Pacific Stratus Obtains Three Oil Blocks in Peru

Pacific Stratus Energy has been awarded blocks 135, 137 and 138 offered by Perupetro in the 2007 Bidding Program. These blocks total 1,883,553 hectares and are located in the prolific Maranon Basin, to the south of the producing Ecuadorian Napo and Colombian Putumayo Basins. The company evaluated 18 blocks offered by Perupetro in this bidding round but only made economic offers for four blocks. The main criteria used for the selection of these blocks were the size of the potential resources, the proximity to existing transport infrastructure and the economics of the projects.

The commitments for the first exploration phase include regional studies and seismic acquisition. Upon the successful completion of phase one, the company has the option to continue the exploration program with additional seismic acquisition and drilling one well for each block.

Jose Francisco Arata, Chief Executive Officer of the company, stated: 'We are very excited with the result of this bidding process because it offers a very compelling geographic diversification for Pacific Stratus. The Maranon Basin is a well-known prolific hydrocarbon bearing area with very attractive geological prospects and access to the Pacific Ocean and the growing Asian markets. Peru is a stable democracy, with a business friendly government, offering very attractive legal and fiscal terms.'