Emerald Energy Completes Seismic Work at Vigia Field in Colombia

The interpretation of 3D seismic data acquired in 2005 is now complete; the Vigia structure is now mapped as two separate accumulations and the 3 wells drilled on Vigia have all penetrated the northern high, the Vigia field. RPS Energy, an independent consultancy specializing in petroleum reservoir evaluation, has completed a reserves and resources evaluation for the Vigia structures and reports that as at January 1, 2006, the Vigia field contained Proved plus Probable reserves of 2.4 million barrels of oil. According to RPS Energy, Proved plus Probable plus Possible reserves of the Vigia field are 4.9 million barrels of oil. In addition, RPS Energy reports the as yet un-drilled southern structure may contain prospective resources of up to 4.6 million barrels of oil.

As at January 1, 2006, the combined Proved plus Probable reserves of the Gigante, Campo Rico and Vigia fields were 14.5 million barrels of oil (as derived from RPS Energy's 2005 reserves report for Gigante and Campo Rico and 2006 reserves report for Vigia, and adjusted for 2006 production). On the same basis, the combined Proved plus Probable plus Possible reserves of these three fields were 30.3 million barrels of oil.

Centauro Sur prospect:
The Centauro Sur prospect is located to the south of the Campo Rico field. Pride Rig No 14 commenced drilling the Centauro Sur No.1 exploration well on 14 March 2006.

El Algarrobo block (operated by Rancho Hermoso):
The exploration well Agueda No.1, drilled by Saxon Rig No 223, has reached a total depth of 9,980 ft. The well has been logged and the rig is preparing to run and cement the final casing string. The well will then be perforated and flow tested.


The workover of the Gigante No.1A well to replace the tubing and install an electrical submersible pump (ESP) is now complete. The well is currently producing in excess of 800 bopd. The lifting rate of the ESP is being increased gradually to optimize the production rate.

The remedial work on Vigia No.2 is now complete and the well is producing 200 barrel of oil per day (bopd) from the Une formation.

In the period from January 1, 2006 to date, daily gross production averaged 4,362 bopd. Temporary flattening of production growth has been caused by reduced production at the Gigante field in the run-up to the workover and by failures of surface hydraulic pumps operated in the Campo Rico and Vigia fields. Gigante No.1A is now back on production and new, larger, surface hydraulic pumps have been purchased for the Campo Rico and Vigia fields.

Alastair Beardsall, Emerald's Chairman, said:
'We are confident that focussed efforts in 2006 will contribute to maintaining growth in our Colombian operations.'