Meridian Petroleum Achieves Production Record at Orion Well

Meridian Petroleum says that its Orion 36 well in Michigan achieved new gas production records in February for both the daily rate and the daily average for the month as a whole.

A new record daily production rate of 4.18mmcfd was achieved on 29 February. Monthly production for February totalled over 108mmcf at an average daily rate of 3.73mmcfd, the highest monthly average since production began in August last year. Production of natural gas liquids during the month averaged 55bbls/day.

Operational performance was exceptional with less than 12 hours downtime in the whole month, continuing on from the previous month's strong performance.

During February, the Company successfully completed a change-out on one of the two Sulfatreat treatment towers. Operational experience has confirmed that with the installation of the polishing sponge, each tower is now individually able to process over 200mmcf of gas before a change-out is needed. During the February change-out there were approximately 100 odour complaints early in the process, however Meridian worked closely with the Michigan authorities and took precautions to ensure that no further problems occurred.

Stephen Gutteridge, Chairman, said:
"We have enjoyed an excellent start to 2008 with two months of very strong performance from Orion. We have always emphasised the importance of safety and the environment in our operations and I am pleased that we are receiving good feedback from the Michigan authorities on the quality of the Orion operation. The Sulfatreat changes can result in odours escaping, and we are continuing our efforts to minimise future inconvenience to the local community and to help in their understanding of our business."