noble energy encountered new reservoirs on block i offshore equatorial guinea

Noble Encountered New Reservoirs on Block I Offshore Eq. Guinea

07-16-2008

The operator Noble Energy has announced that new discoveries of multiple reservoirs containing oil and/or gas-condensate have been made during an exploration drilling at the Diega prospect on Block I in Equatorial Guinea.

The Sedco 700 semisub is drilling its Diega prospect and results to-date have confirmed the discovery of multiple hydrocarbon-bearing reservoirs. Initial formation logs have identified 38 feet of net gas- condensate pay in the primary zone which correlates to earlier discoveries in the region.

A deeper previously untested feature was also discovered and found to contain 30 feet of net gas-condensate pay underlain by 37 feet of net oil pay. Preliminary analysis suggests that liquid yields from the gas zones are expected to be greater than at the Belinda gas-condensate discovery on Block "O." Once drilling operations are concluded, a testing program will commence.

Diega, the second oil discovery by Noble Energy and its partners on Block "I," represents the sixth successful well drilled on the block with no dry holes. Noble Energy is the technical operator on the block with a 40%participating interest.

Other partners with interest in Block I are PA Resources with 6%, through its fully owned subsidiary Osbourne Resources, Atlas Petroleum International (29%) and Glencore (25%). GEPetrol (the national oil company of the Republic of Equatorial Guinea) will have a 5% carried interest once commerciality has been determined.