Thorneloe Wins E&P Rights Onshore Colombia

Thorneloe Energy was awarded all the rights of exploration and production of hydrocarbons regarding Block LLA 33 during the Colombian License Bidding round "Mini-Ronda 2008," with an additional investment of US $12.1 million in seismic work and oil wells, and a 3% revenue payment to ANH on the production.

The Llanos 33 block is located in the Llanos Orientales Basin, on the east side of Colombia in a region of flat ground. The area has a pre-existing history of hydrocarbon exploration and mass production and is the most prolific hydrocarbon producer region in Colombia. The area is also considered by the ANH to be one of the most significant exploration areas in the country.

The Llanos Orientales Basin was the basin that garnered the most offers for the most blocks, which underscores the importance and interest in the Llanos region.

The "E&P Contract" with ANH will be signed on February and Thorneloe will be required to shoot a little more than 50 km of 3D seismic and to drill at least three exploratory wells A3 within the first eighteen months of the work program. The proposal includes work commitments of US $2.1 million in seismic work, and US $16.3 million in drilling operations.