Dewan-5 is the third well in the Salsabil field located on the Safed Koh concession in Pakistan where the Corporation's working interest is 30%. The Dewan-5 location is an offset to the Dewan-2 gas well, which production tested at rates of 10 MMCF/D, restricted by the size of tubing. The new Dewan-5 location is designed to allow maximum tubing size in the producing horizon Lower Goru Formation and in the prospective Sembar sandstones.
Rally also confirmed that the operator has advised that the project is on schedule for commencement of commercial gas production later on this month at an expected rate of 15 to 20 MMCF/D (net 4.5 to 6.0 MMCF/D) from two wells Dewan-1 and 2 increasing to 60 MMCF/D (net 18 MMCF/D) by July 2007 following the drilling and tie-in of the Dewan-5 development location.
Based in Calgary, Alberta, Canada, Rally Energy is an oil and gas exploration, development and production company. The Corporation's primary area of operation is in Egypt, where it has a 100% operating interest in the Issaran oilfield, a significant heavy oil development opportunity with strong growth potential. In Pakistan, the Corporation holds a 30% interest in the Safed Koh Block, where it is participating in the development of a large natural gas/condensate discovery.
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