DNO Reports on Activities in Yemen

DNO issued the following update on its drilling and testing activities in the Republic of Yemen:

Block 53 (24,45 % Working Interest)

Hekma # 1

A dual test of the Madbi sandstone intervals (3022-3030 and 3001-3013 meters) has been undertaken yielding a maximum oil flow of 1,200 bopd. Thereafter a test was conducted in the Madbi carbonates (2919 - 2930 meters), but only minor oil volumes were produced to the surface.

As previously reported the Kholan sandstone (3186 - 3199mMD) flowed 800 bopd during testing, hence the aggregated test rate from the Kohlan and Madbi sandstones intervals is 2,000 bopd.

Before the well is suspended an acid treatment will be undertaken and a combined test of the Kohlan sandstones, the Madbi sandstones and the Madbi carbonates will be conducted.

Following the testing of Hekma # 1 the rig will move to Bayoot South # 1 and test a Madbi carbonate interval. When drilling through this section the well started to flow oil, and heavy mud was needed to control the well.

Work will now be undertaken to evaluate the resource potential within this area that will form the basis for a possible tie back to the Sharyoof facilities on permanent basis. Sharyoof is located some 10 km north of Bayoot.

Balal # 1

Balal # 1 was spudded 5 January and is drilled at a Qishn sandstone prospect 5.5 km east of the Sharyoof Field. The well is currently drilling at about 550 meters.

Block 43 (56.67 % Working Interest)


The Shaibah # 1 was spudded on 5 January and is targeting a Naifa / Madbi prospect in the southeast area of the block. The prospect is located approximately 6 km from a small oil discovery (Raydah), which was previously made in Block 14 (to the west of Block 43).

Block 72 (34 % Working Interest)

Nasim # 1

Nasim # 1 will be drilled at an exploration prospect in the western part of Block 72. Prospects are defined in both Qishn sandstones and Naifa/Madbi formations, and the well will be drilled at the same geological trend as some discoveries under development in Block 9. The rig is currently being mobilized to the location.