Interoil Spuds Elk-4 Appraisal Well

InterOil says that drilling has commenced on the Elk-4 appraisal well, located approximately 1 mile (1.5 km) south of the 2006 Elk-1 discovery well in Petroleum Prospecting License 238. The Elk-4 is planned to test the Puri and Mendi limestone formations and is expected to take between 85 to 110 days to drill. The target depth of the well is approximately 7,874 feet (2,400 meters) measured depth.

"Elk-4 is targeted to drill the high-pressure gas column experienced in the Elk-1 discovery well and to intersect the underlying Antelope structure identified by the newly acquired seismic program. This well will further delineate the natural gas resource in the Elk / Antelope structures," said Mr. Phil Mulacek, Chairman and CEO.

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