Empyrean Regulatory News (EME)

17 Oct 2006 15:30

Empyrean Energy PLC17 October 2006 Empyrean Energy PLC ("Empyrean" or the "Company"; Ticker: (EME)) Operations Update - Eagle North-1 in California, USA AIM quoted Empyrean Energy Plc today announces the following update on the EagleNorth-1 well, San Joaquin Basin, California, USA. Victoria Petroleum NL as operator for the Eagle North-1 horizontal well on theEagle Oil Pool Development Project in the San Joaquin Basin has advised that thedeep workover rig at the Eagle North-1 location has completed fishing operationsand is currently preparing the Eagle North-1 well bore for a future re-entry andside track to drill, complete and test the lower Gatchell oil sand zone. It is not considered cost effective to continue operations to retrieve theproduction valve and tubing conveyed guns in the horizontal well bore. The jointventure partners have decided that the money spent continuing the work overwould best be spent on a future re-entry and side track from the current casedEagle North-1 well bore. Planning has commenced for this future operation with the exact timing of theoperation subject to the availability of the required deep drilling rig,equipment and personel. The target zone for the re-entry and side track will be the 177 metres (580feet) of the lower Mary Bellocchi Gatchell oil sand in the horizontal well boreover the interval from 4,209 - 4,386 metres (13,810 - 14,390 feet). The lower Gatchell oil sands have produced at rates of up to 223 barrels of oilper day and 0.7 million cubic feet of gas per day from the 12 metre (39 feet)interval of lower Mary Bellocchi sand in the Mary Bellocchi-1 vertical well, 366metres to the southeast. A successful Eagle North-1 horizontal well and its subsequent productionperformance in the longer term will provide an indication of the potential sizeof the Eagle Oil Pool. Empyrean's Commercial Director, Tom Kelly commented - "The Eagle Oil Poolremains a very attractive appraisal target as we know that oil is there - wejust need to flow test." The information contained in this announcement has been 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 Angus Prentice/Laurence ReadConduit PRTel: +44 (0) 207 429 6603Mob: +44 (0) 79974 982512 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