Circle Oil plc , the international oil and gas exploration, development and production company is delighted to announce that the KSR-8 well in the Sebou permit in the Rharb Basin in Morocco has been successfully drilled, logged and tested.

The KSR-8 well has tested two zones, the first in the Upper Hoot formation at a depth of 1755.5-1758 metres and the second, a twin sand, in the Main Hoot formation at depths of 1847.5-1849 metres and 1853-1863 metres, with net pay of 2.5 metres and 11.5 metres respectively.

The lower of the two zones in the Main Hoot formation flowed gas at a sustained rate of 12.48 mmscf/d through a 28/64" choke and produced no liquids. The zone in the Upper Hoot formation flowed at an average rate of 6.76 mmscf/d through a 24/64" choke and also produced no liquids.

The well is being completed as a potential producer. Full technical evaluation of the results is ongoing. Once connected to the local gas infrastructure an extended well test and full assessment of the reserves of the discovery will be completed.

The Sebou permit lies to the north-east of Rabat in the Rharb Basin in Morocco. The Rharb Basin is a foredeep basin located in the external zone of the Rif Folded belt. The concession agreement, in which Circle has a 75% share and ONHYM, the Moroccan State oil company, has a 25% share, includes the right of conversion to a production licence of 25 years, plus extensions in the event of commercial discoveries.