N@N

Sonoro Independent Prospective Resource Report and Operational Update

^{Published on 2011-02-23 05:15:43 - Market Wire}
 

 - Risked Prospective Resources in the Salah ad Din license area are estimated on a gross recoverable oil basis to be approximately 5.2 billion barrels (P50), ranging between 1.7 billion barrels (P95) to 10.3 billion barrels (P5) - The estimated Recoverable Oil Resources for a single field discovery in the Province is 200 million barrels (P50), ranging between 10 million barrels (P90) and 4.2 billion barrels (P10), with an expected (mean) field size of approximately 1.3 billion barrels oil recoverable - The prospective heavy oil resources ((less than)25 degrees API) are expected to be between 42% and 60% of the total prospective oil resources in the Province - Recovery factors using the Energy Intelligence data (see note 3, below) indicate recovery factors in the range of 15% to 35% for all discovered fields in the study area (16.8% to 25.6% for the heavy oil fields) 

 Prospective Resources - Risked Recoverable Oil (MMbbl) ------------------------------------------------------------------------- P95 P50 P5 Mean ------------------------------------- Cretaceous 1,709 5,090 10,065 5,394 Tertiary 36 114 240 123 ------------------------------------------------------------------------- Total 1,745 5,204 10,305 5,517 

 Expected Field Size(2) - Technically Recoverable Oil (MMbbl) ------------------------------------------------------------------------- Data Source(3) P90 P50 P10 Mean ------------------------------------------------------------------------- Data Set 1 (WM) 4 150 5,081 2,346 Data Set 2 (IHS) 16 244 3,636 1,376 Data Set 3 (EIG) 11 206 3,958 1,567 ------------------------------------------------------------------------- Average Field Size 10 200 4,225 1,763 Notes (1) Prospective Resources are those quantities of petroleum estimated, as of a given date, to be potentially recoverable from undiscovered accumulations by application of future development projects. Prospective Resources have both an associated chance of discovery and a chance of development. Prospective Resources are further subdivided in accordance with the level of certainty associated with recoverable estimates assuming their discovery and development and may be sub- classified based on project maturity. The chance of commerciality is the product of these two risk components. (2) Expected Field Size is the range of typical field sizes for the regional geologic setting. Field discoveries within the Salah ad Din Province are expected to be within this range and the aggregate of future potential field discoveries to be distributed in this manner. (3) Sources: Data Set 1 - Wood Mackenzie Pathfinder E&P Database, Data Set 2 - IHS EDIN E&P Database and Data Set 3 - Iraq Ministry of Oil Reserves Estimates as published by the Energy Intelligence Group, October 2010.