EPL Scores Twice in the Gulf of Mexico

Energy Partners, Ltd. reports two exploratory successes at Matagorda Island 639 #1 and North Padre Island 913 #1 and one dry hole at Vermilion 73 #1. The Company also provided an update on current operations.

At Matagorda Island 639, the #1 well was sidetracked and deepened to (8,500 feet (12,100 measured depth)) to test objectives that had not been penetrated in the original wellbore. The original wellbore had been temporarily suspended earlier in the year while the rig on location drilled the Matagorda Island 640 #1. The sidetrack found apparent natural gas pay in a single interval, and development plans are currently being evaluated for the pair of discoveries at Matagorda Island Blocks 639 and 640. Initial production is expected in the second half of 2005. EPL is the operator of both wells, and holds a 50% working interest.

The North Padre Island 913 #1 exploratory well was drilled to a vertical depth of 8,082 feet and found apparent natural gas pay in multiple intervals. The well is currently being completed and will be tied back to existing infrastructure in a nearby block. Production is expected in the second half 2005. EPL holds a 50% working interest in the well and Callon Petroleum Company (NYSE:CPE), the operator, holds the remaining 50% working interest.

At Vermilion 73, the #1 well was determined to be a dry hole and has been plugged and abandoned. The well was drilled to a total depth of 11,400 feet and penetrated the objective sand, but the sand was not hydrocarbon-bearing. EPL held a 50% working interest in the well.

EPL currently has exploratory tests underway at four locations: Galveston 227 #1, South Timbalier 41 #4, Eugene Island 277 #4, and South Marsh Island 192 #A-2. Results on all of the wells are expected before year end. The Company also plans to spud Vermilion 237 #1, West Cameron 242 #1, Eugene Island 277 #5, South Timbalier 41 #3 ST, South Pass 40 #2 and South Marsh Island 109 #A-4 before the end of the year.