Vintage Makes Discovery with An Nagyah #4 in Yemen

Vintage Petroleum revealed that the An Nagyah #4, the second appraisal well to the An Nagyah #2 discovery well in the Republic of Yemen, has tested light (45 degree API) oil from the sub-salt Upper Lam formation. The well was drilled to continue the evaluation of the sub-salt Lam formation discovery announced in December 2002.

The An Nagyah #4 was drilled to a total depth of 5,074 feet (1,547 meters). Electric log and pressure analysis indicate a gross interval of 115 feet (35 meters) that is gas bearing and a gross interval of 191 feet (58 meters) that is oil bearing in this well. A 99 foot (30 meter) interval in the Upper Lam formation was perforated between 3,385 and 3,493 feet (1,032 to 1,065 meters) and tested at a stabilized flow rate of 1,320 barrels of light, water-free oil and 0.8 million cubic feet of natural gas per day with a flowing tubing pressure of 335 pounds per square inch. The Upper Lam interval tested in the An Nagyah #4 correlates to the interval in the An Nagyah #2 discovery well which tested 1,091 barrels of oil per day. The An Nagyah #4 encountered the Lower Lam formation down-dip and below the water-oil contact; therefore it was not tested. The first appraisal well, the An Nagyah #3, tested in the Lower Lam formation in a structural position above the water-oil contact at a rate of 205 barrels of oil per day.

"We are encouraged by the results of the An Nagyah #4 which indicate the continuity of the Lam sands over the An Nagyah structure and the potential of a new exploration play in the Sab'atayn basin. Our focus will be to complete the technical and economic evaluation required to determine if sufficient reserves and long-term production rates exist to justify field development," said S. Craig George, CEO.

Vintage is the operator and has a 75 percent working interest in the 850,000 acre S-1 Damis block.