Otto Energy Limited (ASX:OEL) Updates On Phase 2 Drilling Program In The Erdine Licence, Turkey

Perth, Feb 15, 2010 AEST (ABN Newswire) - Otto Energy Limited (ASX:OEL) provides an update on its Phase 2 exploration drilling program in the Edirne Licence, Turkey. The Phase 2 drilling program incorporates up to seven exploration and appraisal wells, which includes the previously advised Kumluk and Kartal wells.

The program is targeting additional gas volumes which can be commercialised through the Edirne Gas Plant. Each of the wells, with the exception of Yolboyu-1, is targeting modest volumes and are being drilled within the extensive 3D seismic that has been acquired within the Edirne licence.

The third well in the drilling program, the Yolboyu-1 well spudded on 12 February 2010. The Yolboyu-1 well differs from the previously drilled wells in the permit.

It is a step-out and deeper prospect covered by existing 2D seismic only and as such is higher risk but has a potential of up to 7.00 Bcf. The prospect, if successful, will require additional infrastructure to enable it to be bought into production including consideration of expansion of the Edirne Gas Plant.

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Well       Target  Working   Proposed     Remarks
                  Interest  Total Depth
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Kumluk-1     Gas    35.00%     550m     Gas discovery
Kartal-1     Gas    35.00%     500m     Gas discovery
Yolboyu-1    Gas    35.00%   2,000m     Exploration
Somurcali-1  Gas    35.00%     900m     Exploration
Ortakci-2    Gas    35.00%     400m     Exploration
Bademlik-1   Gas    35.00%     400m     Exploration
Ortakci-3    Gas    35.00%     400m     Appraisal
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About Otto Energy Limited

Based in West Perth, Otto Energy Limited (ASX: OEL) is an international exploration and production company that has assembled a balanced portfolio of oil and gas assets in the Philippines, Turkey, Italy and Argentina.

As of mid 2008, Otto expects to receive revenue from production at the Galoc Oil Field in the Philippines which will be used to fund further development and exploration across all of the Company’s highly prospective assets. Otto is opportunity rich with an exploration portfolio that includes additional discoveries that are under development, approximately 20 drillable prospects covered by new 3D seismic and well over 60 exploration leads which are being matured as follow-up potential. Consequently, Otto has an active exploration and appraisal drilling program in 2008/2009.

 

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