White Nile Kicks Off South Sudan Campaign

White Nile Ltd. announced the spudding of the Kedelai exploration well in Block Ba, 200 km due north of Juba, in the Jonglei State of Southern Sudan.

Kedelai was spudded at 1:15 p.m. local time on Thursday and is being drilled to determine the hydrocarbon-bearing potential of the southeastern extension of the Muglad basin. The well will be drilled to a total depth of circa 2,400 meters (7,850 ft), with completion targeted for mid-May.

Following the interpretation of high-density 2D seismic shot in the last 12 months, the company gained a clear understanding of the prospectivity of the Jonglei sub-basin of the Muglad Basin. A sedimentary section of up to 7 km in thickness and rift structures suitable for forming hydrocarbon traps were clearly shown, which are analogous to the producing South Sudanese Thar Jath, Mala, Heglig and Unity oilfields of the Muglad Basin to the northwest of Block Ba.

In this way the geological conditions pertaining to the formation of oilfields in the Muglad Basin (Blocks 1, 2, 4 and 5A) have been extrapolated into the Jonglei sub-basin in Block Ba. Blocks 1, 2 and 5A host the known Unity, Heglig and Thar Jath oilfields that have estimated oil in place of circa 600 million, 550 million and 1 billion barrels, respectively. The interpretation of the seismic data also allowed White Nile to identify numerous structures of which a number were prioritized, with the Kedelai well targeting one such structure.

White Nile Chairman Phil Edmonds said:

"This is a major milestone in the development of White Nile. The seismic revealed a number of exciting targets one of which we are now drilling. In spudding this well we are entering into the next phase of our development aimed at bringing Block Ba into its productive phase. It is not only a key moment for White Nile but it is also a milestone for the people of Southern Sudan. Through the equity holding in White Nile by the state owned oil company of the Government of Southern Sudan, Nile Petroleum Corporation, the people will be major beneficiaries in the development of Block Ba. I would like to take this opportunity to thank our partners for their support and look forward to what I believe is a bright future for White Nile."


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