PetroSearch Completes Harper Z-1 Well in Louisiana

PetroSearch Energy is completing the Harper Z-1 oil well in the Rodney Island Field in Tensas Parish, Louisiana. After casing was set on the well the working interest owners elected PetroSearch as operator to complete the well and direct further development of the field.

The Harper Z-1 is a directional well drilled to a total measured depth of 11,701 feet. The bottom hole location is under the Mississippi River at a vertical depth of approximately 9,373 feet. The well was spudded on August 24, 2005 and casing has been set and the well logged. A completion rig is expected to move on location this week. Logs of the Lower Tuscaloosa Massive Sand, the target zone, indicate approximately 37 feet of oil sand. A second sand, the Tuscaloosa “B”, approximately 30 feet above the Massive appears to have an additional 15 feet of hydrocarbon.

The Company’s internal engineering and geological study of the Massive sand in the prospect indicates that the well has targeted recoverable reserves of approximately 350,000 barrels of oil and 200,000,000 cubic feet of natural gas. The Company estimates that an additional three developmental wells will be drilled representing targeted recoverable reserves for all four wells of 1,400,000 barrels of oil and 800,000,000 cubic feet of natural gas from the field (1,533,000 equivalent barrels of oil). Prior to drilling the well the Company anticipated that it would encounter the gas cap of the Massive reservoir with targeted potential reserves of 2.725 billion cubic feet of gas and 27,000 barrels of oil (481,000 equivalent barrels of oil) recoverable. Fortunately, the Company has encountered the oil leg of the reservoir with substantially greater reserves than anticipated. PetroSearch has a 25% working interest in the approximately 2,000 acre leasehold.

In announcing the decision to complete the well, Richard Dole, President and CEO of PetroSearch, said, “The results from this well exceeded the Company’s expectations of targeted equivalent oil reserves for the field by over 1,000,000 barrels.”