InterOil Underscores Production Increase in Peru, Colombia

InterOil Exploration and Production ASA reported that the average production in July 2008, compared to the average production in June 2008, for the Company's South American assets was as follows:

Production for July 2008 and June 2008

  • Peru 3,576 compared to 3,080
  • Colombia 1,662 compared to 1,612
  • Total 5,238 compared to 4,692

End of month production was 5,710 bopd.

The increased production in Peru is a result of the two new wells in the promising Mirador area. In Colombia the fracturing campaign is ongoing. As production wells are shut in during the fracturing procedure, the full effect on the result will not be seen before the fracturing campaign is completed by early September.

Oil has been sold at average sales price of USD$131.08 in Peru and USD$117.55 in Colombia per barrel during July, to be compared with the average sales price in second quarter of 2008 of USD$117.92 in Peru and USD$115.86 in Colombia.