Mr. Tevin Vongvanich, President and CEO of PTT Exploration and Production Public Company Limited or PTTEP disclosed that PTTEP with its Partners SONATRACH and CNOOC Limited has successfully discovered crude oil in the 4th and the 5th exploration wells in Hassi Bir Rekaiz project, Algeria.

The 4th exploration well (OGB-1) was drilled and yielded petroleum discovery in formation of Ordovician (Ouargla Sandstone) reservoir. The flow tests (Drill Stem Test – DST) were conducted and discovered the crude oil flow at approximately 485 barrels per day (BPD). Triassic Argilo Greseux Inférieur (TAG-I) reservoir which is the same formation with oil occurrence in the first well (RTF-1) in early 2012 exhibits oil flows as well but amount need to assess further. The joint venture is considering further appraisal program for reserve assessment.

For the 5th exploration well (BOG-1), it was drilled and yielded petroleum discovery in the same 2 petroleum bearing formations of Ordovician (Ouargla Sandstone) reservoir and TAG-I reservoir. According to the DST flow test, the crude oil flow at approximately 553 BPD and 1,870 BPD, respectively.

It is important to note that the discovery of Ordovician (Ouargla Sandstone) reservoir in Hassi Bir Rekaiz project is considered to be another success of PTTEP in Algeria.

PTTEP and its partners have planned in the 1st exploration phase of Hassi Bir Rekaiz project to drill 9 exploration wells during late 2011 to early 2013. At present, the exploration activities are on the half way of the campaign where 5 exploration wells were completely drilled with 4 success wells. Meanwhile, the 6th exploration well is expected to be drilled at the end of this month.

Hassi Bir Rekaiz project is located onshore in the Eastern part of Algeria. It covers an area of 5,378 square kilometers. PTTEP is the operator with 24.5% interest. Its joint venture partners of this project comprise of SONATRACH (the Algerian National Oil and Gas Company) with 51% interest and CNOOC Limited (China’s largest producer of offshore crude oil and natural gas) with 24.5% interest.

Apart from Hassi Bir Rekaiz, PTTEP also jointly operates the Bir Seba field, in Algeria 433a & 416b project in Algeria, which is currently under the development phase.

Press Release