OIL DISCOVERY IN OSAYLAN #2, in Damis (Block S1)

OIL DISCOVERY IN OSAYLAN #2, in Damis (Block S1).

Osaylan # 2 well in Damis block S1 (OXY) had shown oil in up-reservoir (i.e. lam sand).

The well was tested recently on November 14-2006, the preliminary results of this reservoir in the well proved a production of 1300 BOPD and 0.65 MMcfgpd , the oil was light (38.6 API).

Testing of the well will continue with in the next few days to confirm the oil higher rates in the upper sand reservoir.