Canoro Petroleum to Test Amguri 11

Canoro Resources has drilled Amguri 11 through the Barail to a depth of 3327 meters. The well penetrated two sand reservoirs within the Barail Main Sand which was encountered approximately 15 meters structurally higher than in Amguri 10B, and 37 meters higher than Amguri 6. These two sands have a combined thickness of 36 meters, and display porosity, resistivity, and mud-log hydrocarbon values similar to those encountered in Amguri 10B.

A new mid-Barail reservoir zone with an interpreted 9 meter thick hydrocarbon column was discovered approximately 200 meters below the top of the Barail Main Sand. This interpretation is based on wire-line log and mud-log hydrocarbon readings, which are similar to the Barail Main Sand in Amguri 11 and in Amguri 10B. Amguri wells 5, 6, 9, 10A, and 10B were not drilled deep enough to penetrate the mid-Barail reservoir as its existence was not previously known.

These hydrocarbon indications in Amguri 11 cannot be fully confirmed until they are properly tested. It is planned to test all prospective hydrocarbon intervals after setting casing over the Barail sands, and drilling to the Basement at approximately 4000 meters. It is anticipated that testing will begin within 2 weeks.

"The real potential of Amguri has always laid in the possibility of stacked productive reservoirs, as seen in other fields in the basin. The mid-Barail is the third hydrocarbon zone encountered in Amguri Field, and we believe by drilling to basement, there is a good chance that we could encounter one or more additional deeper pay zones, The Kopili, Sylhet, Basal Sand and fractured Basement are yet to be evaluated in Amguri 11; these 4 reservoirs are productive in nearby fields," commented Bob Szczuczko, Canoro's Executive Vice-President, Reservoir and Geoscience.

Canoro is a Canadian-based international oil and gas company operating in the Assam/Arakan basin of northeast India. Canoro is the operator of Amguri field with a 60% working interest. Canoro is the operator with a 65% working interest in the AA-ON/7 exploration block. Canoro also has a 15% non-operated working interest in the AA-ONN 2003/2 exploration block.