Sky Petroleum Underscores Mubarek Platform's Production

Sky Petroleum reported that during the year ended December 31, 2008 Mubarek production from the H2 and K2-ST4 wells was 67,510 barrels of oil. The Mubarek H2 well produced 30,274 barrels of oil or 83 bopd during the 2008 fiscal year. During the same period the Mubarek K2-ST4 well produced 37,236 barrels of oil or 102 bopd despite being shut in since June 18, 2008 for repairs.

During the fourth quarter ending December 31, 2008 Mubarek production from the H2 well was 4,766 barrels of oil. Crescent Petroleum Company International Limited, the operator of the Mubarek Field, noted that the water cut of the H2 well had increased over the past several months. A production log was run in the H2 well and the operator determined the tubing plug was leaking allowing water to flow from lower horizons. Crescent is planning to repair the leak once the work on K2-ST4 is complete.

As previously disclosed the K2-ST4 well was shut in for repairs to the gas lift line between the J and K platforms. Crescent reports they have recently completed repairs and K2-ST4 is now on line. Crescent continues to monitor the well.