Swedish Lundin fails to find oil in the third Sudanese well

October 30, 2008 (PARIS) — Swedish oil explorer, Lundin Petroleum AB, will abandon for the third time a well in Sudan’s oil Muglad Basin in Block 5B as no oil shows were recorded during the drilling operations.

The firm had already abandoned this year two wells in the basin after failing to record oil shows. Last March the Swedish firm had abandoned well Nyal-1, followed by Wan Machar-1 in May.

Lundin Petroleum AB said Thursday that well Muny Deng-1, drilled on the Muny Deng prospect, has reached a total depth of 2,450 metres and will be plugged and abandoned as a dry hole.

The well is located in the swamp area of the southern Muglad Basin in Block 5B, Sudan.

“The drilling results are a disappointment. However, the wells provide important data that will allow us to focus our attention on the remaining prospective area in the block which covers 20,000 sq km,” said Ashley Heppenstall, President and CEO of Lundin Petroleum.

The partners in Block 5B are Petronas Carigali White Nile (5B) Ltd (“Petronas”) (39%), Lundin Petroleum (24.5%), ONGC Videsh Ltd (23.5%) and Sudapet Ltd (13%).

Furthermore, the partnership has accepted the recommendation of the National Petroleum Commission to assign a 10 percent share to the National Oil Company of Southern Sudan to be allocated on a “pro rata” basis from each of the partner’s share.

The operator of Block 5B is White Nile (5B) Petroleum Operating Company (WNPOC) a joint venture between Sudapet Ltd and Petronas.

(ST)