Chinook Energy suspends Jenein Centre-1 well

Chinook Energy has announced that the Jenein Centre-1 exploration well, operated by an wholly-owned subsidiary of Chinook, has been suspended following an unsuccessful completion attempt on the Silurian Acacus Formation. A number of perforated levels in the Acacus were evaluated.

Some intervals were determined to be water-bearing and others may have been damaged. Data obtained during the test operations will be evaluated to determine the extent of the damage and if remedial action is feasible.

Chinook's subsidiary is the operator of the well with a 65% interest. The well will be re-entered at a later date and a completion will be attempted on the secondary target in the Ordovician which is prospective for gas and condensate. The existing well bore configuration does not allow for a stimulation operation that will be required to produce the ordovician. The Jenein Centre-1 well fulfils all exploration commitments for the permit. Chinook will evaluate plans for future exploration on the block and its Ordovician gas strategy for the area. Chinook's next operation in Tunisia is the drilling of the TT-3 appraisal well on the Remada Permit which is scheduled to spud on or about November 1 2010.

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