Gurim #4 Oil Well in Israel Proves to Be Successful

Ness Energy revealed that the testing of the Gurim #4 well, outside of Arad, Israel proved to be successful in its attempt to prove that commercial production may be established.

On February 29, 2004 Ness Energy of Israel, Inc. deployed its company owned workover unit and rigged up over the Gurim #4 well bore and began workover operations.

The test on the Gurim #4 consisted of reconfiguration of the wellbore by pulling what pipe was in the well out and running in with new tubing to a depth as to contact the zone of interest. When this was completed, the rig went to "swabbing" on the well, which is pulling fluid from the zone via tubing. "We were able to pull oil and some water from the zone at a good rate of entry. It was our surprise to find that the oil was light and not the heavy oil we were expecting." Said Sha Stephens. He also added, "Within the next 6 months we have to present a work plan to the Minister of Oil. The work plan must be carried out within the next 12 months. We anticipate being able to perform this work well within the timeline."