Caracal Energy Inc. provide an update of exploration, development and production operations in the Republic of Chad.
◾ Current production increased to 14,200 gross barrels oil per day (bopd), from 12,000 bopd as reported on January 20, 2014;
◾ Production at the Badila field is continuing from the original three wells with a 15-20% water-cut, in line with expectations;
◾ Badila-7 is currently drilling at 1,260 meters and Badila-9 is expected to spud over the next 7 days. Both of these wells are expected to provide additional production rate capacity;
◾ Mangara-6 has been completed and testing of the Cretaceous E sands is underway. The comprehensive completion program is also testing the Cretaceous D and C sands. Mangara-6 is expected to be on production later this year when the Mangara field is brought on stream;
◾ Mangara-4 has been successfully side-tracked and cased as a Cretaceous E sands producer;
◾ The first of the four new drilling rigs contracted in 2014 has arrived at the port in Cameroon, on schedule, and should be on site in Q2;
◾ The 2014 exploration program is underway in the Kibea - Beche area, where 3D seismic is nearing completion; and
◾ The Company's first oil sales tanker lifting is now expected before the end of March 2014.