Amerada Hess Makes Discovery Offshore Malaysia

Amerada Hess reports that the Belud South exploration well drilled on Block SB302 offshore Sabah, Malaysia has made a new oil and gas discovery. The Belud South-1 well was drilled to a total depth of 8,773 feet in 508 feet of water and encountered 352 feet of net pay, predominately natural gas. A sidetrack was drilled which established oil in several of the sands. Further exploratory and appraisal drilling is planned on the block in 2005. The well was drilled by Diamond Offshore's semisub, Ocean Rover.

Amerada Hess holds a 40% working interest in Block SB 302 and is the operator; partners are Kufpec (40%) and Petronas Carigali (20%). The Belud South-1 well is located 12.5 miles northwest of the Tembungo oil field offshore Sabah, Malaysia.

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