Wiser Oil Makes Gulf of Mexico Discovery



The Wiser Oil Company announced a new field discovery in West Cameron Block 416, and significant initial production rates from West Cameron Block 347, a new-field discovery announced in 2002.

The WC 416 #1 discovery well was drilled to a total depth of 10,750 feet and encountered approximately 60 feet of apparent net gas pay in a single sand package. The well has been completed and flow tested at a rate of more than 14 million cubic feet of gas per day. Production will be tied back via flowline to an existing processing facility in WC Block 417. Sales are expected to commence early in the second quarter of 2003 at levels approximating the test rate. Wiser owns a 25% working interest in WC 416 and WC 417, Remington Oil and Gas Corporation (NYSE:REM) operates with a 50% working interest, and Magnum Hunter Resources (NYSE:MHR) owns the remaining 25% working interest.

At WC Block 347, production was initiated in mid-December from the discovery well announced in July of 2002. The WC 347 #1 is currently producing in excess of 14 million cubic feet of gas per day from the deepest of three productive sands in this wellbore. The upper sands have been completed and can be accessed in the future through relatively inexpensive wireline operations. Wiser owns a 25% working interest in WC 347, Remington Oil and Gas Corporation operates with a 50% working interest, and Magnum Hunter Resources owns the remaining 25% working interest.

In addition, the previously announced East Cameron (EC) 185 #2 well has been completed and tested at a rate of 9 million cubic feet of gas per day plus 270 barrels of condensate per day, or 10.6 million cubic feet of gas equivalent per day. This well will be tied back via flowline to an existing processing facility in EC 185. Sales are expected to commence late in the first quarter of 2003 at levels approximating the test rate. Wiser owns a 12.5% working interest in EC 185, Remington Oil and Gas Corporation operates with a 57.5% working interest, and Magnum Hunter Resources has a 25% working interest.

Finally, production from the Eugene Island Block 302 Field, which has been shut-in due to storm damage at the host processing platform, is expected to resume late in the first quarter of 2003 via a new pipeline through alternate processing facilities. Production was averaging 1,850 barrels of oil per day and 3.0 million cubic feet of gas per day prior to the storm. Wiser owns a 12.5% working interest in EC 185, Remington Oil and Gas Corporation operates with a 57.5% working interest, and Magnum Hunter Resources has a 25% working interest.

George K. Hickox, Jr., Wiser Chairman and Chief Executive Officer said, "The WC 416 #1 is our seventh new field discovery since entering the Gulf of Mexico in 2001. We're pleased with this success and also with the less than eight month average cycle time we have experienced in bringing new discoveries into production. The net production additions detailed above are coming on line at a time of high commodity prices, which will help bolster our 2003 cash flow. We look forward to continued success in 2003 as we evaluate and exploit the 27 Gulf of Mexico blocks remaining in our inventory."