Solimar Energy Limited provide the following operations update for the Paloma-3 well that was recently cased and completed for testing after being drilled to a total depth (TD) of 6,000 feet. The results summarized in this release relate to the testing of the first of a number of potentially gas bearing sandstone reservoirs within the Pliocene age San Joaquin Formation that have been identified in the well.

The test results to date:

• Gas flow to surface at up to 968,000 CFD, from a 5 feet thick sand in the Paloma-3 well, at a depth of 5,435 feet. This interval is one of several potential gas pay sands in the well. Multiple, relatively thin gas sand reservoirs are typical of the San Joaquin Formation gas fields in the area.

Tags: Solimar Energy Limited