TransGlobe Begins Drilling Tasour #11 Well in Yemen

TransGlobe Energy says it has commenced drilling operations on the Tasour #11 well in Yemen to develop the western extension of the Tasour field defined by Tasour #10. It is expected that the well will be completed by mid-October and, if successful, production could commence immediately. The Tasour field has produced in excess of 12 million barrels of oil to date. Production during September 2003 has averaged approximately 17,200 Bopd (2,375 Bopd to TransGlobe).

The Company is anticipating several major events in 2004. It is anticipated that development of the An Nagyah discovery of Block S-1 in Yemen will proceed and be completed during 2004. This development could equal or exceed the Company's current Yemen production level. In addition to planned production increases in Canada and Yemen, the Company is actively evaluating several new international exploration/production opportunities with the goal of adding a new project in 2004.