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Tullow Oil Announces Successful Kigogole-1 exploration well in Block 2 Uganda

Source: www.gulfoilandgas.com 9/9/2008, Location: Africa

Tullow Oil announced an oil discovery with the Kigogole-1 exploration well in the Butiaba region of Block 2, Uganda. Drilling operations on Kigogole-1, which is located 1.5 km from the crest of the structure, commenced on 25 August. The well was drilled to a total depth of 616 metres and encountered two oil zones with a net pay of 10 metres. Logging, downhole pressure testing and sampling has confirmed the presence of moveable light sweet oil in reservoirs just below 400 metres. This is the shallowest section where oil has been encountered in Uganda to date.

Kigogle-1, drilled 10 km north-east of the Kasamene-1 discovery, was the third test on the Victoria Nile delta play within the Lake Albert Rift Basin. Well results have confirmed the presence of good quality reservoir and seals in this area, and upgraded several other adjacent prospects which will be tested during the 2009 Butiaba drilling campaign.

The Kigogole-1 well is now being suspended as a potential future production well and on completion of operations the rig will move to Block 1 to commence a three-well exploration drilling programme. The first well in this programme will be a test of the Warthog prospect which lies adjacent to the Kasamene-1 discovery.

Commenting today, Aidan Heavey, Chief Executive, said: “Kigogole is the fifth successive discovery in the Butiaba region within the last five months - an excellent record of geological success and operational efficiency. This discovery reinforces the high potential of this area and in particular the Victoria Nile delta play. The success in shallow horizons at Kigogole has very positive implications for the remainder of the Butiaba campaign which is targeting prospects located up dip and on trend with the significant Kasamene discovery.”

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