Dragon Oil reported the completion and initial testing of the Dzheitune (Lam) B/159 development well, located in Turkmenistan. The well was drilled to a depth of 2,900 meters and completed as a single producer by the Iran Khazar rig. The initial test result from the well was 2,223 barrels of oil per day.

Having completed a total of eight wells on the Dzheitune (Lam) B platform, Dragon Oil has mobilized the Iran Khazar to the Dzheitune (Lam) A platform. A number of additional jackup rig slots have recently been added on the Dzheitune (Lam) A platform allowing us to avail of this opportunity and schedule the Iran Khazar rig for the drilling and completion of the Dzheitune (Lam) A/162 development well before the rig is due to perform a workover of the Dzheitune (Lam) A/127 well.

The NIS rig and Rig 40 are currently drilling the Dzheitune (Lam) 28/161 and 13/160 wells, respectively, which we expect to put into production over the coming few weeks.

Dr. Abdul Jaleel Al Khalifa, Chief Executive Officer, commented, "I am pleased to report that Dragon Oil has successfully completed and conducted initial testing of the Dzheitune (Lam) B/159 well. We anticipate being able to complete five more wells before the year-end given the recent addition of jackup slots on the Dzheitune (Lam) A platform and availability of the Iran Khazar rig. That will give us a total of 13 new development wells within the 2011 drilling program, out of which eight have already been completed."

Tags: Dragon Oil Plc