Toreador Says Black Sea Pipeline Repairs to be Completed by 1Q08

Toreador Resources provided an operations update on the South Akcakoca Sub-basin (SASB) project in the Black Sea offshore Turkey, following the previously disclosed accident which caused a shut down of all gas production.

Operator TPAO (the Turkish national oil company) has notified Toreador that a contract now is in place for the repair of the pipeline system and operations will begin soon. The first priority is to repair the main pipeline. This is expected to be completed by early in the first quarter of 2008 and will allow any production available from the Dogu Ayazli and Ayazli platforms to be delivered to the gas facility on shore. The reconnection of the Akkaya platform pipeline spur is the next step in the operation and should be completed later in first quarter of 2008. Claims to cover the cost of the repair work have been filed with the insurance carriers and legal action has been initiated against the owners of the vessel that caused the accident.

An intervention is planned for the Dogu Ayazli platform to diagnose and remediate the unexpected production declines in the lower zones of the Dogu Ayazli-1 and -2 wells. A detailed plan and budget is expected to be provided by the operator next week. The intervention will begin once the main pipeline is back in operation and is expected to be completed in the first quarter of 2008.

On the Ayazli platform, a larger dive boat, more suitable for the weather conditions in the Black Sea, and an expanded diving crew have been mobilized to complete the connection of the Ayazli platform to the main pipeline. The connection to the main pipeline is expected to be completed by early in the first quarter of 2008.