Serica Energy Regulatory News (SQZ)

14 Jan 2008 13:00

Serica Energy plc14 January 2008 Serica Energy plc ("Serica" or the "Company") BILITON OPERATIONS UPDATE London, 14 January 2008 - Serica Energy plc (AIM & TSX-V: SQZ) announces thatthe GSF 136 drilling rig, on location in the Biliton Block in the Java Sea,Indonesia, is preparing to complete operations on the Batara Indra prospect, thesecond prospect drilled in the two well programme in the Biliton PSC. Batara Indra North #1 was drilled to a total depth of 2,285 feet and encountereda sequence of tertiary sandstones that did not contain hydrocarbons. The wellwill be plugged and abandoned. The drilling rig will now move to Serica's Kambuna field, offshore NorthSumatra, where it will install the production platform and drill the Kambunafield development wells. First production from the field is expected in late2008. Serica has a 45% interest in the Biliton PSC and is the operator. The majorityof the cost of the two Biliton wells is being carried by a farminee. Paul Ellis, Serica Chief Executive said: "We are naturally disappointed that theIsmaya and Indra North wells did not encounter hydrocarbons but we have alwaysrecognised that the high potential of Biliton came with a significantexploration risk, since the Block is around 200 kilometres away from theestablished oil and gas fields of East Java. "We are now looking forward to carrying out the development works on our Kambunafield, where we are targeting to have gas and condensate production by the endof this year." Enquiries: Serica Energy plcPaul Ellis, paul.ellis@serica-energy.com +44 (0)20 7487 7300Chief Executive OfficerChris Hearne, chris.hearne@serica-energy.com +44 (0)20 7487 7300Finance Director JPMorgan CazenoveSteve Baldwin steve.baldwin@jpmorgancazenove.com +44 (0)20 7588 2828 Tristone Capital LimitedMajid Shafiq mshafiq@tristonecapital.com +44 (0)20 7355 5872 Pelham Public Relations -UK James Henderson james.henderson@pelhampr.com +44 (0)20 7743 6673Alisdair Haythornthwaite alisdair.haythornthwaite@pelhampr.com +44 (0)20 7743 6676 CHF - CanadaSarah Gingerich sarah@chfir.com +1 416 868 1079 The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. To receive Company news releases via email, please contact sarah@chfir.com and specify "Serica press releases" in the subject line. This information is provided by RNS The company news service from the London Stock Exchange