Anadarko Announces First Deepwater Discovery Offshore Mozambique

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Feb 18, 2010

Anadarko Petroleum Corporation (NYSE:APC) today announced the Windjammer exploration well in the frontier Rovuma Basin offshore Mozambique has reached an intermediate casing point and encountered more than 480 net feet of natural gas pay in high-quality reservoir sands, with a gross column of more than 1,200 feet. To date, this well has tested one of the seven identified play types in Anadarko's operated acreage offshore Mozambique.
"The intermediate results of the Windjammer well are positive for the partnership and the people of Mozambique," said Bob Daniels, Anadarko Sr. Vice President, Worldwide Exploration. "This is true rank wildcat exploration, and to have our first deepwater exploration well result in a discovery with more than 480 net feet of pay, thus far, is a strong indication of the potential of this basin. The Windjammer discovery de-risks a substantial portion of approximately 50 leads and prospects that we've identified across our 2.6-million-acre position in the basin."

To date, the Windjammer well has been drilled to a depth of approximately 14,000 feet in about 4,800 feet of water, approximately 30 miles east of the Mozambique coastline. The company anticipates drilling another 4,100 feet in this well to gain additional geological information prior to reaching total depth.

After testing the deeper objectives in the well, Anadarko plans to move the Belford Dolphin drillship to its Collier prospect less than 50 miles south-southeast of Windjammer. Anadarko also expects to drill two to four additional exploration wells in the Rovuma Basin this year, with initial well results from Windjammer and Collier determining which prospects are drilled next.

Anadarko is the operator with an approximate 43-percent paying interest in the well. Co-owners in the well are BPRL Ventures Mozambique B.V. (11.75 percent), Cove Energy Mozambique Rovuma Offshore, Ltd. (10 percent), Mitsui E&P Mozambique Area 1, Limited (23.5 percent) and Videocon Mozambique Rovuma 1 Limited (11.75 percent). Empresa Nacional de Hidrocarbonetos, ep's 15-percent interest was carried through the exploration phase.

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