(Oslo, February 21st) InterOil Exploration & Production ASA's consolidated revenues amounted to USD 23.0 million in Q4 2007 with an EBITDA of USD 7.4 million. The consolidated revenue for the full year 2007 is USD 69.4 million. The production increased by 6% since Q3.
- The fourth quarter of 2007 has, as rest of the year, been a period of active drilling of infill production wells in Peru and Colombia. A total of 9 wells were drilled, respectively 3 in Colombia and 5 in Peru, and all 8 wells are put in production. Production has shown a steady growth during Q4 and we are now looking into methods to further improve our productions in these wells by EOR (Enhanced Oil Recovery) methods that we have been testing, says Nils N. Trulsvik, CEO of InterOil Exploration & Production, and continues:
- One exploration well in the Paraiso license in Colombia was spudded in the beginning of December. The well penetrated several intervals of oil-bearing sands, but the logging results indicated that the sandstones would not flow at commercial rates. The well has therefore been plugged and abandoned.
InterOil's fourth quarter 2007 consolidated revenues were USD 23.0 million, compared to USD 10.7 million for the fourth quarter 2006, representing an increase of 115 %. The EBITDA was USD 7.4 million in the fourth quarter 2007, compared to USD 4.8 million for the same period in 2006.
During Q1 2008, InterOil will drill 4 wells in Peru, 2 exploration wells in the southern part of Block III (subject to final permission) and two shallow wells in Block IV. The exploration wells in Block III are in the "agricultural" area, very close to the discoveries by Olympic, and have significant potential.
In Colombia we have had success, using EOR methods, in producing oil from a shallower reservoir of Toqui Toqui and Mana field. This reservoir has previously not been produced and opens for a large number of new shallow production wells. The target is to drill at least 8 wells in 2008. InterOil will also initiate an extensive fracturing campaign, for our deeper reservoir, in Q1 in the Mana and Toqui Toqui area. Based on a study, carried out the last few months, InterOil has high hopes that both these operations will have a very positive result on the production rates.
- InterOil is also encouraged by the new opportunity in Angola, in combination with the recently announced licensing round. Within the next few quarters InterOil will focus on the drilling of new wells in combination with an EOR program in Peru and Colombia, finalizing terms on Cabinda North agreement and establishing a prospect inventory in Blocks 5&6 in Angola that can be drilled and appraised efficiently, along with a new look at Ghana to establish a viable commercial prospect for our next well, says Nils N. Trulsvik.
For more information see Q4 report and presentation enclosed, or please contact:
Nils N. Trulsvik
Tel: +47 67518650
Mob: +47 41608667
Fredrik von Zernichow
Investor Relation Manager
Tel: +47 67518661
Mob: +47 99273843
Fax: +47 6751 8660
InterOil Exploration & Production ASA is a Norwegian based exploration and production company - listed on the Oslo Stock Exchange - with focus on Latin-America and West-Africa. The company is operator of several production and exploration assets in Peru and Colombia, and is an active license partner in Angola and Ghana. InterOil currently employs approximately 200 people and is headquartered in Oslo.