Circle Oil Plc Regulatory News (COP)

23 Aug 2007 07:01

Circle Oil PLC23 August 2007 CIRCLE OIL PLC ("Circle" or the "Company") ZITA WELL COMMENCES IN TUNISIA Circle Oil plc (AIM:COP), the international oil and gas exploration anddevelopment company, is pleased to announce, in partnership with Exxoil TunisieLtd, the commencement of drilling operations on the Zita Prospect in the RasMamour Permit, southern Tunisia. Drilling operations commenced on the 20th August 2007 and are anticipated tocontinue for the next two months. The well is targeting the two main reservoir types in the area which include thefractured dolomites of the Cenomanian Zebbag formation, which form the mainreservoir of the nearby Ezzaouia oilfield and the Upper Jurassic sands levels ofthe M'rabtine formation which are also productive in the Ezzaouia field. Further announcements will be made in due course. Commenting on the start of drilling operations David Hough, CEO, Circle Oilsaid: "Today marks the start of an 18 month series of field based operations forCircle in North Africa and the Middle East. Over the next few months, we plan to drill 3 wells in Tunisia and begin 3D seismic studies on our Moroccan RharbBasin licence. In addition, a very busy work schedule is currently beingprepared for Tunisia, Morocco and Oman for 2008 which will drive the next phaseof Circle's evolution and progression towards becoming a balanced explorationand production company." For further information contact: Circle Oil plcDavid Hough, CEO (+44 20 7638 9571) Citigate Dewe Rogerson (+44 20 7638 9571)Media enquiries: Martin JacksonAnalyst enquiries: George Cazenove Collins Stewart Europe Limited (+44 20 7523 8350)Chris Howard Notes to Editors Circle Oil Circle Oil plc (AIM: COP) is an international oil & gas exploration anddevelopment company with a growing portfolio of assets in Morocco, Tunisia,Namibia, Oman and Panama. The company listed on AIM in October 2004. Circle has the largest licence holding of any company in Oman. In addition toBlock 52, the company also has an ongoing exploration program in onshore Block49. Worldwide, the company is active in exploration in the Owambo Basin,Namibia; in the Caribbean Sea, offshore Panama; the Rharb Basin, Morocco; theRas Mamour Permit in southern Tunisia and Grombalia Permit in northern Tunisia. The Company's strategy is to locate and secure licences in new hydrocarbonprovinces and through targeted investment programmes, monetise the value inthose assets for the benefit of shareholders. This could be achieved throughfarm-outs to selected partners who would then invest in and continue thedevelopment of the asset into production, or Circle may itself opt to use itsown expertise to appraise reserves and bring assets into production, generatinglong term cash flow for further investment. www.circleoil.net This information is provided by RNS The company news service from the London Stock Exchange