Petroamerica Oil Corp. provides an update of certain drilling and testing results from its wells in Colombia. The Company is currently participating in three wells for which results have recently become available: the Las Maracas-7 appraisal well on the Las Maracas Field, Los Ocarros Block, the Balay-4 appraisal well on the Balay Block, and the Altillo Oeste-1 exploration well on the CPO-1 Block.

The Las Maracas-7 well has successfully confirmed the southern extension of the Las Maracas Field. It was drilled 400m south from the Las Maracas-6 well, and encountered potential net oil pay in the Mirador, main Gacheta and basal Gacheta sands. The well was cased-off and is expected to be completed as a Gacheta producer using a work over rig. The Tuscany 109 rig used to drill the Las Maracas-7 well is currently drilling a water disposal well down to the Carbonera C1 formation following which the rig is expected to move off location. Drilling activity on the field is expected to recommence during the second quarter of this year. The field is currently producing approximately 8,500 barrels of oil per day ("bopd") gross with a total field water cut of less than 2%, and it is anticipated that production will remain at these levels until the permanent production facility becomes operational sometime during the second quarter of this year.

Tags: Petroamerica Oil Corp