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Exillon Updates Ops in Its West Siberian Fields

Source: www.gulfoilandgas.com 5/28/2010, Location: Asia

Exillon Energy plc is pleased to announce successful completion of well EWS-8 and well EWS-100 on the south-western part of the EWS I field and north-western part of the EWS II field.

EWS – 8
The EWS-8 well, which was spudded on 17 April 2010, was drilled on the south-western part of the EWS I field. The well flowed water-free oil naturally to the surface with a flow rate of 450 bbl/day on a 10 mm choke, and was drilled on a turn-key contract in 31 days for a total consideration of $1.4 million. The well reached target depth within the Jurassic P reservoir at 1827 – 1833m, confirming the presence of 6 m of net oil pay within the Jurassic.

The well was drilled directionally 0.5 km to the west from the existing well pad 3 on the EWS I field, and is now being connected to existing production facilities.

EWS – 100
The EWS-100 well, which was spudded on 6 May 2010, was drilled on the northwestern part of the EWS II field on a turnkey contract in 20 days for a total consideration of $1.2 million. The new well encountered producing Jurassic J2-3 reservoir at 1933m, and producing Jurassic J4 reservoir at 1970m. Results of wire line logging have indicated the presence of 4m of net oil pay within the J2-3 horizon and 12m within the J4 horizon. Testing of the well will be completed in Q1 2011 due to the absence of infrastructure at the EWS II field.

Whilst the average net oil pay for the Jurassic reservoir within the EWS II field according to the Miller and Lents September 2009 reserves report disclosed at IPO is around 9m, this new well indicatively has 16m of net pay within the Jurassic.

The well was drilled directionally 1.3 km to the northwest from the existing well pad 1 on the EWS II field. On completion of testing of the Jurassic interval the well will be connected to production facilities.

The Group has drilled five wells in 2010, achieving 100% drilling success rate, and extending a perfect success rate to 15 wells since 2006. The Group is ahead of schedule to complete its ongoing drilling program.

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