Eurogas Drills Dry Hole in Tunisia

Eurogas has reported that its Jorf-1 well in Tunisia reached total depth of 2,164 meters and was plugged and abandoned. Although the targeted Triassic sands were found on prognosis, no significant hydrocarbons were encountered.

Jorf-1 is the fourth well drilled in Eurogas' exploration program in south Tunisia. Work is ongoing to finalize drilling targets in the corporation's 50 percent El Hamra permit, which is located some 50 kilometers south of Jorf-1. Eurogas remains optimistic in its outlook for its oil and gas exploration programs in Tunisia.

Eurogas plans to spend $9.4 million in capital expenditures for 2003, which includes the drilling of 17 wells in Canada, continued geological and geophysical and drilling programs in Tunisia and starting the front end engineering work on the corporation's castor underground natural gas storage project in Spain.

Eurogas has a 20 percent working interest in the Jorf permit and was carried for the majority of well costs.