Gulfsands Petroleum Regulatory News (GPX)

11 Sep 2006 07:03

Emerald Energy PLC11 September 2006 Emerald Energy Plc FOR IMMEDIATE RELEASE 11 September 2006 Operations Update - Syria Emerald Energy Plc ("Emerald" or the "Company") is pleased to announce thecommencement of drilling on the Tigris prospect within Block 26, Syria. The Tigris structure is located in the northeast region of Block 26 directlyunderlying the Souedieh Field, the largest known oil field in Syria. The TigrisNo.1 exploration well is expected to take 90 to 120 days to drill and evaluate.It will be a vertical well drilled to an approximate depth of 4,500 metres. Tigris No.1 will be the second well to penetrate the Carboniferous and Devonianaged reservoirs of the Tigris structure. The S1100 well, drilled in 1994 by theSyrian Petroleum Company and located approximately 1 kilometre northeast of theTigris No.1 well, was the first well to intersect these reservoirs within thisstructure. Independent interpretation of the wireline logs from the S1100 wellindicates a substantial hydrocarbon column. Ryder Scott Company, L.P. completed a reserves study and valuation of thepotential Probable and Possible reserves (unrisked) for the Tigris structure inBlock 26, Syria; these reports can be viewed on Emeralds' website atwww.emeraldenergy.com. Tigris No.1 is the second of four commitment wells to be drilled during theinitial exploration phase of the contract for Block 26 that ends in August 2007 Emeralds' Chairman, Alastair Beardsall, said: "We believe the data from the S1100 well indicates Tigris contains hydrocarbons;the drilling and testing of Tigris No.1 will determine if the mapped reservoirscontain sufficient reserves that can be produced at commercial flow rates forthe Tigris structure to be developed. In addition to Tigris, a number of leadsand prospects are being evaluated, the best of which will be selected for ourfuture drilling program." Emerald holds a 50% interest in Block 26 through its fully owned subsidiary SNGOverseas Ltd. Enquiries: Helen Manning 020 7925 2440 This information is provided by RNS The company news service from the London Stock Exchange