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Apache Spuds Second Exploration Well in Egypt

Source: www.gulfoilandgas.com 10/10/2007, Location: Egypt

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Regal Petroleum announced that Apache East Ras Budran Corp. LDC as operator of the East Ras Budran Concession in Egypt has spudded exploration well ERB-B-1X, the second of the exploration wells planned for 2007. Regal owns a 25% working interest in the Concession which covers an area of 521 square kilometres onshore in the Gulf of Suez.

The first exploration well, ERB-A-1X, recently resulted in a commercial discovery in the Darat Limestone formation which flowed at an average rate of approximately 1,900 bopd during a 12 hour flow period. The oil quality, originally estimated at 17 degree API, has subsequently been confirmed to be of 21 degree API and further production testing is planned for this well in 2008.

Well ERB-B-1X, which is planned to take 35 days to complete, is targeted to penetrate prospective reservoirs in the Nubian Sandstone and is expected to be drilled to a total depth of 8,300 feet. The ERB-B feature lies 5 kilometres north of the ERB-A discovery and has been identified using existing seismic data, including the 3D survey acquired in early 2007, and is targeting reservoirs proven to be productive in the nearby offshore Ras Budran field.

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