DNO International ASA - November 2009 Production Report

(“DNO” or “the Company”)


DNO is today reporting November 2009 production. DNO’s working interest production was 13,276 bopd in November 2009 and DNO’s net entitlement production was 8,378 bopd.

 

 

PRODUCTION REPORT

 

Yemen production

 

DNO's working interest (WI) production from Yemen in November 2009 was 7,748 bopd and DNO’s net entitlement production was 4,693 bopd. Average realized oil price in November was 78 USD/bbl.

 

Production from Yemen is reported as follows:

 

(Bopd)

Q3 2009

Oct 2009

Nov 2009

YTD-09

Gross production

18,535

19,224

19,535

18,825

DNO’s working interest (WI)

7,542

7,677

7,748

7,768

DNO’s net entitlement (NE)

4,987

4,604

4,693

5,399

Achieved oil price (USD/bbl)

69

74

78

60

 

 

 

 

 

The production figures include crude oil consumed in the operation of the Company’s production facilities, at an accumulated volume of 271 bopd in October 2009.

 

Iraq production

 

DNO's working interest (WI) production from Kurdistan in November 2009 was 5,528 bopd and DNO’s net entitlement production was 3,685 bopd.

 

Production from Tawke is reported as follows:

 

 (Bopd)

Q3 2009

Oct 2009

Nov 2009

YTD-09

Total gross production

41,157

5,595

6,142

15,968

DNO’s working interest (WI)

37,036

5,036

5,528

14,371

DNO’s net entitlement (NE)

24,796

3,357

3,685

9,581

 

The operation of the Company’s production facilities did not consume any crude oil in November 2009.

 

As previously reported DNO will now focus on local sales until a future payment mechanism for crude exports is in place. Since export halted 22 September all the production from Tawke is delivered to the domestic market.

 

 

SUMMARY OF DRILLING ACTIVITIES

 

The planned sidetrack drilling of Nabrajah-10 commenced on 21 November. The well is designed as a horizontal production well, targeting the Jurassic Shuqra formation dolomite, already proved oil producing in the well Nabrajah-5. The pilot-hole is now drilled and logged. Based on the evaluation of the results a 800 meter horizontal well section will now to be drilled within this formation.

 

The drilling operation of the Bayoot-7 Basement development well is ongoing. The well has proved oil shows and gas reading at the top of basement, as expected. The well is planned to be completed with a 900 meter section in the basement reservoir. Drilling problems have caused delays in the operations. The well is expected to be put on production during January 2010. Several new development wells are planned to be drilled at the Bayoot field in 2010.

 

There are currently no drilling activities in Kurdistan.

 

DNO International ASA

22 December, 2009