Offshore Tunisia well moves into test phase

Testing is due to start soon of the Hammamet West-3 appraisal well offshore Tunisia.

Offshore staff

DUBAI, UAE – Testing is due to start soon of the Hammamet West-3 appraisal well offshore Tunisia. The Dragon Oil location is in the Bargou exploration permit.

At the start of the side track, high gas readings were reported and further oil and gas shows were observed over numerous intervals. Ultraviolet fluorescence on the cuttings suggests the probable presence of oil.

These sightings coincide with features seen on LWD analysis, indicating a fracture zone intersected by the well within this interval. Recent drilling mud losses and subsequent observations of oil and gas in the mud point to oil in an open porous, fracture system in the targeted Abiod formation.

Dragon is contributing 75% of the cost of the well up to a cap of $26.6 million (on a 100% basis). Based on the latest plan, the full drilling cost is likely to reach $59 million.

8/6/2013

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