Pogo Hits In Thailand

Pogo Producing Company has successfully drilled the first three wells of a six-well Thailand exploratory drilling program. Mr. Van Wagenen, Pogo's Chairman noted, "We have been so busy with our successful development program at Benchamas Field, a casual observer might overlook the splendid exploratory opportunities Pogo and its partners have to extend the base of proven reserves beyond the presently known limits of these Thailand fields."

The first of the three new wells, the Benchamas North No. 4, was drilled on exploration acreage beyond the present northern boundary of the 102,000-acre Benchamas field production license area. The well encountered an estimated 163 feet of total pay, including 126 feet of oil-bearing section and 37 feet of natural gas sands. This previously untested area will require Pogo and its partners to file for an extension of the present northern boundary of the Benchamas production license area. A new platform will be needed to produce this well plus the delineation wells that now will be drilled in the vicinity of this discovery.

The second new well in this Block B8/32 exploration program is the Benchamas No. 26 well, located within the Benchamas production license area but west of any previous drilling. It will add to the reserves proven by Pogo's Benchamas No. 24 discovery well drilled in 2001. The new No. 26 well has extended the field by encountering 137 feet of total pay, including 62 feet of natural gas and 75 feet of crude oil section from a previously untested fault block. These new reserves will be developed from the Benchamas "I" platform, which is already in the water but is awaiting the start of a development drilling program within the next few days.

The third discovery well of the planned six or seven exploratory wells is the Jarmjuree No. 9, located northwest of the northernmost well previously drilled on that production license area. It has discovered 120 feet of total pay, including 38 feet of oil and 82 feet of natural gas. Northern Jarmjuree will be the location of one of four or more new Thailand platforms which are expected to be ordered shortly.

Mr. Van Wagenen said, "These three wells have extended northward and westward the productive field at Benchamas, and explored the northern region of Jarmjuree field. The next three wells will include an additional test in north Jarmjuree (the Jarmjuree No. 10), plus two exploratory wells testing the northern and western limits of Tantawan field (Tantawan Nos. 20 and 21). These good fields are all part of Pogo's 46.3%-owned Block B8/32 Thailand license concession."