Energy Partners, Ltd. has completed the sale of a 50% working interest in its leased acreage located in East Cameron Blocks 4 and 9 to Nexen Petroleum (formerly Canadian Occidental Petroleum). The leases are located on the Gulf of Mexico Shelf in water depths of about 18 feet. The Company has identified an attractive exploratory prospect on this acreage from a recent three-dimensional seismic survey. This prospect could develop into a series of up to five wells to exploit four separate fault blocks. The first well is expected to begin drilling in the fourth quarter of 2001.
Richard A. Bachmann, EPL's Chairman, President and Chief Executive Officer commented, "We are very pleased to have Nexen join us as a partner as we prepare to drill our first exploratory well on this attractive new acreage. We believe this area has very good upside potential. Like our other properties on the Shelf, these East Cameron Blocks are located near extensive existing infrastructure which will allow quick development if our exploratory drilling is successful."