CityView Energy Corporation Announces Subsidiary Western Nusantara Energi Pty Ltd. Has Commenced Well Servicing Operations on Two Wells.

SOUTH PERTH, Australia--(BUSINESS WIRE)--Oct. 1, 1997--CityView Energy Corporation Limited's subsidiary Western Nusantara Energi Pty Ltd. ("Western Nusantara") as Operator of the Tanjung Miring Timur field in South Sumatra is pleased to announce that well servicing operations on two wells TMT 11 & 19 has commenced.

The program for the well servicing involves recovering the existing in-hole equipment (completion) and the rerunning of a modified completion that will result in the wells returning to production.

This is the first stage in remedial work on existing wells to increase field production and will be followed in November 1997 with five workovers. The workovers will involve a more detailed work program, including perforating of new zones.

Work is continuing with upgrades to the gas lift capability, to increase both volume and pressure of gas available for lifting of the crude oil from those wells on gas lift. At present gas lift is the main producing method employed in the field, accounting for 14 of the 19 wells on production.

Production is currently fluctuating between 300-600 barrels of oil per day. The present metering facility makes it difficult to accurately meter any 24 hour production. To remedy the situation, Western Nusantara is negotiating a revision to the method of custody transfer of its crude oil production to Pertamina, which should facilitate improved accuracy in allocation of entitlement.

Western Nusantara is owned 80% CityView Energy Corporation Limited and 20% PT Nusantara Energi Prima.

Yours faithfully

AP Woods

Company Secretary / Chief Financial Officer

CONTACT: Western Nusantara Energi Pty Ltd.

AP Woods, TEL: [phone]

FAX: [phone]

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