8 Sep 2008 07:00
Immediate Release 8 September 2008
GLOBAL ENERGY DEVELOPMENT PLC
COMBINED TEST RESULT FOR TILODIRAN 3 WELL
SIGNIFICANT UPLIFT IN PRODUCTION
Global Energy Development PLC (the "Company"), the Latin America focused petroleum exploration and production company (LSE-AIM: "GED"), which operates in Colombia through its wholly-owned subsidiary Harken de Colombia Limited, is pleased to announce a combined test result for the Tilodiran 3 well within the Colombian Rio Verde contract. Previous testing had already proved four productive zones within three different formations in the well.
An electric submersible pump was installed in the Tilodiran 3 well at a depth of 7,198 feet to increase the pressure drawdown and thus facilitate the clean up of the perforations in the Mirador (11,652 to 11,662 feet), Ubaque (12,836 to 12,842 feet), Lower Gacheta (12,744 to 12,748) / (12,806 to 12,814 feet) and Middle/Upper Gacheta (12,672 to 12,680 feet) / (12,690 to 12,694).
The production test of all the zones within the three formations is continuing and the well continues to clean up. The well is currently producing at a rate of approximately 1,280 barrels of oil per day ("BOPD") with 9% basic sediment and water ("BS&W") that analysis shows as having a significant content of completion fluid and is expected to further reduce as the well continues to clean up. The combined gravity is 17.8 degrees API and the current gas/oil ratio ("GOR") is 245 scf per barrel.
Application has now been made to the Colombian Ministry of Mines and Energy ("the Ministry") to allow the Company to produce the formations on a commingled basis. Based upon detailed analysis of the well data obtained to date, and the provisions of the Colombian Petroleum Code, management believes appropriate conditions exist for such approval to be forthcoming.
The Company averaged gross production of 1,169 BOPD for the first seven months of 2008 so the addition of the Tilodiran 3 well will provide a significant uplift to the Company's overall production volumes.
For further information:
Global Energy Development PLC
Catherine Miles, Company Secretary +44 (0) 20 7763 7177
www.globalenergyplc.com +44 (0) 7909918034
Landsbanki Securities (UK) Limited +44 (0) 20 7426 9000
Fred Walsh / Sebastian Jones
Notes to Editors:
The Company's shares have been traded on AIM, a market operated by the London Stock Exchange, since March 2002 (LSE-AIM: "GED"). The Company's balanced portfolio covers the countries of Colombia, Peru and Panama and comprises a base of production, developmental drilling and workover opportunities and several high-potential exploration projects.
The information contained within this announcement has been reviewed by Mr. Stephen Voss and Mr. Stephen Newton, both Directors of the Company. Mr. Voss is a Registered Professional Engineer in Texas and has been a Member of SPE for 25 years. Mr. Newton holds a Mining/Petroleum Engineering degree from the University of Queensland, Brisbane and a Master of Science Petroleum Engineering degree from Imperial College London. He has been a Member of SPE for 35 years.