RPT.L Regulatory News (RPT)

24 Sep 2007 07:02

Regal Petroleum PLC24 September 2007 -------------------------------------------------------------------------------- Immediate Release 24 September 2007 REGAL PETROLEUM PLC ("Regal" or "the Company") Oil Discovery in Egypt The Company is pleased to announce that a successful well test has beenconducted in the ERB-A-1X well operated by Apache East Ras Budran Corp. LDC("Apache") in the East Ras Budran ("ERB") Concession in which Regal holds a 25%working interest. During a 12 hour flow period, the well produced 1,910 bopdthrough a 64/64" choke. No water was produced and initial indications are thatthe oil has a gravity of approximately 17 degrees API. The well was lifted withnitrogen delivered to 11,900 feet through coiled tubing and no other stimulationwas required. The ERB-A-1X well is the first of two commitment wells in the initialexploration period of the ERB Concession and was spudded on the 15 June 2007.The well has been drilled to a total depth of 13,615 feet (11,921 feet TVD) tothe primary target in the Darat Limestone. The well has a near horizontaltrajectory at total depth to ensure optimum production potential from theanticipated reservoir interval. The ERB-A-1X well has been suspended as a future production well and followingdetailed evaluation of the test results, additional stimulation and testing maybe carried out. The drilling rig will now be moved to the second plannedexploration well, ERB-B-1X, which is anticipated to be completed in the fourthquarter of 2007. An appraisal well, ERB-A-2X, is under consideration and would be drilledimmediately following the completion of the ERB-B-1X well. Apache has informedthe Company that it plans to submit a Notice of Commercial Discovery to theEgyptian authorities shortly. Regal's Chief Executive Officer, Neil Ritson, commented: "Although it is tooearly to assess the reserves potential of the ERB-A-1X field, this isan exciting discovery from our first well in the ERB Concession. We lookforward to further results from the planned exploration and appraisal of thisConcession which lies onshore in the prolific Gulf of Suez basin." For further information, please contact: Regal Tel: 020 7408 9500 Neil Ritson, Chief Executive OfficerFrank Scolaro, Chairman Evolution Securities Tel: 020 7071 4300Robert Collins Mirabaud Securities Tel: 020 7321 2508Pav Sanghera Buchanan Communications Tel: 020 7466 5000Bobby Morse Definitions: bopd barrels of oil per day TVD true vertical depth In accordance with the guidelines of the AIM market of the London StockExchange, Neil Ritson BSc (Hons) Geophysics, FGS, Chief Executive Officer ofRegal Petroleum plc, is the qualified person that has reviewed the technical information contained in this press release. This information is provided by RNS The company news service from the London Stock Exchange