AWE reported that as at 06:00 Yemen time (-7 hrs AEST) on July 21, the Jebel Al Milh-1 well was at a depth of 3,360 meters and drilling ahead in 121/4" hole in the Meem Member of the Madbi Formation. Elevated gas and oil shows have continued to be observed while drilling through this section. Progress for the week was 490 meters.

Jebel Al Milh-1 is located 16 kilometers north-northeast of the Al Meashar-1 well, which recently discovered oil in the basement. The primary target is fractured Pre-Cambrian basement and the structure is well defined on 3D and 2D seismic. The well is expected to drill to a depth of approximately 3,700 meters.

The participants in Block 7 are:

•ARC Energy Holdings Ltd 21.25% •Oil Search (ROY) Ltd (Operator) 34.00% •Kuwait Foreign Petroleum Exploration Co. (Aden) Ltd 21.25% •Yemen General Corporation for Oil and Gas 15.00% •Mitsui E & P Middle East B.V 8.50%

Tags: AWE Limited