Coastal to Spud A-10 Well at Bua Ban North A

Coastal announced the successful result of the Bua Ban North A-09 appraisal well.

The Bua Ban North A-09 well was drilled to a depth of 4,625 feet TVD on the western flank of the Bua Ban North A field approximately 1 mile north of the A-08 well. The A-09 encountered 42 feet of net pay in the Lower Miocene sand with 28% average porosity. The data from this well further confirms that the Bua Ban North A & B fields are connected on the western side of the structure. This well has provided the required confirmatory data to begin construction of centrally located permanent production facilities located between the A & B fields.

Due to the long reach of the well, the A-09 will be plugged and abandoned. The location will be re-drilled from the new planned central production facility.

The Company will now spud the A-10 well, which is a horizontal well in the western fault block. The well is designed to improve production rates and ultimate recoveries.

Randy Bartley, President & Chief Executive Officer, commented, "The results of the A-09 well provide us with final confirmation that the two fields are in communication on the western side of the structural closure and the entire Bua Ban North area is one hydrocarbon accumulation covering over 6000 acres. We now plan to drill a horizontal well to test the productivity of the Lower Micoene from a lateral. Horizontal wells are expected to help maximize production and recovery factors. The results of the horizontal well will help us evaluate future development at Bua Ban North A & B.

"The mobile production unit is expected to arrived on location at Bua Ban North A this week and we expect to begin tying in production from this field in the coming weeks."


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