delta body with an area of 4.0km2 which is approximately double
the  area  previously  assumed.  Although  Sarikiz-2  encountered   a
combined reservoir thickness of 75m,  it is prudently estimated  that
the average thickness  over the  full 4.0km2  will be  50m. On  these
bases, the  estimated  total  oil  in place  (P50)  is  increased  to
approximately 158mbbl. The  recovery factor away  from the  Sarikiz-2
well location is unknown, but is expected to be in the range  20-35%.
The total estimated recoverable  oil from the  field is therefore  in
the range 32-55mbbl.

With respect to the Sarikiz-2  well itself, the previously  announced
estimates continue to apply. Based  only on the producible area  from
the well  at 0.3  km2, the  oil in  place is  estimated (P50)  to  be
16.5mbbl. With the expected recovery factor in this area at 35%,  the
recoverable oil in  place from  the single  well is  estimated to  be
5.8mbbl.

Extrem Energy holds an 80% economic interest in the  Alesehir/Sarikiz
licence. The  remaining  20%  is  held  by  Petrako  Petrol  Gas  and
Industrial Co.

Sarikiz-2 Production Test

The drilling rig for the production  test is expected to mobilize  to
the field by the  end of March  2009 and to  commence testing in  the
second half of April. The testing of the 12 levels of sandstone  will
take approximately one month. The daily production rate achieved will
be used to determine the number of  wells to be drilled in the  field
and the capacity of the surface facilities required. Production  from
the well  is  expected to  be  at least  500b/d.  Laboratory  reports
indicate good quality 33.5 API crude oil.

Siraseki 2-D Seismic Acquisition

In addition to  developing its  plans for Sarikiz,  Extrem Energy  is
conducting a  2-D  seismic  acquisition campaign  over  its  Siraseki
licence area in south eastern Turkey. As at 15 March 2009, 29.7km out
of a projected 182km of seismic lines had been acquired, representing
approximately 18.3% completion  of the project.  It is expected  that
further drilling targets will be identified following acquisition and
interpretation of  the  data. Extrem  Energy  holds a  100%  economic
interest in the Siraseki licence.

All operations are controlled and operated by Merty Energy,  Xtract's
joint venture partner in Extrem Energy.

Further progress updates will be provided as appropriate.

Xtract currently holds  20% of Extrem  Energy and has  the option  of
increasing  its  shareholding  to  34%  by  contributing  a   further
investment of US$3.5m before June 2009.

The above  information  has  been  reviewed  and  approved  by  Ongun
Yoldemir, Managing  Director  of Extrem  Energy,  who has  a  masters
degree in geological engineering and  worked as an explorationist  in
the oil and gas  sector in the  Middle East, Kazakhstan,  Azerbaijan,
and North Sea,  has over  28 years'  experience in  the resource  and
energy sector  and  is  a  member  of  the  American  Association  of
Petroleum  Geologists,   European  Association   of  Geologists   and
Engineers, the  Society  of  Exploration  Geophysicists  and  several
related Turkish institutions.


Enquiries please contact:


Xtract Energy      Andy Morrison, CEO  [phone]

Smith & Williamson David Jones         [phone]
Corporate Finance  Azhic Basirov

Scott Harris       Ian Middleton       [phone]
                   James O'Shaughnessy


About Xtract Energy

Xtract identifies and  invests in  a diversified  portfolio of  early
stage energy  sector  technologies and  businesses  with  significant
growth  potential.  The  Company  aims  to  work  closely  with   the
associated management teams to  achieve critical project  milestones,
to finance later  development stages,  and to  build and  crystallise
value for all shareholders and partners.

For further information on Xtract please visit www.xtractenergy.co.uk

A short description  of the  principal assets  of Xtract  is set  out
below. These assets are either held directly or through wholly  owned
subsidiaries of the Company.

