DNO: Jawhara-3 water bearing (Tunisia)

DNO ASA, the Norwegian oil and gas operator, and Entreprise Tunisienne d’Activités Pétrolière, holder of the Sfax Offshore Exploration Permit in the Republic of Tunisia, announced today the completion of drilling of the Jawhara-3 well on the permit.

Jawhara-3 well was vertically drilled to a total depth of 2,815 meters. The Douleb and Bireno fractured carbonates formations proved to be water bearing in the compartment of the structure targeted by the well. Two other secondary objectives had oil shows. Further analysis of the well’s logging and testing results will be performed to re-evaluate the Jawhara field’s oil-in-place estimates.

Petrogas E&P Tunisia BV, a wholly-owned subsidiary of Petrogas E&P LLC, acquired a 35 percent participating (40 percent paying) interest in the permit from DNO in November 2014.

Under the terms of the farm-out agreement, Petrogas will pay a part of DNO’s share of the Jawhara-3 well cost in addition to its own paying interest share. Petrogas will also pay its paying interest share of prior expenditures incurred by DNO.

Completion of the farm-out is subject to approval by Tunisian authorities. Once completed, DNO will hold a 52.5 percent participating (60 percent paying) interest in the permit. The other partners in the permit are Eurogas International Inc. and Atlas Petroleum Exploration Worldwide Ltd. which together hold a 12.5 percent carried interest.

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