Primeline Commence Phase Two 3D Seismic Survey
Primeline Energy Holdings Inc. (“Primeline” or the “Company”), listed on the TSX Venture Exchange Inc. under the trading symbol “PEH”, is pleased to announce that it has commenced Phase Two of the 3D seismic survey of Block 25/34 in the East China Sea.
Following the completion of the Phase One survey in July 2006, Geo-COSL, the Contractor appointed by Primeline, commenced Phase Two of the 3D seismic survey of a total of 549 sq km within the Block. The Phase One survey covered the area to the west of the Company’s existing Lishui 36-1 discovery, which is the area of the greatest interest to the Company. The Phase two survey will cover the area to the north and east of the existing discovery. The vessel Binhai 512 arrived on location earlier than originally planned, and commenced the survey on 14th August. The phase two survey is due to be completed in September 2006, subject to weather and operational conditions.
In the meantime, the Phase One survey data is being processed and the results are expected around November when interpretation will commence. The Phase Two data will be merged with the Phase One data to provide the Company with comprehensive 3D seismic information on the analogous prospects and leads in the area immediately surrounding the gas discovery Lishui 36-1. This 3D survey will provide information required in order to evaluate nearby prospects and to select the next well location(s).
Primeline owns a 75% interest in the Petroleum Contract for Block 25/34 in the East China Sea with China National Offshore Oil Corp. (parent company of CNOOC Limited, CEO/NYSE, www.cnoocltd.com) and is also the operator for the Block. The Company made the gas discovery, Lishui 36-1 within the Block through two wells which have flow rates of 9.9 and 12.6 mmcfd of natural gas, respectively. The Block encompasses 7,006 sq km and contains many other potential prospects in addition to the Lishui gas play.
ON BEHALF OF PRIMELINE ENERGY HOLDINGS INC.
(signed) “Ming Wang”
Chief Executive Officer
For More Information Please Contact:
Primeline Investor Relations
Tel. + 44 20 7501 0688
Fax. + 44 20 7501 0699
Toll Free: 1 877 818 0688
Web Site: www.primelineenergy.com
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