Blackbird Sings for Premier Oil

Ettrick Ettrick and surrounding fields
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Premier Oil announced it has successfully completed drilling and testing of the Chim Sao (Blackbird) North appraisal well (12W-CS-2X) on Block 12W in Vietnam.

The target Middle Dua sand sequence was encountered as prognosed. Following successful coring of the reservoir and wireline logging operations, two reservoir zones were drill stem tested.

The first zone tested flowed oil at a sustained rate of 1650 barrels of oil per day (bopd) plus 1.4 million standard cubic feet of gas per day (mmscfd) on a 40/64th inch choke. The second zone tested flowed oil at a sustained rate of 2680 bopd plus 2.1 mmscfd on a 48/64th inch choke. No water was produced on either test.

The well will be suspended as a future producer and the jackup rig Wilboss will move to the Chim Ung prospect (formerly known as Falcon).

Premier is the operator of Block 12W with a 37.5% interest. Premier's partners in the block are Santos (37.5%) and Delek Energy (25%). The Chim Sao field was discovered by Premier in 2006. Chim Sao is being progressed for development with first oil anticipated in mid 2010.

"This further success in Vietnam is an important result as we progress the Chim Sao development to final sanction," said Simon Lockett, Premier's Chief Executive. "We now commence our three well exploration campaign on Block 12W to include the drilling of the high-impact Chim Ung and Chim Cong prospects."

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