At Qua Ibo Field, construction of the drill site, access road and the rig campsite has commenced. The first new development well planned on this field will be a directional well drilled using NRG's Rig #201 and is scheduled to commence in mid-September. The directional drilling program will permit the testing of both the shallow C4 sand and the deeper D5 sand. Two additional horizontal wells are programd into the C4 sand from the same location. Development of the complete D5 pool will require further drilling during 2007 from a separate well location.
Planning is also underway to drill Mart's two other Nigerian properties that are located in swamp areas - the recently signed Ke Field, containing the high potential Ke South location, and the Eremor Field. The company intends to use NRG's recently acquired swamp barge in conjunction with its new Rig #202 to drill these wells.
NRG Drilling Limited, a Mart subsidiary company, is in the final stages of its rig acquisition program. This program was designed to provide Mart with the rig access necessary to develop its Nigerian properties in a timely manner. Rig #101, a Cooper 550 truck-mounted rig, is in Port Harcourt awaiting the delivery of its new hydraulic rotary table being flown in from Houston. Rig #101 will be ready for Nigerian DPR (Department of Petroleum Resources) Permit inspection by mid June. The rig will then be moved to Umusadege to begin work immediately. Rig #201 is scheduled for completion and release by mid July. Pending DPR Permit approval, the rig will be moved to Qua Ibo for a mid September spud date. Rig #202 is scheduled for completion by mid August. It will be shipped to Port Harcourt where it will be mounted on the recently acquired swamp barge. DPR Permit approval for this rig is targeted for early November.
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