Tethys Runs Seismic on Block 15, Wraps Pilot Hole in JAS-2

Tethys Oil has received final approval to commence acquiring 3D seismic over the Jebel Aswad (JAS) structure on Block 15 onshore Oman. BGP Oil and Gas Services has been awarded the contract and mobilization of the 3D crew has commenced. The seismic survey will completely cover the JAS structure and a total of 285 square kilometers of seismic is planned to be acquired. The purpose with the study is to better define and map the structure, which is needed for more detailed reserve calculations and to optimize drilling location placements for future wells. The seismic acquisition is estimated to take 6 weeks to complete.

Jebel Aswad-2 (JAS-2) spudded in the beginning of June. The vertical pilot hole drilled on the JAS-2 delineation well has been electrically logged. The logs confirm hydrocarbon presence in both the Natih A and Natih C reservoirs. Preparations are currently underway to sidetrack the pilot hole and complete a horizontal leg in the top Natih A reservoir.

"The main reservoir - Natih A - was encountered slightly higher than in JAS-1, which confirms the reservoir extension towards the south east," said Tethys Managing Director Magnus Nordin. "Additionally, log responses indicate good hydrocarbon saturation in Natih C, which we had reasons to expect but earlier indications were sketchy."

Tethys has a 40% interest and is operator of Block 15 where the Company is conducting an appraisal/development program on the Jebel Aswad structure. On testing of the JAS-1 well in June 2007, the well flowed a total of 2,626 boepd (11.03 mmscfpd of natural gas and 793 bpd of 57API condensate). Danish company Odin Energi is partner holding 60% interest.

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