Petrominerales Puts Corcel-D1 On-Stream, Posts November Production Results

Petrominerales has provided a production update for its Colombian assets.

Corcel-D1 - Initial Test Results

Our Corcel-D1 exploration well has just been brought on-stream and is currently producing at 3,800 barrels of oil per day ("bopd") of 22 degree API crude oil at a 0.8% water cut from 35 feet of sand in the Guadalupe formation. Based on log and core analysis, the well has an additional 67 feet of net pay in the Mirador and Lower Sand-1 intervals which are currently not completed. Over the next two weeks we intend to seek regulatory approval to complete the Mirador interval in this well, which should allow us to produce the two zones comingled at a significantly higher rate.

The Corcel-D1 well was our first well of a multi-well drilling program on the Corcel D structure. We are now drilling the D2 well and expect to reach total depth within the next two weeks. We then plan to drill the D3 well on the same pad and then drill additional exploration wells on the Corcel E, F, B and G structures, as well as an exploration well on the northeastern portion of the block, as our program progresses through 2009.

Production Update

Our production averaged 14,150 bopd in the month of November. Production has been impacted by the ongoing general strike in the Putumayo region that has resulted in approximately 3,500 bopd of production at Orito being shut-in since November 21, 2008. Including our Corcel-D1 well, production is now approximately 18,000 bopd.