Orca's SS-10 Well Production Estimates High

Orca Exploration has successfully completed the drilling of the SS-10 development well on the Songo Songo gas field in Tanzania.

The well was flowed at a peak rate of 52 mmscf/d, and a sustained rate of 40 mmscfd through a restricted 1" choke at a 1,900 psi wellhead pressure during a 24 hour test that was restricted by surface facilities. It is estimated that the well will be able to flow at an initial rate in excess of 55 mmscf/d when on production. This makes SS-10 one of the most productive wells in the field and increases the total deliverability of the six production wells to over 200 mmscf/d.

The well was drilled to a total measured depth of 2,426 meters within the main Neocomian reservoir. The top reservoir was encountered on prognosis at a measured depth of 1,909 meters (-1,700m TVDSS) and a comprehensive suite of wireline logs, the first on the field for over twenty five years, was successfully acquired. From evaluation of the logs, 101 meters was perforated in the reservoir.

The SS-10 well will be required to meet the rapidly increasing demand for gas by the power and industrial sectors in Tanzania. In the course of the last 12 months, 268 MWs of gas fired generation has been installed in Dar es Salaam taking the total gas fired generation utilizing Additional Gas to 310 MW. A further 45 MWs is under construction and is expected to start utilizing gas from September 2008. Orca Exploration is currently negotiating a long term contract to supply gas to these units.