OGX estimates between 100 and 200 million barrels of recoverable oil from OGX-4 well

OGX Petróleo e Gás Participações S.A. (“OGX”) announced that it has completed the drilling of well 1-OGX-4-RJS, located in block BM-C-42, in the shallow waters of the southern part of the Campos Basin. Additionally, OGX has identified an oil-bearing interval in the Aptian section of well 1-OGX-5-RJS, located in the BM-C-43 block, also situated in the shallow waters of the southern part of the Campos Basin. OGX holds a 100% working interest in both blocks.

The well, OGX-4, was drilled to a depth of 3,467 meters, resulting in the detection of hydrocarbons in sandstone reservoirs characterized by excellent levels of permo-porosity in the Eocene section, as announced on January 11, 2010. Based on the final well information combined with the 3D seismic data interpretation, OGX estimates recoverable oil volume of between 100 and 200 million barrels.

In well OGX-5, an oil column of 46 meters with around 20 meters of net pay was encountered in carbonate reservoirs of the Aptian section. The drilling of OGX-5 is in its final stage and is expected to reach a depth of approximately 4,300 meters. This is the second discovery in well OGX-5. The first one was made in carbonate reservoirs of the Albian section.

The OGX-5 well is located in the BM-C-43 block and is situated approximately 79 kilometers off the coast of the state of Rio de Janeiro at a water depth of approximately 150 meters. The rig Ocean Ambassador, provided by Diamond Offshore, initiated the drilling activities on December 26, 2009.

Ocean Quest, the rig used at OGX-4, was mobilized to well 1-OGX-6-RJS in block BM-C-41. The drilling of this next well, OGX-6, also located in the shallow waters of the southern part of the Campos Basin, will commence in the next days and it is expected to take approximately 60 days.