President reported the successful testing and immediate placement on commercial production of Well DP 1001 at the Dos Puntitas field, Puesto Guardian concession, Argentina (President 50% working interest). This is the first new well of President to be commissioned as a producer since its July 2011 purchase of its interest at Puesto Guardian.
The oil will be sold through existing arrangements, where President and its partner are receiving approximately $72 per barrel, as compared to the $56 per barrel received in July 2011.
These drilling and test results support President's group production target of 1300-1500 bopd around end Q3 2012.
As previously announced, Well DP 1001 identified, through cores and electric logs, 3 productive reservoirs with 33 meters of net pay. Respectively, these are the carbonate interval, and the A6 and A5 sands.