Circle Oil Drills Gas at DRJ-6 Well in Morocco

Circle Oil announced that drilling and logging operations in its DRJ-6 well in the Sebou license in the Rharb Basin onshore Morocco have been completed.

The well, the fourth in the Company's six well campaign in the Rharb, was drilled to a total depth of 1,366 meters and has encountered 4 meters of gas bearing sands with significant gas readings recorded during drilling and interpreted from subsequent logging operations. Flow testing of the sands located close to the top of the Base Guebbas Formation has been postponed due to the need for specialized drilling materials and testing equipment. Obtaining these would have resulted in significant delays and unnecessary expenditure at this time, hence the Company's decision to postpone the test. These sands will be flow tested at a later date.

The drilling rig is now moving to commence drilling CGD-10, the fifth well of the campaign.

Commenting on this news, David Hough, CEO of Circle said:

"We are very pleased to have drilled and logged more gas bearing sands in our latest well and look forward to testing the well in due course. Spudding of the CGD-10 well is anticipated to commence as soon as the re-mobilization of the drilling rig and equipment to the site has been successfully completed."