DATE: February 13, 2001
FOR IMMEDIATE RELEASE:
Calgary, Alberta -- Centurion Energy International Inc. (TSE: CUX) has
released an update of activities on its El Manzala Concession which
covers
420,000 acres in Egypt. Centurion has 100% working interest in this
concession and at the present time is concentrating on two core areas,
El
Wastani and Abu Monkar.
Centurion's plans for Egypt in 2001/2002 focus on tying in gas from the
El
Wastani field and undertaking exploration and development drilling to
prove
up additional reserves in both of the El Wastani and Abu Monkar areas.
Production from the El Wastani field is expected to commence by
mid-year,
with initial production from two wells estimated to be approximately 12
mmcf/d of gas and 300 bopd of condensate. Success on any additional
well in
the Abu Monkar area when added to the Abu Monkar #1 reserves would
enhance
the economics of constructing a pipeline to tie into the national gas
grid.
Centurion expects that first gas from the Abu Monkar area will be
on-stream
by mid 2002.
April Construction Start for El Wastani Pipeline
The tie-in of the El Wastani field is progressing and the project
remains on
schedule to tie-in production by mid year.
Approvals for the El Wastani Field Plan of Development (POD) and the
Gas
Sales Agreement were received in November 2000, allowing the gas
project to
move into the construction phase. Line pipe has been purchased for the
pipeline and gathering system to tie-in gas from the El Wastani field
to a
nearby gas processing facility. Pipeline survey and soil investigation
work
is underway and construction of the pipeline is expected to begin in
April.
Aggressive Drilling Program Planned for 2001/2002
The drilling program is an aggressive plan which is scheduled to be
completed by mid 2002.
A drilling rig has been contracted to carry out further development and
exploration drilling in the El Manzala Concession. The rig, expected to
be
available to Centurion in April, has been contracted for three firm
wells
with the option to drill four additional wells.
The first well will be drilled in the El Wastani area. East El Wastani
is
scheduled to spud in April. An option well to the south of the East El
Wastani field is planned later in the year pending success at East El
Wastani. A second option well, El Wastani #3, is scheduled to spud in
the
fourth quarter following a seismic acquisition program which is
currently
underway.
The second well, Gelgel #1, will be drilled in the southern part of the
El
Manzala concession and is scheduled to spud in July. Gelgel #1 is 20
kilometres to the northwest of the discovery well, Abu Monkar #1. The
third
well, Abu Fasada, will spud following completion of drilling Gelgel #1.
Two
option wells could be drilled in the Abu Monkar area pending drilling
results from Gelgel. Success on any one well when added to the Abu
Monkar #1
reserves would enhance the economics to construct a pipeline to tie
into the
national gas grid.
Projects in the El Manzala concession, which have progressed
significantly
since Centurion became operator, are key to Centurion's strategy to
balance
its gas to oil production mix.
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Certain statements in this press release constitute forward looking
statements. The information in this press release is based on
Centurion
Energy's current information, expectations and assumptions, and is
subject
to a number of uncertainties and risks that could cause the actual
results
to differ materially from those anticipated. Such risks include, among
others, the risk that production flow rate could be materially less
then the
flow rate tested and the uncertainty as to the timing of the
commencement of
production and continuing production levels.
For More Information:
Said S. Arrata, President and CEO,
or
Barry W. Swan, Senior Vice President, Finance and CFO
Tel: (403) 263-6002 / Fax: (403) 263-5998
E-mail: info@centurionenergy.com
Web: centurionenergy.com |
