Credo Announces 17% Increase in Fiscal 2012 Drilling Budget

Credo Petroleum Corporation

reported today that its Board of Directors has approved a 17% increase in the Company's fiscal 2012 drilling budget. Increasing its capital spending to $35 million allows the Company to increase its participation in Bakken and Three Forks drilling in fiscal 2012. Approximately 65% of the Company's $35,000,000 drilling budget is earmarked for the Bakken and Three Forks project. About 20 Bakken and Three Forks wells are currently scheduled for fiscal 2012. Individual wells are expected to cost about $10 million, and the Company's average working interest in the wells is estimated to be approximately 12%. The Company's actual working interest in individual wells will range from very small up to 20%.