Europa Applies to Drill Crosby Warren Sidetrack

Europa Oil & Gas (Holdings) plc has submitted a planning application with the North Lincolnshire, U.K. County Council to drill a new production well at the Crosby Warren Field.

Europa seeks to sidetrack the CW-2 well, currently shut-in, in order to drill a new production well to a total depth of approximately 1,700 meters. The company hopes for a mid-June spud for this well, subject to planning approval and the availability of underbalanced drilling equipment.

In advance of this drilling, Europa plans a workover of the existing production well, CW-1, including installing new artificial lift equipment and utilizing gas lift to increase overall production rates.

"This structured program is intended to significantly increase production levels at Crosby Warren for the second half of 2007 onwards," said Paul Barrett, Europa's managing director.

The Crosby Warren Oilfield, situated near Scunthorpe in the East Midlands Oil Province, was producing an average of 35 boepd for the six months prior to the acquisition date in 2006. On acquisition, Europa instigated a production optimization program, the first phase of which has resulted in production levels at an average 70 boepd for the six months following acquisition. An evaluation of the field indicates potential to increase production further from optimizing the current producer and, more significantly, from drilling a new production well.


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