Hana Oil Discovery Declared,
Tanganyika Oil Company Announces Hana Oil Discovery Declared
Commercial, Production Soon to Commence
VANCOUVER, BRITISH COLUMBIA--Tanganyika Oil Company Ltd. is pleased to announce that the Egyptian General Petroleum Corporation has granted
``Commerciality' status and approved a ``Development Plan' for the Hana oil discovery on the West Gharib Block, onshore Gulf of Suez, Egypt. With this
approval, the company will initiate production operations immediately through temporary facilities. Crude oil produced from the Hana-1 and Hana-2 wells is
expected to average 4,000 barrels per day and will be trucked some 15 kilometres to the Bakr South shipping terminal, operated by the General Petroleum
Corporation. Please see attached map.
Permanent storage/process facilities and an 8 inch, 11 kilometre pipeline designed to handle over 20,000 barrels of oil per day, are expected to be commissioned
by May, 2000. The EDC rig No. 17 is contracted to drill 3 additional development wells commencing in early January, 2000, which will further boost production in
the first quarter. Additional producers and pressure maintenance injection wells are planned for later in the first half of next year.
The Hana oil discovery is believed to be typical of a number of oil pools expected to be found in the future on the vast West Gharib Block. Exploration activities will
be augmented with an extensive geophysical program encompassing 310 square kilometres of 3D seismic, to commence before year-end, 1999. Subsequent drilling
is planned for the second half of next year.
Tanganyika Oil Company Ltd., through its wholly owned subsidiary, Dublin International Petroleum (Egypt) Limited, is the operator of the West Gharib Block,
holding a 50% interest. Drucker Petroleum Inc., a wholly owned subsidiary of Drucker Industries Inc. [OTC BB:DKIN.OB - news], holds a 20% interest and
GHP Exploration (West Gharib) Ltd., a wholly owned subsidiary of TransAtlantic Petroleum Corp. holds the remaining 30% interest. |
