Premier Logs Gas Pay at Indonesian Well

The Ibu Lembu-1 well has reached target depth, having fully penetrated all objective reservoirs. The well has encountered gas in the Upper Gabus, in a section similar to that tested by the Lembu Peteng-1 well, drilled in the adjacent fault block in 2006. A comprehensive data collection program has been completed and in accordance with the well program, the well will now be plugged and abandoned. A full evaluation of the data will be carried out to assess the significance of the discovery in light of the neighboring Lembu Peteng and Lembu discoveries.

Following completion of operations on the Ibu Lembu well, the West Larissa will move to the Gajah Sumatera-1 well location to drill a structure adjacent to the Gajah Puteri Field.

Simon Lockett, Premier's Chief Executive, commented:
'We are pleased that our first operated well of the year has discovered gas and progressed our understanding of the Lembu Trend. In Indonesia, Premier has scored 13 successes out of 15 exploration and appraisal wells drilled since the year 2000.'

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