13th Mar 2006 14:00
Meridian Petroleum PLC13 March 2006 13 March 2006 MERIDIAN PETROLEUM PLC ("Meridian" or "the Company") Activity Update Meridian, the oil & gas exploration and production company with key assets inthe USA and Australia, today issued the following update on its activities. Victory 1-21 (10% WI) Work on deepening the well commenced on Monday, 6 March 2006 and is proceedingas per the initial schedule outlined in the Authority for Financial Expenditure("AFE"). The only restrictions are the Frost Laws1, currently in place incertain Michigan counties, which restrict the movement of heavy equipment. Milford 36 (25% WI) The Company is currently assembling the equipment and personnel so as to be in aposition to commence work on the well soon after the Frost Laws'1 restrictionsare lifted. Calvin 36-1 (80% WI 67.5% NRI) Permitting with the State of Louisiana is on schedule. It is anticipated thatwork will commence in the week of 27 March 2006 on the final completion and hookup will be in early April. Orion (100)% WI) Permitting for the Orion asset has commenced and the Company is expecting tocommence drilling operations in the second quarter of 2006. State of Mississippi The Company has commenced a leasing programme in the State of Mississippi inorder to develop significant acreage positions over 3 specific Lower Tuscaloosaoil recovery projects. Additionally, the Company has purchased and re-processedseveral seismic lines over the acreage prior to the commencement of leasing. Itis likely that a 3D seismic survey will run over the acreage in question laterthis year with drilling operations scheduled for early 2007. This acreagecompliments the Middleton Creek prospect of which the Company owns 100%. US Coal Bed Methane Prospect Meridian has completed a detailed internal review, including site visits, of afeasibility study commissioned by the Company on a significant Coal Bed Methane(CBM) prospect in a well known area of production in the USA. The study andCompany comments are now with our reserve engineers, Scott Pickford, for reviewand comment. Australia A complete technical review of the Dolores prospect by Meridian is underway andshould be completed by the end of March 2006. The review has entailed there-processing of all available seismic lines over the target plus detailedseismic analysis and the re-calculation of the Direct Hydrocarbon Indicator(DHI). Once the review has been completed it will be passed to our reserveengineers Scott Pickford for detailed technical comment. The Company is also awaiting results from its Australian lawyers on its nativetitle applications; the Company has been advised to expect a positive outcomefrom these negotiations within the next few months. It should be noted thatactive operations cannot commence until the issue of native title is resolved. 1 The Frost Laws in Michigan restrict the movement of heavy vehicles duringperiods of heavy frost to protect the conditions on the public highways whichcan suffer from severe damage during periods of heavy frost. These areestimated to be effective until mid April when the frosts become less heavy. Anthony Mason, Chief Executive of Meridian said: "This is a busy and exciting time for Meridian Petroleum following our recentplacing of shares and as we push forward with our plans. We remain focused onmoving towards production and building reserves and I am confident that we willbe able to announce further progress in the near future." Enquiries: Meridian Petroleum (020 7409 5041)Tony Mason, Chief Executive Westhouse Securities (020 76016100)Richard Morrison Citigate Dewe Rogerson (020 7638 9571)Media enquiries: Martin Jackson / George CazenoveAnalyst enquiries: Nina Soon This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
PPC.L