Petrofac Regulatory News (PFC)

26 Aug 2008 07:00



PRESS RELEASE

Valiant Petroleum plc ('Valiant or 'the Company') Spuds First Don Development Well

26 August 2008

Valiant Petroleum is pleased to announce that the first well has commenced drilling on the West Don field, located in Blocks 211/13b and 211/18a, by the John Shaw semisubmersible drilling rig. This development well marks the start of a seven well drilling campaign as the joint development of the West Don and Don South West fields (together the 'Don Fields') moves into full offshore execution. Valiant has a 17.275% interest in the West Don field and a 40% interest in Don South West field.

In addition to drilling operations, the Apache pipelay vessel has recently completed the first phase of pipeline installation and offshore installation of the subsea structures is set to commence in the coming weeks.

Valiant currently anticipates giving a more comprehensive update on the Don Fields development as part of a Detailed Trading Statement due to be issued no later than 31 October for the period to 30 September 2008.

Valiant's Chief Executive, Peter Buchanan commented

'We are pleased to announce the commencement of drilling on the Don Fields development which remains on target to deliver production to Valiant and its field partners during the first half of 2009. Drilling by the John Shaw is another important milestone in the Company's journey towards first oil." 

In accordance with the AIM Rules, the information in this announcement has been reviewed and signed off by Brian Elliot, Operations Director, who has over 20 years relevant experience within the sector.

For further information, please contact:

Notes to the Editors

1. The Don South West field is located in Block 211/18a (license P.236) and the West Don field is a unitized field that straddles Blocks 211/13b and 211/18a (licenses P.1200 and P.236, respectively) of the northern North Sea. The Don Fields are located approximately 150 km northeast of the Shetland Islands in a water depth of approximately 500ft. The operator for the Don Fields is Petrofac Energy Developments Limited.

2. The Transocean 'John Shaw' semi submersible drilling unit has been contracted to drill the initial development wells on both fields. Development drilling is expected to be completed in the first quarter 2009.

3.  Joint venture partners in the Don Fields are as follows: