IOG.L Regulatory News (IOG)

8 Aug 2007 07:01

EnCore Oil PLC08 August 2007 Press ReleaseFor immediate release: 8 August 2007 EnCore Oil plc ("EnCore" or "the Company") EnCore Announces Successful Testing on Schull Gas Discovery EnCore Oil plc (LSE: EO.) is pleased to announce that the Schull gas appraisalwell on Exploration Licence 5/05 located in the Celtic Sea, offshore Ireland,has successfully tested dry gas at a rate of 21 million standard cubic feet perday through a 72/64" choke. The gas was produced from the Upper Wealdenreservoirs encountered between 2,332 feet and 2,599 feet measured depth belowrotary table. Well 57/2-3 ("the well") encountered a gross gas column of 292 feet,significantly greater than that prognosed prior to drilling. The reservoir wasencountered 84 feet high to prognosis. These positive drilling and testingresults upgrade the Schull gas field to a potential standalone development aswell as enhancing the prospectivity of additional undrilled structures withinthe Schull licence area. The well is being suspended as a potential gasproducer. Island Oil & Gas plc ("Island"), the operator, is now commissioning a commercialand engineering study to determine the optimum development scenario for theSchull, Old Head and West Seven Heads gas fields. The Schull field is locatedimmediately to the southwest of the Seven Heads gas field and the associatedinfrastructure linking Seven Heads to the Kinsale Alpha platform. Alan Booth, EnCore's Chief Executive Officer, commented: "We are very pleased with our two successful appraisal wells at Old Head andSchull, which together give us a meaningful position offshore Ireland. We lookforward to the results of the commercial and engineering study." EnCore has a 12.5 per cent. interest in the Schull Field. Island and ValhallaOil and Gas Limited have interests of 62.5 per cent. and 25 per cent.respectively. Peter Williams B.Sc. (Hons.) in Physics and EnCore's Group Technical Manager,who has over 35 years' engineering experience in the oil exploration andproduction industry, has reviewed and approved the technical informationcontained in this announcement. For further information, please contact: EnCore Oil plc www.encoreoil.co.uk ----------------------Alan Booth, Chief Executive Officer +44 (0)20 7224 4546Eugene Whyms, Chief Financial Officer Aquila Financial Limited www.aquila-financial.com --------------------------Peter Reilly +44 (0)20 7202 2601Yvonne Fraser +44 (0)20 7202 2609 Hanson Westhouse LimitedTim Feather +44 (0)113 246 2610 KBC Peel HuntJonathan Marren +44 (0)20 7418 8900 Notes to Editors: EnCore Oil plc (EO.) is a UK focused exploration and production company listedon the Alternative Investment Market (AIM) on the London Stock Exchange. EnCore's strategy is to create shareholder value through the successfulexploration and appraisal of prospects and discoveries, and the development ofthose assets through to commercial sanction or beyond. EnCore is led by an experienced and proven management team. EnCore holds a balanced portfolio of interests in licences with the potentialfor providing major capital growth. This portfolio includes interests in the UKContinental Shelf (UKCS) offshore, several of which include operatorship; UKonshore in the Cleveland, Weald and Wessex basins; offshore Ireland; offshore inthe Netherlands; and offshore in the Western Sahara. During 2007/2008 EnCore expects to participate in the drilling of at leasttwelve wells. www.encoreoil.co.uk This information is provided by RNS The company news service from the London Stock Exchange