CEPSA has announced the start of long-term testing at the “Los Ángeles-1X” well, located in Block 131 in the Ucayali basin, east of Lima.

CEPSA, the company operating this block since 2013, has a 70% stake while its partner, Pacific Rubiales, owns the remaining 30%.

CEPSA's Vice Chairman and Chief Executive Officer, Pedro Miró, said that “it's an important milestone for the company and for our expansion strategy in Peru. The initial tests carried out at the Los Ángeles-IX well were sufficiently promising to start long-term testing”.

Production was initiated within a short period of time and the company has already taken the initial steps to begin marketing this very light, high quality oil (44º-45º API gravity). It is the first time oil of such high quality has been discovered in Peru. Substantial production is expected over a long period of time.

In September 2013, work at the Los Ángeles-IX well sped up until, in November of the same year, a depth of 12,409 feet was reached. Next, a 30-day production test was carried out in order to thoroughly analyse the characteristics of the reservoir. The first results obtained from these tests were positive, and CEPSA made the decision to go ahead with long-term testing as soon as the relevant authorisations were obtained. Long-term testing started in September 2014 and drilling is set to commence in late December, enabling reserves to be assessed and a subsequent plan to be drafted for the exploitation of the oil field.

The commencement of this activity is of major significance, not only for CEPSA's operations in Peru, but also because it increases the production of our E&P portfolio and consolidates the international expansion of our company, two of our core strategic objectives.

CEPSA will continue to work in the area in accordance with its commitment to establish an environment of trust and integration with the communities in the areas where it operates and to show the utmost respect for the environment, giving priority to people's safety.

About CEPSA

CEPSA is an energy group fully owned by International Petroleum Investment Company (IPIC). It employs around 11,000 people and operates at every stage of the hydrocarbon value chain. It is engaged in petroleum and natural gas exploration and production activities, refining, transport and sale of crude oil and natural gas derivatives, biofuels, cogeneration and electricity sales. CEPSA has developed a world-class chemicals division that is tightly integrated with its oil refining segment, where feedstock is manufactured and sold for the production of components with high added value, chiefly used in making new-generation plastics and biodegradable detergents. CEPSA has a notable presence in Spain and, through progressive international expansion of its operations, it is also active in Algeria, Brazil, Canada, Colombia, the United Arab Emirates, Malaysia, Panama, Peru, Portugal, Suriname and Thailand, marketing its products worldwide.