Production Begins for New PA Resources Well at Didon Offshore Tunisia

PA Resources has completed the drilling of the production well Didon-7 on the Didon oil field offshore Tunisia. The initial pilot hole encountered the top reservoir five meters higher than prognosis which will increase the reserves of the field. The drilling of a 500 meter horizontal drain has also been completed and production has now started from the well.

The pilot hole and a horizontal producer were drilled by the jackup rig Ensco 85 and production tests were performed. Following well testing, the Didon-7 has been put on regular production at a level of 12,500 barrels of oil per day.

The pilot hole encountered the top reservoir five meters higher than prognosis. Wire line logs and pressure data confirmed good reservoir properties and a 30 meter oil column. The horizontal section was successfully drilled high in the reservoir to maximize oil recovery. A 500 meter long drain was completed within the two upper layers of the reservoir at a horizontal level of 2,714 meters. The total length of the well is 4,015 meters. The drain showed that the structure is about six to eight meters higher than prognosis in this area if the field.

The Didon-5 well, which was shut in prior to start- up of the well Didon-7, is currently being hooked up for production and it will be back in production in the End of June.

PA Resources has a 100% working interest in the Didon field.

"We are very happy with the successful drillings and the fact that we now will be able to increase the total production from the Didon-field," said Ulrik Jansson, President and CEO at PA Resources AB.

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