Drilling Commenced at Suroco's Pinuna-6 Well

Suroco announced that the Pinuna-6 well has commenced drilling in the Suroriente Block in Colombia.

Pinuna-6 Well

The Pinuna-6 well will target the Villeta U and T reservoirs in an undrilled area located between the Pinuna-1 and Quillacinga-1 oil wells. It is expected that the well will reach the target in approximately 25 days and, if successful, will take approximately 20 days to complete and tie-in to existing production facilities.

Status of Pinuna-4 Well Operations

The Pinuna-4 well that preceded the Pinuna-6 well encountered drilling difficulties which resulted in delays in running the casing after the well reached total depth. Well logs run in the Pinuna-4 well indicate the presence of approximately 21 feet of oil pay in the primary target Villeta Middle U sand and minor indications of hydrocarbons in the secondary Villeta T and Caballos sands. Testing operations commenced in the Villeta T and Caballos sands, which subsequently produced significant amounts water with non-commercial amounts of oil. Testing operations in the U sand have been inconclusive and the well did not flow under natural conditions although the reservoir quality from the well logs appears to be similar to other wells that are on production from the same zone. Well operations are continuing in order to establish production from the Villeta U zone, as the test results so far may have been compromised by problems related to the complexity of the completion equipment and the multi-zone test procedures.