MEO Australia Ltd ("MEO")

MEO (ASX: MEO) aims to become an integrated Australian Gas-to-Liquids
("GTL") company. In 2008, MEO made significant gas discoveries in the
Australian Timor Sea,  in an area  of shallow water  known as  Tassie
Shoal.  Early  commercialisation  of  these  discoveries  is  planned
through construction of  Liquified Natural Gas  ("LNG") and  Methanol
plants and export terminals  on the off-shore  Tassie Shoal. MEO  has
already secured Australian Government environmental approvals for two
large scale (1.8  Mtpa) methanol  plants and a  3 Mtpa  LNG plant  on
Tassie Shoal. Xtract owns approximately  11.6% of MEO's issued  share
capital.

Elko Energy Inc. ("Elko")

Elko is a Canadian registered oil & gas exploration company which has
interests in exploration  and production licences  in the Danish  and
Dutch North Sea. Its major asset is  in the Danish North Sea; an  80%
interest on  26 offshore  blocks in  a 5,400  sq km  exploration  and
production licence close  to the prolific  Central Graben oil  field.
Technical work indicates the potential for significant reserves. Elko
also holds a 60% operating interest in gas-bearing license blocks  P1
and P2 in  the Dutch North  Sea. Xtract owns  approximately 35.4%  of
Elko's issued share capital.

Extrem Energy AS ("Extrem Energy")

Extrem Energy is  an exploration  and production  joint venture  with
Merty Energy of Turkey. The JV's aim is to create a new  medium-sized
oil and gas exploration and production business, initially focused on
Turkey where Merty  Energy has particular  experience and  expertise.
Extrem Energy has a portfolio of licence interests including the high
potential prospect at Candarli Bay in south-west Turkey. Xtract  owns
20% of the issued share capital  of Extrem Energy and has the  option
of increasing its shareholding to 34% before 30 June 2009.

Xtract Oil Ltd ("XOL")

Xtract's wholly owned subsidiary, XOL, is focused on the  development
of the Company's oil shale resources in Australia and the  technology
for oil extraction  from oil  shale resources. Xtract  has oil  shale
exploration rights over mining tenements  in the Julia Creek area  of
Queensland. In addition to  evaluating third party technologies,  XOL
has  been  developing  proprietary  technology  for  the   commercial
extraction of liquid hydrocarbon products from oil shale.

Xtract Energy (Oil Shale) Morocco SA ("XOSM")

XOSM is  a  joint  venture with  Alraed  Limited  Investment  Holding
Company WLL, a company controlled by His Highness, Prince Bandar  Bin
Mohd. Bin  Abdulrahman Al-Saud  of Saudi  Arabia. XOSM  has signed  a
Memorandum  of   Understanding   with   the   Office   National   des
Hydrocarbures et  des  Mines  for  the  purposes  of  evaluation  and
possible development of  an oil  shale deposit near  Tarfaya, in  the
south west part of Morocco. Xtract  currently holds 70% of the  joint
venture.

Wasabi Energy Ltd ("Wasabi")

Wasabi (ASX:  WAS)  is  a diversified  investor  in  traditional  and
renewable energy  technologies. Amongst  its listed  assets it  holds
approximately 38%  of Rum  Jungle Uranium  Ltd (ASX:  RUM) which  has
interests in uranium exploration licenses  covering some 4,150 sq  km
of  Australia's  Northern  Territory   and  approximately  12.5%   of
Greenearth Energy Ltd  (ASX:GER) which  aims to  explore and  develop
geothermal resources in Australia and  the wider Pacific Rim.  Xtract
owns approximately 19.4% of the issued share capital of Wasabi.

Zhibek Resources Ltd ("Zhibek Resources")

Zhibek Resources is an oil and gas exploration and production company
which has a 72% interest in the Tash Kumyr and Pishkoran  exploration
licences in  the  Kyrgyz  Republic. Xtract  has  entered  a  farm-out
agreement to  fund  a seismic  and  drilling programme  for  2008-09.
Xtract owns 25.0% of the issued share capital of Zhibek Resources.

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