2007 A RECORD YEAR


PRODUCTION

  • Production averaged 4,767 bopd in 2007, up 117 percent from 2006.
  • Fourth quarter 2007 production averaged 9,575 bopd

    • DEVELOPMENT

  • We plan to drill eight wells at Corcel in 2008 and build central facilities to support future growth.
  • We plan to drill 10 wells at Orito in 2008.
  • A total of 48 Orito development locations have been identified by our reserve evaluators, DeGolyer & MacNaughton, and 13 further Orito locations have been identified by Petrominerales.
  • Eight wells are planned for Neiva in 2008, the first stage of a 31-well drilling campaign.

    • EXPLORATION

  • We expanded our exploration land base to 1.6 million acres, all at 100% working interest.
  • We drilled five exploration wells in 2007, three were cased as oil discoveries.
  • Our major discovery at Corcel was brought on production in the third quarter of 2007.This discovery has opened up a new production region in the Llanos Basin and set the stage for a multi-year drilling program.
  • We plan to drill eight exploration wells in 2008 targeting new prospects in the Llanos and Putumayo Basins.
  • An extensive seismic acquisition program in 2008 will evaluate 11 exploration blocks.

    • HEAVY OIL

  • Our three heavy oil blocks, covering over 800,000 acres, are situated in the highly prospective Llanos Basin heavy oil belt.
  • A licensing agreement is in place to implement THAI™ technology, a step-change in-situ combustion process for the production of heavy oil.
  • We have recently completed extensive 2D and 3D seismic programs over our heavy oil blocks.
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