SOCO Completes 3rd Development Well Offshore Vietnam

SOCO's subsidiary DRC SPRL has spudded the wildcat exploration well Bayingu-1 ("BYU-1") in the Nganzi Block, onshore the Democratic Republic of Congo (Kinshasa). The well will be drilled to approximately 2,520 meters and is expected to take 25 days to reach the target depth.

Vietnam Development

The third development well on the Te Giac Trang development, offshore Vietnam, has been completed. Preliminary log analysis of the third well, the TGT-H1-3P, drilled to the north west of the field, indicates that the well encountered the top of the target reservoir horizon as expected, based on the reprocessed pre stack depth migrated seismic.

Currently four additional development wells are being "batch" drilled and the reservoir section for all four wells will be drilled commencing in mid January 2011.

All wells are being suspended and will become producing wells upon start-up of production in mid 2011. Production during this first phase of development is estimated to be circa 55,000 barrels of oil per day.