Emerald Energy Suspends Souedieh North No.1 Well in Syria

Emerald Energy says the drilling of Souedieh North exploration well in Block 26 Syria has been completed. While drilling a series of hydrocarbon shows were recorded and analysis of the electric wireline logs in the Tertiary and Cretaceous reservoir sections of the well indicate potential hydrocarbon zones. However, wireline conveyed sampling tools did not recover any hydrocarbon fluids. Preliminary analysis indicates that the hydrocarbon is low API gravity oil with a high viscosity and the low porosity and permeability reservoirs may produce fluid after mechanical or chemical stimulation.

A detailed study of the drilling, wireline and sidewall core data from the well is being undertaken with a review of the seismic data over the area. The well will be suspended in order to complete these studies and determine if these reservoirs may be suitable for a fracture stimulation, or similar, testing program, or whether the well should be deepened. No production testing has been performed on the well but may be considered as part of any future testing program after these further analyses have been completed.

Alastair Beardsall, Emerald's Chairman, said:

'It is frustrating to see shows while drilling, and record an apparent hydrocarbon column on the wireline logs, yet not be able to recover any hydrocarbon fluids. We shall study the results from the well and determine any further work program accordingly. The evidence from the Souedieh North well is encouraging and will help to evaluate the other Cretaceous leads on Block 26. Our efforts and attention will now move to the drilling of Tigris No.1 that is scheduled to start in August'.

Emerald holds a 50% interest in Block 26 in its 100% subsidiary SNG Overseas Ltd.