6th May 2008 07:03
Tullow Oil PLC06 May 2008 News release Operations Update - Successful Mahogany-2 appraisal well 6 May 2008 - Tullow Oil plc (Tullow) announces that the Mahogany-2 well, whichis being drilled to appraise the Jubilee field offshore Ghana, has intersected asignificant column of light oil. Results of drilling, wireline logs and samplesof reservoir fluid, indicate that Jubilee is a single continuous stratigraphictrap extending at least 11km to the Hyedua-1 discovery well in the adjacentDeepwater Tano licence. Mahogany-2, which lies in the West Cape Three Points licence, is the firstappraisal well on the Jubilee field and is targeting the Turonian turbiditesandstones encountered in the Mahogany-1 and Hyedua-1 discovery wells. Thewell has encountered a gross reservoir interval of 243 metres, containing 63metres of high quality stacked reservoir sandstones, and net hydrocarbon-bearingpay of 50 metres. Results of logging and pressure testing indicate that thecombined hydrocarbon columns are in excess of 600 metres. Analysis of the oil samples from the Mahogany-1 discovery well had suggested thepotential for a gas cap at the Mahogany-2 location. No gas cap has however beenencountered in this well thereby indicating the potential for the Jubilee fieldto extend further up-dip of this location. A limited flow test will now commence on Mahogany-2 to determine potentialproduction rates from these excellent quality reservoirs and to collect furtheroil samples for analysis. Testing is expected to take approximately four weeksand the well will then be suspended for use as a potential development well. Mahogany-2 has been drilled to a total depth of 3,443 metres by the Songa Saturndrillship in water depths of 1,080 metres. Three more Jubilee appraisal wellsare planned for 2008 and will be drilled by the Blackford Dolphinsemi-submersible. The next Jubilee appraisal well, Hyedua-2, is expected tocommence in July in the adjacent Deepwater Tano licence in which Tullow has a49.95% interest. Tullow has a 22.9% interest in the West Cape Three Points licence. Otherpartners include Kosmos Energy (Operator 30.875%), Anadarko Petroleum (30.875%),the E.O.Group (3.5%), Sabre Oil & Gas (1.854%) and the Ghana National PetroleumCorporation (GNPC) (10% carried interest). Tullow is the Unit Operator of theJubilee field. Commenting today, Aidan Heavey, Chief Executive of Tullow said: "The confirmation that Mahogany-2 is in communication with both Mahogany-1 andHyedua-1, reinforces our interpretation that Jubilee is a major discovery and islikely to lead to a material upgrade of current resource estimates. We willcontinue our appraisal and development programme over the remainder of 2008 withthe overall objective of achieving first production in 2010." For further information contact:Tullow Oil plc Citigate Dewe Rogerson Murray Consultants(+44 20 8996 1000) (+44 20 7638 9571) (+353 1 498 0300)Aidan Heavey Martin Jackson Joe MurrayTom Hickey Kate Delahunty Ed MicheauChris Perry Notes to Editors Tullow is a leading independent oil & gas, exploration and production group,quoted on the London and Irish Stock Exchanges (symbol: TLW) and is aconstituent of the FTSE 100 Index. The Group has interests in over 100exploration and production licences across 23 countries and focuses on four coreareas: Europe, Africa, South Asia and South America. Tullow's European interests are primarily focused on gas in the UK SouthernNorth Sea where it has significant interests in the Caister-Murdoch System andthe Thames-Hewett areas and operates over 70% of its production. The companyalso has interests offshore the Netherlands and Portugal. In Africa, Tullow has exploration and production in Gabon, Cote d'Ivoire,Mauritania and Equatorial Guinea and two large appraisal and developmentprogrammes in Ghana and Uganda. Tullow also has exploration interests inMauritania, Senegal, Congo (DRC), Tanzania, Madagascar, Namibia and Angola. In South Asia, Tullow has exploration and production in Pakistan and Bangladeshand high impact exploration activities in India. In South America Tullow has high impact exploration interests in Trinidad andTobago, French Guiana and Suriname. For further information please refer to our website at www.tullowoil.com This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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