5th May 2006 11:17
Matra Petroleum PLC05 May 2006 MATRA PETROLEUM PLC PRESS RELEASE For immediate release: 5th May 2006 Matra Petroleum plc Matra Petroleum updates progress on Blue Topaz-9 Drilling at Blue Topaz-9 has reached 1775m in 8 1/2" hole. The top of theTriassic carbonate objective was encountered higher than anticipated atapproximately 1730m. 45m of the Triassic formation has been penetrated andsevere losses of drilling mud were encountered throughout the section. Drillingwas halted in order to evaluate the section with wireline logs. Interpretationof the logs has proved inconclusive. Some gas shows were encountered whilstdrilling in this section and there have been no oil shows. The forward programme is to set a 7" liner in the well to a depth just above theTriassic in preparation for a drill stem test in order to determine the fluidcontent of the Triassic section. Commenting on the well, Matra's Managing Director Peter Hind said, "It isencouraging to see permeability so well developed at this level however we areunable to reach a conclusion about the fluid present and for that reason we areproceeding to test the well. Drilling mud losses are commonplace at this levelin surrounding wells. The mud losses mask the presence of hydrocarbons whilstdrilling and in these carbonate rocks have made log analysis inconclusive.Despite the mud losses making drilling a little difficult, the well is in astable condition." Testing operations are expected to commence in 2-3 days time. For further information, please contact: Matra Petroleum www.matrapetroleum.com Peter Hind, Managing Director +44 (0) 7990 807 855 Aquila Financial Limited www.aquila-financial.com Peter Reilly +44 (0) 20 7202 2601 Yvonne Fraser +44 (0) 20 7202 2609 For the purposes of AIM Rule 11, this announcement has been reviewed by MatraPetroleum's Managing Director, Peter Hind BSc, a Petroleum Engineer of more than30 years standing and a member of the SPE. Background to Blue Topaz-9 Blue Topaz-9 is Matra's first exploration in the Inke Concession in Hungary. Thewell will test two independent objectives defined within an area of 3D seismic.Matra has a 100% working interest in and is Operator of the Inke Concession andin the Blue Topaz-9 well. The first objective is within the Miocene sandstone section anticipated belowapproximately 1400m with a best estimate of Prospective Resources of *44 bcf(billion cubic feet) of gas. The second objective is contained within theTriassic carbonate section below approximately 2000m with a best estimate ofProspective Resources of *5.8 million barrels of oil. Both of these horizons are known to be productive in fields adjacent to the InkeConcession. Rotary Drilling of Hungary moved its rig onto the location earlier in April anddrilling commenced on April 15th. The well is expected to cost a total of Euros2.5 million and take up to 30 days to complete. The Inke Concession is located some 120kms to the southwest of Budapest and tothe south of Lake Balaton. The concession has existing small oil and gasdiscoveries and several exploration drilling prospects currently underevaluation by Matra. \* The Prospective Resources estimates are calculated in accordance with SPE/WPCguidelines and are consistent with those stated within the Competent Person's(RPS Energy) Report included in the Admission Document dated 13 March 2006. Therange of estimates of Prospective Resources by RPS Energy is shown below. Low Best High Estimate Estimate Estimate bscf bscf bscf Miocene Gas Prospect 25.65 44.3 67.46 million bbl million bbl million bbl Triassic Oil Prospect 3.8 5.79 8.45 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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