IOG.L Regulatory News (IOG)

28 Jul 2006 10:24

Island Oil and Gas PLC28 July 2006 28 July 2006 ISLANDS SECOND CELTIC SEA WELL REACHES TARGET DEPTH AND ENCOUNTERS GAS SHOWS Island Oil & Gas plc ("Island" or the "Company") today announces that the secondwell of its 2006 and 2007 drilling programmes offshore Ireland, Well 49/23-1 atOld Head of Kinsale in the Celtic Sea, has been drilled to target depth and hasencountered gas shows over a gross interval of 150 feet. The Company is nowpreparing to log the well to further evaluate the gas shows. When evaluation ofthe logging information is complete, discussions will take place with thePetroleum Affairs Division of the Department of Communications, Marine andNatural Resources, in accordance with the normal procedures required, to reach adecision in relation to conducting any test programme Well 49/23-1, which was spudded on 12 July 2006 in a water depth of 296 feet, was drilled to its planned total depth of 4,133 feet TVD ss in just 16 days. Thegas shows encountered will be the subject of further evaluation followingcompletion of the logging programme. The Company intends to issue a furtherannouncement by the end of next week. Well 49/23-1 is operated by Island (with 100% equity interest) and was drilledusing the semi-submersible drilling unit, Petrolia, owned and operated byPetrolia Drilling Limited under contract to Island. Enquiries: Lisa J Newman MCIPR MIRSNewman ConsultingTel: +44 (0)1252 878682 Notes to Editors: Island was founded in 2003 and listed on AIM in December 2004. The Company hasinterests in nine Irish offshore licences, (four as operator and two astechnical manager), including one producing gas field. This drilling update has been reviewed and approved by Paul Griffiths, ChiefExecutive of Island. Paul Griffiths is a geology graduate of the Royal Schoolof Mines, Imperial College London, and is a member of the Petroleum ExplorationSociety of Great Britain. He has 30 years experience in the oil and gasexploration sector and is a qualified person as defined in the guidance note forMining Oil & Gas Companies, March 2006 of the London Stock Exchange. Further information on Island, and previous press releases, can be found on the Company's website at http://www.islandoilandgas.com This information is provided by RNS The company news service from the London Stock Exchange