A temporary 10,000 barrels of oil per day self contained production facility is being added to the current production facility to increase the field's overall production capacity as other work on debottlenecking and expanding permanent capacity continues. It is anticipated that the temporary capacity upgrade will be available at the beginning of March.
The three well production enhancement drilling program on the Atuf Field has concluded. All three wells have been completed as producers and are being connected to the main producing facilities.
On the Kharir Field, the KHA-1-07.G1 sidetrack well, a sidetrack of the KHA-401 well, encountered good shows. It has been decided to complete the well as a producer.
Two rigs are currently drilling injection and production wells on the Kharir field. This activity is expected to continue throughout 2006.
The second exploration well in the Jathma area, the JAT-02 well, spudded on 8th December 2005, reached bottom hole on 12th January 2006. Although the well encountered a significant oil column, the well did not produce on production test indicating poor fracture development at this location. An evaluation of the results of the well is being conducted to provide input to a potential 3D seismic program in the area.
The third exploration well, JAT-03, spudded on 13th January 2006 on the western side of the block. The well is taking longer than expected due to upper hole mechanical difficulties. The well is currently drilling at 3,080 meters.
As previously announced, the first exploration well in the Jathma area, the JAT-01, was drilled to 3,175 meters measured depth. It tested over 1,900 barrels of oil per day against a 56/64 inch choke with an API gravity of 35 degrees
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