Medco, partner complete drilling Libya's exploration well

JSX-listed oil and gas company PT.Medco Energi Internasional Tbk said that its wholly owned subsidiary Medco international Venture (MIV) and partner Verenex Energy Inc. (Verenex) have completed the drilling of their first exploration well in Libya.

The A1-47/02 well in Libya's onshore Area 47 was drilled to a depth of 11,550 feet.

Area's operator Verenex finds indications of oil and gas in the Lower Acacus (Upper Silurian) and Memouniat (Ordovician) Formations, Medco said in statement to Jakarta Stock Exchange (JSX) Tuesday.

Medco said that the operator had drilled the well to the Memouniat Formation, which was found at the depth of approximately 11,331 feet. A 60-foot core was cut in a sandstone interval at the top of the Memouniat Formation prior to drilling to a total depth of 11,550 feet.

The operator has also decided to use a 7 inch liner from 10,163 feet to total depth to keep the option open to flow test this interval in the future.

According to Medco, the operator will commence flow testing and completion operations by late January 2007. Until producibility is confirmed by testing flow, these interpreted well results are considered preliminary.

The A1-47/02 well is currently being rigged-down and will be moved to the second planned exploration location B1-47/02 approximately 18 kilometers to the northeast in Area 47, subject to Libyan National Oil Company approval.

PT Medco Energi Internasional Tbk holds a 50 percent interest in the area and Verenex the remaining. (denny)