Primeline Commences 3D Seismic Survey In Block 25/34, East China Sea
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 the Company has commenced the 3D seismic survey in Block 25/34 in the East China Sea.
Following the signing of Geophysical Service Contract as previously announced on 11th May 2006, the vessel Binhai 512 arrived on location, after mitigating the delays caused by the recent tropical storm “Pearl” in the offshore China region. The 3D seismic survey for Primeline has successfully commenced today.
This 3D survey is designed to better evaluate the nearby prospects to the existing gas discovery Lishui 36-1, and is a crucial step in the selection of the next well location. The survey is expected to last around 2 months with processing and interpretation planned for the second half of 2006. The timing of the 3D survey will allow the Company to embark on a drilling programme for the end of 2006/early 2007 subject to rig availability.
The Company owns a 75% interest in the Petroleum Contract for Block 25/34 in the East China Sea with China National Offshore Oil Corp. (“CNOOC”) (CEO: NYSE, http://www.cnoocltd.com) and is the operator for the Block. The Company made the gas discovery, Lishui 36-1, in the Block through two wells which had flow rates of 9.8 and 12 mmcfd of natural gas, respectively. The Block encompasses 7,006 sq kms which contains the Lishui Gas play and many other potential prospects.
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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