Chevron Sees Success at Five Location in Block 0 Offshore Angola

Block 0
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Chevron's wholly owned subsidiary Cabinda Gulf Oil Co. Ltd. (CABGOC) and its partners announced successful offshore exploration results for five significant wells drilled in Angola's Block 0. The wells both expand and delineate the existing areas of operation in the block.

"These successes underscore our corporate exploration strategy of focusing on core, high-impact opportunities and opportunities that support our base business," said John Watson, president of Chevron International Exploration and Production Co.

James R. Blackwell, managing director of Chevron's Southern Africa strategic business unit, added, "Together, these results demonstrate our continuing success in this prolific block."

The Sanha SN-BW06 well was drilled in May 2005 and encountered 170 feet of net pay in the Upper Pinda. The well was subsequently completed and flowed at an initial rate of 3,000 barrels of oil per day (bpd). The SN-BW06 well extended the limits of the field by discovering recoverable reserves in an adjacent fault block.

Two successful appraisal wells were drilled to establish production in a field originally discovered in 1971. Livuite Field well 132-7X was drilled in April 2005 and encountered 359 feet of net pay in the Pinda. The well began production with an initial flow rate of 4,486 bpd. Well 132-8X was drilled in July 2005 and encountered 94 feet of net pay in the Pinda. Another well is planned to be drilled in Livuite Field this year to further appraise the potential of the field.

The 70-5X exploration well was drilled in December 2005 and encountered 296 feet of net pay in three zones in the Upper Pinda and Lower Vermelha. The well flowed at a combined rate of more than 2,000 bpd from these three zones. The well also confirmed additional pay in an Upper Vermelha reservoir previously discovered. Additional wells are being planned to fully appraise this discovery.

The 74-10X delineation well was drilled in December 2005 to test three shallow reservoirs in a producing fault block on a trend from Malongo South Field. The well encountered 506 feet of net pay in the Lago, Mesa and Nova reservoirs. A horizontal sidetrack is currently being completed in the Nova reservoir.

In Angola Block 0, CABGOC operates and has a 39.2 percent interest in two areas -- A and B -- comprising 36 fields that produced 119,000 bpd in 2005. The 2,155-square-mile concession lies off the coast of Cabinda Province. In 2004, the concession was extended by the Angolan government and the national oil company to 2030.
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