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Centurion Egyption Production Reaches 41,500 BOEPD

Source: www.oilegypt.com 1/4/2006, Location: Africa

Centurion production exited 2005 at a record level of 38,000 boepd from its Egyptian fields (97% increase for Egyptian exit production rate and 80% increase for Corporate exit production rate). Commissioning of the El Wastani production facilities is continuing and the current production in Egypt totals 41,500 boepd.

The 2D seismic acquisition program in Kom-Ombo, which commenced on November 15, 2005, continues and acquisition is approximately 90% complete.

El Wastani Production Lease
The El Wastani East 3 development well has reached total depth of 3,068 meters and encountered 20 meters of net pay in the Upper and Lower Abu Madi Formations. The well has been completed in the Upper Abu Madi and is currently being produced through the El Wastani production facilities at a gas rate of 25 mmscfpd of gas plus natural gas liquids.

The El Wastani 11 development well reached total depth of 3,015 meters and encountered 84 meters of net pay in the Upper and Lower Abu Madi and in the Qawasim formations. The El Wastani 11 well was completed in the Qawasim Formation and is currently being produced through the El Wastani production facilities at a gas rate of 15 mmscfpd of gas plus natural gas liquids.

The El Wastani 10 development well has reached total depth of 2,952 meters and has encountered 66 meters of net pay in the Upper and Lower Abu Madi formations. The well has been completed in the Lower Abu Madi formation. The well is currently being tied in and will be tested through the El Wastani production facilities. Production is expected to commence shortly thereafter. Current production from the El Wastani Production Lease is 180 mmscfpd of natural gas and 6,500 bpd of natural gas liquids (36,500 boepd).

South El Manzala Production Lease
Remedial work continues on the South Manzala wells with re-completions in shallower zones. The Gelgel 11 development well reached total depth of 1,450 meters in the Kafr El Sheik formation and tested at 7.7 mmscfpd of dry gas. The well is currently producing into the South Manzala Production facilities. The current production from the South El Manzala Production Lease is 24 mmscfpd (4,000 boepd).

Abu Monkar 3 Exploration Well
The Abu Monkar 3 exploration well was drilled to total depth. Logs indicate 72 meters of potentially productive sands in the Sidi Salem formation. Gas shows were detected during drilling. The well is currently being cased in preparation for testing. The testing program is expected to commence in mid-January.

West Manzala and West Qantara Blocks
The West Manzala seismic acquisition is almost complete. Approximately 1,400 square kilometers were acquired representing 70% of the total 2,000 square kilometer program. The survey crews have been released to another operator until Q2 2006 when acquisition for Centurion will resume on the West Qantara concession. 15 wells have been budgeted for 2006 in the West Manzala concession commencing with Al Hamra -1 expected to spud in Q1, 2006.

West Gharib Permit(Centurion 30% Working Interest)
The West Hoshia 4 well was drilled to a total depth of 2,765 feet encountering oil pay in the Rudeis reservoir and in the deeper Nubia Formation. The Nubia pay has been perforated and testing is underway.

The Arta-1 well was drilled to a depth of 5130 feet encountering oil pay in the Nukhul Formation. The well is currently being tested.

The operator also re-entered the Rahmi-7 well and tested 140 bopd from the Eocene Thebes reservoir.

The Hoshia field is now producing from 3 wells. Total production from the Hoshia field is 1,190 bopd. The Fadl-1 and 2 wells are now producing at 450 bopd. The West Hoshia field is currently producing at 166 bopd from the Rudeis reservoir and the Hana Field continues to have stable production of 1,547 bopd.

Current production from the West Gharib concession is 3,353 bopd (1,006 bopd net to Centurion).

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