DNO starts production at Nabrajah

DNO expects first oil production from the Nabrajah field to start within the next two weeks, which is slightly behind the original schedule of achieving first oil by end of June.

Offshore staff

DNO expects first oil production from the Nabrajah field to start within the next two weeks, which is slightly behind the original schedule of achieving first oil by end of June.

This minor delay is due to late delivery and installment of third party equipment.

DNO is satisfied with the overall performance of this fast track field development project, which is securing first oil production less than 1.5 years after the field was discovered.

The initial production capacity will be 5,000 b/d, increasing to 15,000 b/d in August. As a consequence of the increased oil reserves in the Basement interval, the capacity of the production facilities will be increased stepwise to 50,000 b/d, and full production capacity is expected to be achieved in 4Q 2006.

The next well on Nabrajah, Nabrajah No. 7 was spudded July 2, and this well will be drilled as a dedicated Qishn oil producer. From August and throughout the year, the plan is then to drill four back-to-back Nabrajah Basement wells (Nabrajah No. 8, 9, 10, and 11). The Nabrajah field is in block 43 (Yemen) and the partners are operator DNO 56.67%, Oil Search (Yemen) Ltd. 28.33%, and The Yemen Co. 15%.

07/06/05

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