Empyrean Regulatory News (EME)

18 Oct 2006 08:09

Empyrean Energy PLC18 October 2006 Empyrean Energy PLC ("Empyrean" or the "Company"; Ticker: (EME)) Sugarloaf Hosston Prospect, Texas USA ------------------------------------- AIM quoted Empyrean Energy PLC today announces that at 6am Texas time on 17thOctober 2006 the Sugarloaf-1 exploration well, located in the onshore Gulf CoastBasin in Texas, USA, was at a depth of 17,000 feet (5,183 metres) and theoperator was preparing to run 7 inch liner to be tied back into the 9 5/8 inchcasing set at 14,480 feet (4,415 metres). Since the last report, the well drilled 2,520 feet (768 metres) of 8 1/2 inchdiameter hole, mostly in a Cretaceous age limestone, which was a secondary gastarget in the well. In this interval, several methane-only gas shows wereobtained. In order to isolate the extensive interval of limestone inanticipation of higher pressures in the Hosston Formation target, drilling washalted at 17,000 feet (5,183 metres) to enable a 7 5/8 inch liner to be run andcemented in place. Wire-line logs have been run over the interval 14,480 to 17,000 feet (4,415 to5,183 metres) and preliminary interpretation indicates the presence of a fewthin zones of interest. A decision as to whether any zone is sufficientlyattractive to warrant production testing will be made by the joint venture oncethe well has reached total depth and final logs are available. After the 7 inch casing has been run and set, drilling will resume towards andinto the primary Hosston Formation target, which is expected to be reachedwithin a few days. Based on seismic data and an offset well the HosstonFormation is anticipated to consist of more than 4000 feet (1,220 metres) ofinter-bedded sandstones and shales with the potential for multiple prospectiveintervals. The proposed total depth of 21,000 feet (6,400 metres) is expected to be reachedduring November assuming trouble-free drilling The information contained in this announcement was completed and reviewed by theTechnical Director of Empyrean Energy Plc, Mr Frank Brophy BSc (Hons) who hasover 40 years experience as a petroleum geologist. For further information Laurence Read/ Ed Portman Conduit PR Tel: +44 (0) 207 429 6605 / +44 (0) 7979955923 Empyrean Energy plcTel : +44(0) 207 932 2442 Imran Ahmad/ Cecil JordaanHB-CorporateTel: +44(0) 207 510 8600 This information is provided by RNS The company news service from the London Stock Exchange