Spain
The Ayoluengo Oilfield (100% Leni Gas & Oil) in northern Spain, through Leni Gas & Oil’s 100% ownership of Compania Petrolifera de Sedano, S.L. produced net to Leni Gas & Oil 3,885 bbls of oil and 974 mmscf of gas during the month. Net Leni Gas & Oil production in barrels of oil equivalent totaled 4,047. Monthly production was similar to the previous month with over 60% of the production planned offline due to the execution of the final stage of the first phase field stimulation program which shall continue to mid June. The final stage of the field stimulation program is rehabilitating all wells with the first major cleanout and perforation re-opening program in 20 years. A 100% improvement in production is targeted at completion of this stage with improved productivity from the existing open perforations and the re-opening of currently blocked zones. The program shall also prepare all wells for a major perforation program in early third quarter to perforate 400 meters of undepleted zones.
US Gulf of Mexico & Lower 48
The interests held by Byron Energy (28.94% Leni Gas & Oil) in the US Gulf of Mexico and Gulf Coast is producing at a restricted rate of 5,000 boepd gross from the Eugene Island field as announced by the joint venture operator on May 11, 2009. Monthly production was restricted from the average of 6,000 boepd due to reduced gas sales pipeline system availability. Leni Gas & Oil’s indirect interest in the Eugene Island field through Byron Energy around to an effective net Leni Gas & Oil monthly production in barrels of oil equivalent totalling 10,875. As announced on April 8, 2009, Leni Gas & Oil has completed a Heads of Agreement with Byron Energy to transfer the company’s shareholding in Byron Energy from an indirect to a direct ownership of its US Gulf of Mexico oil and gas assets.
Hungary
The Penészlek Gasfield (7.27% Leni Gas & Oil) in eastern Hungary, through Leni Gas & Oil’s 7.27% ownership of PetroHungaria Kft resumed production on April 29, 2009 with completion of the Pen-104a sidetrack which targeted a higher part of the structure to maximise recoverable reserves. Stabilized production of three mmscfd gross was reported on May 5, 2009. Production net to Leni Gas & Oil totaled 0.309 mmscf of gas and no condensate during the month. The Gasfield produces no oil. Net Leni Gas & Oil production in barrels of oil equivalent totaled 52. The production schedule of ZalaGasCo Kft (14.74%) Leni Gas & Oil) in western Hungary will be announced in due course.
Trinidad
The Icacos Oilfield (50% Leni Gas & Oil rights) located on the Cedros Peninsula of Trinidad; through Leni Gas & Oil’s 100% ownership of Eastern Petroleum (Australia) Pty Ltd produced gross 1,130 bbls during the month with almost 10% of production offline due to planned well interventions. The Oilfield produces no gas. Net Leni Gas & Oil production in barrels of oil equivalent totaled 565.
