Arc Kicks Off Yemen Exploration Program

Arc Energy said that operations at the Al Magrabah 1 well, operated by Oil Search (Yemen) Limited and located in Block 35, have commenced. using the Joeco 50106 drilling rig.

At 6 a.m. on April 23, the rig was drilling ahead at 759mMDRT to the section total depth at approximately 856mMDRT where 13 3/8" casing will be installed. Al Magrabah 1 is located in Block 35 in central-east Yemen. The primary target is the Qishn Clastics with secondary targets in the fractured/karstified Saar and Naifa formations, Kuhlan sandstone/Weathered Basement, and fractured metamorphic basement.

Al Magrabah 1 is a vertical well designed to intersect the Qishn Clastics at the mapped structural crest of the structure at a prognosed depth of approximately 1,771 meters measured depth.

Surface co-ordinates for the Al Magrabah 1 drilling location are as follows:

--Latitude 15 degrees 56' 19.47001"N
--Longitude 49 degrees 33' 41.48205"E

The well has a planned total depth of approximately 3,039 meters measured depth and is expected to take 38 days to drill and complete.

Participants in Block 35 are:

  • Arc Energy Holdings Limited 15.7895%
  • Oil Search (Yemen) Limited 34.2105% * Operator
  • Virgin Resources Limited 39.4737%
  • MND Exploration and Production Ltd 10.5263%

Managing Director's comments: "We are extremely pleased to be involved in our first well in Yemen on a prospect we see as having good potential for an oil discovery," said Eric Streitberg, Arc's managing director. "We are participating in three blocks in Yemen having also just been granted government approval for Blocks 7 and 74. If successful, this well would give us our first international production in an area with good commercial returns and well developed infrastructure."

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