Tullow hit oil in Uganda

Heritage Oil Corporation, the operator of Tullow Oil's exploration well in Uganda, today announced that hydrocarbons in three zones totalling approximately 40 metres have been encountered in the Kingfisher-1A well.

As reported on November 6, 2006, a secondary objective of the Kingfisher-1 well successfully flow tested 4,120 barrels of oil per day from two zones perforated over an interval between 1,783 and 1,795 metres.

Following the encouraging result in the secondary objective of the Kingfisher-1 well, the partners commenced drilling the Kingfisher-1A sidetrack, which aimed to step-out into the basin to test the primary exploration objectives of the well and penetrate as much of the deeper sedimentary section as possible to a maximum depth of 4,000 metres.

Since the last report, the Kingfisher-1A well has been successfully cased to 2,502 metres and drilled to a depth of 2,962 metres.

As part of an accelerated work program in Uganda, the joint venture partners are planning to acquire approximately 270 square kilometres of 3D seismic over the Kingfisher structure commencing in the first half of 2007. Options for further drilling of the Kingfisher prospect and other prospects in Lake Albert are being appraised.

Heritage is operator of and holds a 50% interest in Block 3A, which has an area of 1991 square kilometres. Heritage is also operator of and holds a 50% interest in Block 1, which has an area of 4,285 square kilometres and is located to the north of Block 3A in the Albert Basin. Tullow holds the other 50% interests in Blocks 3A and 1.

Tullow is a leading independent oil & gas, exploration and production group, quoted on the Irish and London stock exchanges and is a constituent of the FTSE 250 Index.