Nido Petroleum, as Operator of Service Contract 54A (SC 54A), provided a status update on development work at Tindalo which is on schedule to deliver first oil in May 2010. The following operational highlights have been achieved since the last update:

•The jack-up rig Aquamarine Driller has completed Tindalo-1 tie-back operations and riser installation; •The FSO arrived onsite and in-field station keeping trials have been successfully concluded including the use of a linked telemetry system installed on the rig; and •Production processing equipment is loaded and assembled on the rig. The forward work program to be completed prior to the production testing of Tindalo-1 is as follows:

•The crude oil transfer hose will be connected to both the rig and the FSO, linking the crude production, delivery and storage systems; •Final installation, hook up and pre-commissioning testing of the production equipment on board the rig will be concluded; and •The Tindalo-1 well will be completed and made ready for production.

Nido will provide further updates on the progress of the project upon the achievement of major milestones, with the next milestone expected to be when oil is first brought to surface.

Tags: Nido Petroleum Limited