Island Suspends Old Head of Kinsale Well as a Gas Producer

Island Oil & Gas reports that the 49/23-2z sidetrack well on Exploration License 4/05 (the "Old Head of Kinsale") in the Celtic Sea offshore Ireland has successfully tested dry gas at a rate in excess of 18 million standard cubic feet per day ("mmscfpd") through a 56/64" restricted choke size, with absolute open flow potential of 47 mmscfpd. The gas was produced from the same Upper Wealden reservoir horizons in the Lower Cretaceous, at a measured depth of 4,450 feet below the rotary table ("brt"), that were encountered approximately 2.5 kms to the NE of the original 49/23-1 discovery well drilled in 2006.

The well, which was drilled to 5,140 feet measured depth (drillers total depth 4,386 feet as true vertical depth brt), is being suspended as a potential gas producer alongside well 49/23-1. Following a detailed technical and commercial study of the well data, Island and its partners will make a further announcement in due course regarding the next stage in the evaluation and potential development of the Old Head of Kinsale gas field.

The Petrolia rig will shortly move to the nearby Exploration License 5/05 (the Schull gas field) where it will drill the Island-operated gas appraisal well 57/2-3.

Island has a 65% interest in the Old Head of Kinsale gas field, where it is partnered by Valhalla Oil and Gas Limited and EnCore Oil plc.

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