Pogo Reports Success in the Gulf of Thailand

Pogo drilled ten Gulf of Thailand wells and each was successfully completed during the first quarter. Nine of those wells were development wells drilled on the "A" and "B" platform areas in the Tantawan field. New pay zones were encountered in each of the nine wells despite being located in platform areas that began producing in 1997. An important new exploratory well, the Benchamas No. 27, was successfully drilled late in the first quarter, encountering 210 net feet of oil and natural gas pay. That well establishes a new platform location at the southern end of the upthrown westside hinge area near the northern boundary of the Jarmjuree field.

In the second quarter, Pogo expects to drill as many as six exploratory wells in various fields across license concession Block B8/32. Two drilling rigs are once again working in the Gulf of Thailand. Simultaneous development drilling is ongoing at Benchamas "H" platform where six to eight new wells are slated, and at Benchamas "C" platform area with four additional wells planned. Eight new Gulf of Thailand platforms were ordered in late 2002. Three of those new platforms are currently being fabricated, with work on the remaining five platforms expected to begin within the next few months.