Aurado Begins Seismic Survey on the Liman Block

Aurado Energy reports the start of an extensive seismic program over its Liman Block in Kazakhstan. On the basis of the renewal for two years of the Exploration Phase of the Liman Block License that was obtained on July 2004, a work program for the remaining of 2004 and for 2005 was designed to review the entire Liman Block. This full exploration approach will include, for the next 14 months, the reprocessing of 200 km of ancient seismic, re-mastering of ancient seismic data and the shooting of 1300 km of 2D seismic. A semi regional grid of 520 km aimed at defining the deep structure of the block and the prospective value of the pre-salt series will be shot concurrently with 780 km of detailed seismic over 6 selected prospective areas in the post salt series.

On the same Block, appraisal of the East Tegen discovery was suspended in September after drilling of the fifth well on the structure. Two wells had oil, a third one had shows and the two last found the reservoirs lower than expected and wet. A remapping of the structure will be undertaken before more wells are drilled and production can restart. A first exploration well was drilled in October on the West Kusembay prospect in the south of the block. Good shows were encountered in the entire series and two intervals are currently being tested. Four exploration wells are budgeted for 2005. Drilling should start in February, at both shallow and medium-deep plays and over the best-ranking prospects after interpretation of the seismic. In case of discoveries resulting for this exploration campaign, an additional program of 100 km(2) of 3D seismic acquisition followed by drilling of 2 appraisal wells is also considered for year 2005. Considering the excellent location of its Liman Block, Aurado is confident this exploration approach should result in a commercial discovery in a near future.