Pebercan Makes New Discovery in Cuba

Pebercan has made a new discovery on Santa Cruz, in the Republic of Cuba.

Identified through the results of the seismic campaign acquired in 2003 on the offshore area of Block 7, this new oil field could measure up to 20 km2.

The first analysis of the oil produced by the Santa Cruz 100 well shows a higher grade of oil than that produced up until then on the Canasi and Seboruco fields. The results of the ongoing supplemental analysis will be communicated during the course of January 2005.

Upon completion of the first production tests, the Santa Cruz 100 well flows 1,300 barrels per day on a 14mm choke.

Pebercan is already preparing an appraisal program for this structure, on which it is the operator. Two appraisal wells are being prepared and should be conducted during the first half of 2005.

At the same time, pebercan continues the development of the Seboruco field. Drilling of the Seboruco 15 and Seboruco 103 wells are still ongoing and drilling of the Seboruco 9 well should begin in early January 2005.