6th Oct 2006 07:01
Soco International PLC06 October 2006 SOCO International plc ("SOCO" or "the Company") Vietnam TGT-4X Well Test Results SOCO is an international oil and gas exploration and production company,headquartered in London traded on the London Stock Exchange and a constituent ofthe FTSE 250 Index. The Company has interests in Vietnam, Yemen, Thailand, theRepublic of Congo (Brazzaville) and the Democratic Republic of Congo (Kinshasa)with production operations in Yemen. The third appraisal well on the Te Giac Trang ("TGT") structure, drilled on aseparate fault block between the initial discovery well, TGT-1X, that flowed at9,340 barrels of oil equivalent per day ("BOEPD") and the TGT-3X that flowed at9,908 BOEPD, has been plugged and abandoned. TGT-4X was drilled to aid thedetermination of the best location for the initial development and to assess theextent of the TGT Field. The well results mean that the initial development willnow take place in the northern fault block tested by the 1X and 2X wells. TheReserve Assessment Report for the TGT field, which is the first step leading toDeclaration of Commerciality, is well underway. The well intersected the hydrocarbon bearing Lower Miocene reservoir interval aspredicted. However, the trap had been breached and only residual oil wasencountered. The well also encountered hydrocarbons in the Oligocene "D"interval, a new reservoir on the Block, and flowed at a rate slightly over 600barrels of oil per day on a short test. Detailed review of the seismic has identified that the breaching of the LowerMiocene trap is due to late movement on a fault located south of the TGT-4Xwell. This appears to be the only such fault on the TGT field and the effect isconsidered to be local to this well. While this will continue to be one of thegeneral risks to some of the exploration prospects on Block 16-1, this has noimpact on our view of TGT reserves. Weather permitting, the rig will immediately move to the "K" prospect on Block16-1 to spud the initial exploration well. The Ca Ngu Vang sidetrack, "CNV-4X ST", on Block 9-2 is currently testing.Results should be available early next week. Ed Story, President and Chief Executive of SOCO, commented: "Even with three of the four wells drilled on TGT testing between 9,340 BOPD and17,500 BOPD, we do not expect every well drilled on this exciting clasticsfairway on Block 16-1 to be an unqualified success. We continue to refine ourplay model as we gather information from the drilling programme and willincorporate the results of TGT-4X into the evaluation of the remainingprospects. The declaration of commerciality and early development is proceedingas planned. The exploration drilling programme carries on with essentially a well resultevery 30 days on Block 16-1. Thus we will continue to have a regular news flowfrom Block 16-1. Moreover, the new discovery in the Oligocene "D" intervalmerits further evaluation and illustrates the attractiveness of the overallclastics exploration play with multiple targets." 6 October 2006 ENQUIRIES: SOCO International plcRoger Cagle Deputy Chief Executive and Tel: 020 7747 2000 Chief Financial Officer Pelham Public RelationsJames Henderson Tel: 020 7743 6673Alisdair Haythornthwaite Tel: 020 7743 6676 Notes to editors: SOCO holds its interests in Vietnam, all in the Cuu Long Basin offshore, throughits 80% owned subsidiary SOCO Vietnam Limited (SOCO Vietnam) and through its100% ownership of OPECO, Inc.. SOCO Vietnam holds a 25% working interest inBlock 9-2, which is operated by the Hoan Vu Joint Operating Company and holds a28.5% working interest in Block 16-1, which is operated by the Hoang Long JointOperating Company. OPECO, Inc. holds a 2% interest in Block 16-1. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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