Americas Petrogas discovers oil in Argentina

Americas Petrogas has made three conventional oil discoveries on the Rinconada Norte block located in La Pampa Province in the Neuquén Basin of Argentina.

The first well, RN.x-1004, was drilled to a total depth of 1,150m and encountered 1,023 barrels of oil equivalent per day with a gravity of 29.6° light oil from the Precuyo formation.

The RN.x-1001 well was drilled to a total depth of 1,250m, and tested 24 barrels of oil per day and 459 barrels of water in a 22m thick sandstone at the top of the Precuyo formation.

The RN.x-1000 well, which was drilled to a total depth of 1,050m, tested 87 barrels of oil per day and 185 barrels of water from the 893-900m interval at the top of the Precuyo formation.

All three wells are capable of production, with the RN.x-1004 well to begin in the fourth quarter of 2011.