Addax petroleum Ramps up production in gabon

Addax Ramps-up Production in Gabon

Addax Petroleum 12-01-2006

Addax Petroleum www.addaxpetroleum.com announced that the start-up commissioning of the new production and export system for its Maghena property located onshore Gabon has been completed.

An Addax statement said that the new system should eliminate constraints that had been limiting its export capacity from the Tsiengu and Obangue fields. The two fields had only been producing about 5,000 bpd but with the new production and export system the fields are now flowing at about 8,000 bpd, over a 60% increase in output.

The new production and export system has a 30,000 bpd central production facility at the Tsiengui field, a through a 30-km, 10-inch pipeline from Maghena, links to the Total Gabon-operated Coucal facility, where there is also additional heating and pumping capacity. The system is then tied into the main northern export trunk line and the export terminal at Cap Lopez in Port Gentil, Gabon. The current overall export capacity is 20,000 bpd and Addax expects to increase this to 30,000 bpd in the first half of 2007 with the installation of additional heating and pumping facilities at Coucal.

Jean Claude Gandur, Addax Petroleum's President and Chief Executive Officer commented on the milestone, "The commissioning of the new onshore production and export system in Gabon is an important step in the development of our onshore properties in the country. With the removal of current export constraints via the new system, we expect to reach our targeted 2006 exit rate

of 18,000 bpd of production from our onshore and offshore properties in Gabon. The new production and export system will also assist us in continuing the rapid growth of Addax Petroleum's total production to a targeted average of approximately 130,000 bpd from all of the corporation's properties in 2007."