Exillon's Appraisal Extends EWS I Field in West Siberian Basin

Exillon Energy reported that the EWS-15 appraisal well has successfully proved a significant extension to the EWS I field, located in the West Siberian Basin.

EWS -15 was designed to test an 18.71 sq km northern extension to the EWS I field. The new discovery contained pre drill estimates of 18.31 million barrels of prospective resource (Miller and Lents September 2009 reserves report). The well encountered the Jurassic P reservoir at 1,827m which is 2 meters higher than previously thought. Results of wire line logging combined with oil shows and sample analysis whilst drilling, have confirmed the presence of at least 12.6m of net oil pay within the Jurassic and a potential further oil pay within the Pre Jurassic. Testing of the well will be completed by the end of February with the Jurassic and Pre Jurassic intervals being tested separately.

The well was drilled directionally 1.4km to the north from the existing EWS I field. On completion of testing the well will be able to be connected up to existing production facilities on the EWS I field.

Although drilled as a satellite to the main EWS I field this appraisal well has the potential to significantly positively impact reserves for the field. The main EWS I field has an aerial extent of 11.43 sq km whereas the new northern extension has a mapped closure of 18.71 sq km.

Whilst the average net oil pay within the EWS I field according to the Miller and Lents September 2009 reserves report disclosed at IPO is less than 5m this new well has at least 12.6m of net pay within the Jurassic, making it the thickest Jurassic net oil pay encountered within the EWS I field to date. The discovery is the result of the continued application of 3D seismic combined with a thorough understanding of reservoir geology.