ATP Begins Production from Matia & Cabrito Fields

ATP Oil & Gas has commenced first production from its development at Garden Banks Block 142, known as "Matia." The well is currently producing approximately 15 million cubic feet of natural gas per day. The well encountered approximately 80 feet of net gas pay in the Pleistocene Trimosina A formation from 4496' - 4662' measured depth. The platform at Garden Banks Block 142 is located in 540 feet of water and is ATP's deepest offshore platform in the Gulf of Mexico. This platform was constructed by recycling and relocating an existing platform from the Company's Vermilion 410 development and installing the used platform onto a newly constructed plinth.

Upon achieving production at Matia, ATP commenced drilling a directional well from Gardens Banks Block 142 to ATP's development at Garden Banks 186, named "Cabrito". The Company's Cabrito development is contiguous to Matia. The platform at Garden Banks 142 will provide the production and processing facilities for both wells at Matia and Cabrito. ATP has an 80% working interest in Matia and Cabrito and ATP is the operator of both developments.

"We are pleased to have established production from ATP's deepest offshore platform in the Gulf of Mexico," said T. Paul Bulmahn, ATP's Chairman and President. "Utilization of a plinth to enable us to immediately re-employ an ATP platform being removed and abandoned dramatically improved the overall economics of the project."