ATP Begins Development Work at Mississippi Canyon 711

ATP Oil & Gas reports that the Noble Therald Martin semisubmersible rig is on location at Mississippi Canyon 711, also known as "Gomez". The Noble Therald Martin is scheduled to reenter, test, and complete the MC 711 No. 4 ST1 well in approximately 3000 feet of water in the Gulf of Mexico. The initial discovery well at Gomez was drilled in 1997. In 2000, the discovery was confirmed by the MC 711 No. 4 ST1, which encountered 125 feet of oil and gas pay in Lower Pliocene sands.

As a result of a recent amendment to its financing agreement, ATP has accelerated the development of Gomez. Anticipated first production is now scheduled during the early part of the fourth quarter 2005 instead of early in 2006. In addition to the No. 4 ST1, ATP plans to reenter and complete a second Gomez well in 2005. ATP is the operator with a 99% working interest.

T. Paul Bulmahn, Chairman and President of ATP stated, "Gomez is potentially the largest ATP property to date in the Gulf of Mexico. Being able to accelerate it should have a material impact on our production and cash flows in 2005. We are continuing to complete our 2004 development program and it is a testament to our staff that we already have begun the first of several 2005 developments."