High Expectations
After a very successful drilling program during the last half of 2004, we increased oil deliveries from 20,000 Bopd to approximately 29,000 Bopd beginning in 2005.
Drilling Program Suspended
We were forced to suspend our drilling program in January 2005 due to actions taken by the Venezuelan government, including the refusal of PDVSA and the Ministry of Energy and Petroleum (MEP) to process and grant the necessary permits to drill wells. Without the ability to drill new wells, oil production and deliveries declined to approximately 20,000 Bopd by June 30, 2006. Natural gas deliveries also declined from an average of almost 75 million cubic feet per day (MMcfpd) in January 2005 to 43 MMcfpd by June 30, 2006.
Please see Form 10-Q for the period ended June 30, 2006 under the Investor Relations tab shown above.
