IOG.L Regulatory News (IOG)

11 Apr 2006 08:02

Island Oil and Gas PLC11 April 2006 11 April 2006 ISLAND OIL & GAS EXECUTES DRILLING CONTRACT FOR MULTI-WELL DRILLING PROGRAMME IN 2007 Island Oil & Gas plc, ("Island"), the technology-led exploration and productioncompany, today announces that it has executed a further drilling contract withPetrolia Drilling Limited for the provision of the semi-submersible drillingunit "Petrolia" in 2007. The contract is for a 150 day drilling programme. It is currently anticipated that the 2007 drilling programme will be primarilyfocused along the Atlantic Margin off the west coast of Ireland, subject to thenecessary regulatory consents being granted. The remainder of the programmeremains flexible in order to allow for possible appraisal drilling based on apotentially successful outcome to our 2006 drilling campaign. In addition,Island is reviewing the opportunity to progress potential new internationalventures in Northwest Europe and North Africa, which are currently beingevaluated. Further details in relation to the 2007 drilling programme will be announced inthe coming months. Commenting on the execution of the drilling contract Paul Griffiths, ChiefExecutive of Island, stated: "The execution of the new drilling contract cements the very constructiveworking relationship that we have developed with Petrolia Drilling Limited. Itallows us to benefit fully from the huge amount of work that our highlyexperienced in-house drilling team, under the guidance of Andrew J. McHardy,Island's Drilling Project Manager, has put in to assist in preparing the rig formobilization for operations in Ireland in coming weeks, subject to the necessaryregulatory consents being granted. The 2007 drilling programme provides Island with an opportunity to evaluate itsexisting prospects, and potential future prospects, along the Atlantic Marginoffshore Ireland and, importantly, to potentially develop an internationalspread of exploration and appraisal drilling projects. Rig availability, in atight market, gives us significant leverage to use to attract new potentialpartners to our extensive portfolio of mature exploration projects at a timewhen quality, high risk/high reward exploration targets are in short supply andrig availability is limited." Enquiries: Lisa J Newman MCIPR MIRS Tel: +44 (0)1252 878682Newman Consulting Email: newmanconsulting@hotmail.com This information is provided by RNS The company news service from the London Stock Exchange