Afren farms in to Nigeria's Ofa oil field

Afren PLC plans to drill a well test on Ofa oil field in the northern Niger Delta under an agreement it signed with Independent Energy Ltd. of Nigeria. IEL is field operator.

May 9th, 2007

Uchenna Izundu
International Editor

LONDON, May 9 Afren PLC plans to drill a well test on Ofa oil field in the northern Niger Delta under an agreement it signed with Independent Energy Ltd. of Nigeria. IEL is field operator.

The undeveloped field is believed to hold up to eight oil bearing reservoir intervals in the Agbada Formation at 6,670-7,280 ft.

"The test involves re-entry of the Ofa-1 discovery and will test four of the eight identified oil-bearing zones. In addition, several cased-hole logs will be run to confirm and update contacts in two key reservoirs, with the potential to add additional volumes," Afren said.

Shell previously drilled a vertical Ofa-1 exploratory well on the crest of a roll-over anticline structure to 10,000 ft., finding oil in three reservoir levels.

Under the deal, Afren will pay for the field's development and will recover costs from 80% of net field revenues. After that, Afren and IEL will share production revenue equally.

Third-party approvals are needed before the agreement can be finalized.

Contact Uchenna Izundu at uchennai@pennwell.com

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