Petrolifera Wraps Up Long Term Test in Colombia

Petrolifera has concluded the flowing phase of a long term test of its Brillante SE-1X well in its 100%-owned Sierra Nevada License, Colombia. The 21-day extended flow test of the upper portion of the Cienaga de Oro ("CDO") reservoir was completed at 0630 hrs on Saturday, September 18th. Total recovery during the test equaled the government permitted volumes of 66 MMSCF of natural gas, 284 barrels of 57.3 degree API gravity condensate, and 28 barrels of water. Government permitted production rates during the final 24-hours of the flow period were 3.1 MMSCF of natural gas, 19.0 barrels of condensate, and 1.1 barrels of water.

Final analysis of the bottom hole pressure data is pending acquisition and recovery of bottom hole gauges within the next 42 days. That analysis will provide the technical basis for all future conclusions and estimates of reserves and resources. Nevertheless, it is appropriate to point out at this time that no flowing wellhead pressure loss was experienced during the flow test. The flowing wellhead pressure increased from 1,016 psi to 1,055 psi, while the daily natural gas production increased slightly from 3.0 to 3.1 MMSCF per day.

No reduction in wellhead flowing pressure or natural gas rate indicates that no limits to the CDO reservoir were encountered during the 21-day flow period. Management is extremely pleased with the results to date and on this basis, plan to implement an early production scheme that will allow for the production and sale of modest amounts of natural gas until a full development is completed.

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