DNO ASA - February Production and Yemen Drilling Update

 

 

DNO's oil production (WI) for February 07 and January 07 was as follows (bopd):

 

 

 

Production from Yemen was lower compared to January due to some well work at the Tasour Field (production logging campaigns and work overs). However, the output from the Sharyoof Field (+350, gross) and Godah (+170 bopd, gross) increased from January. The Nabrajah Field produced at the same level as for January.

 

On the Nabrajah Field a new Qishn infill well has been drilled and brought on stream at an initial gross oil rate of 1.450 bopd (reference is also made to the Yemen drilling status reported below).

 

DNO estimates that the oil production to the Company will increase to approximately 26,000 bopd by year end, and that the average 2007 production will be 20,000 bopd.

 

 

 

The production figures (WI and net entitlement) include crude oil consumed in the operation of the Tasour Field, at a volume of approximately 170 bopd.

DNO has an extensive drilling program in Yemen during 2007 and rig capacity has been secured for all the wells. A total of 22 wells are planned to be drilled this year; 13 exploration wells and 9 appraisal / development wells. To date 3 exploration wells and 1 infill well have been completed and reported.

This announcement includes 3 new wells; 1 exploration well and 2 infill wells, and the status and results are as follows:

 

 

Following the interpretation of the new 3-D seismic acquired across the Nabrajah Field during second half of 2006, drilling has resumed at the Field. Drilling of Nabrajah # 12 commenced on 21st February, and was drilled as a Qishn infill well. 
 

The well has been brought on stream at an initial gross flow rate of 1.450 bopd. The results from the well together with the interpretation of the new 3-D seismic form the basis for the location of several additional Qishn infill targets.

The rig will now move to the location of Nabrajah # 13, which will test a new play concept within the Nabrajah area. Based on the results from this well along with the Nabrajah # 12 reported above, a revised drilling plan for Nabrajah will be prepared.

 

 

Drilling of Sharyoof # 25 commenced on 28 February and the well is planned as a water injector. This is the third infill well at the Sharyoof Field drilled over the past 6 months. The Sharyoof # 23 and # 24 were both drilled as infill oil producers and was brought on stream at initial gross flow rates of 1,700 bopd (November 06) and 1,100 bopd (February 07) respectively.
 
Block 44 (65,1 %)

 

Drilling of Ardah #1 exploration commenced on 24th February. The primary objective of the well is a Qishn Formation target, but the well is also planned to explore for deeper carbonate reservoirs. This is the second exploration well drilled by DNO as the Operator in the block.