Tullow to Begin Exploration Operations in Southern Asia

Tullow is continuing preparations to spud the first well of a three exploration well program in Bangladesh on Block 9 during the third quarter of this year. At present civil work on preparation of well sites is progressing while a rig contract will shortly be signed.

The Block 9 PSC covers an area of 6,880 square kilometers situated close to Dhaka city and was one of the most highly sought after blocks in the Second Licensing Round. A number of significant discoveries have already been made within the confines of the license boundaries, the largest of these being the Bakhrabad gas field. While these discoveries have been ring fenced, the Block 9 Joint Venture Partners have exploration rights below the deepest producing reservoir levels within the ring fenced zones. The Titas gas field is located immediately northeast of the block boundary. The presence of these significant gas fields within, and close to, the block boundary make Block 9 a highly attractive exploration block.

Exploration activity in this area of Bangladesh is largely restricted to the dry season (November to May) when the monsoon flood waters are at their lowest.

Tullow is the operator of Block 9 with a 30% stake; ChevronTexaco holds 60% and BAPEX holds the remaining 10% stake.