IPR Scores Its Largest Egyptian Western Desert Discovery

Texas Independent IPR, reported through its Operator (Sipetrol International S.A.), that they have completed the drilling of their exploration well (Ferdaus-1) in the North Bahariya Concession, Western Desert, Egypt. The Ferdaus-1 well was drilled on a separate structure 4.5 km east of the consortium's recent Ganna-1 discovery. The well was completed to a total depth of 9,479 ft (8,770 ft ss) feet in the Kharita formation. Cores were cut from two separate reservoirs, both indicating strong presence of hydrocarbons.

The two DST's carried out for the Abu Roash G (Lower and Middle) tested combined rates in excess of 3,250 bbl of oil per day, at depths of 8,633 to 8,752 ft. The API oil for the two formations was 43 to 45 degrees. The well's productivity, based on the initial test rates, was among the highest in the Upper Cretaceous/Abu Roash G sequence in the Western Desert. IPR and its partners (Sipetrol and INA-Naftaplin) will spud an additional exploratory well in the concession over the next two months. A development plan for the concession will be submitted to the Government of Egypt prior to the completion of the drilling campaign. It is anticipated that early production in the block will commence in 2004.