PPC.L Regulatory News (PPC)

1 Aug 2006 15:12

Meridian Petroleum PLC01 August 2006 MERIDIAN PETROLEUM PLC ("Meridian" or "the Company") Activity Update Meridian, the oil & gas exploration and production company with key assets inthe USA and Australia, today issued the following update on its activities. United States - Calvin Deep Gas Following the recent acquisition, the Company is working through costings andpotential timings for the re-entry and work over of two wells for productionfrom the Terryville A & B sands. The Company's aim is to take a low costapproach to gaining rapid and high level production from the newly acquiredassets. Additionally, a detailed field development plan is being constructed which willpotentially encompass a multi-well programme and production from several zones. - Calvin 36 #1 The Company will be conducting some additional flow enhancement and clean upwork on the Calvin 36 #1 well. Once it is completed, hook-up will commence tothe local pipeline system and flow-testing will begin. A comprehensive pipelineand processing system is in place in the Calvin field. - Other US assets All other US conventional assets are progressing well, in line with managementexpectations. Production is on-going at Victory 1-21 and all development plansare on track for the smaller assets in Meridian's US portfolio, with furtherflow enhancement work being scheduled for Milford 36 for October and additionaldrilling at Orion being undertaken currently in preparation for re-entry inapproximately the same timescale. Furthermore, the Company is continuing to lease a strategic foot print for theWarrior Basin CBM project. To date approximately 10,000 acres have been leased.Negotiations are continuing for a joint venture that would give the company inexcess of 50,000 acres under lease. A field development plan is being worked oncurrently with a view to a commencing a pilot project in the first quarter of2007. Australia The Company is waiting for final signing by the South Australian government ofthe recently agreed Native Title agreement. In order to move this asset forwardthe Company is building its team in Australia with a view to drilling adevelopment well in early 2007. Anthony Mason, Chief Executive of Meridian said: "I am pleased to report that Meridian's plans are currently on track. Both inthe US and Australia we have made exciting progress towards significantproduction from our assets. I am particularly encouraged by recent developmentsat our Calvin deep gas asset and in Australia where we are developing a highlyexperienced team to take our project forward." Enquiries: Meridian Petroleum (020 7409 5041) Tony Mason, Chief Executive Ambrian Partners (020 7776 6400) Richard Brown Citigate Dewe Rogerson (020 7638 9571) Media: George Cazenove Analysts: Nina Soon This information is provided by RNS The company news service from the London Stock Exchange