VAALCO Energy, Inc. (NYSE: EGY, LSE: EGY) (“Vaalco” or the “Company”) provided operational updates in offshore Gabon regarding the ongoing drilling program, including well results on the ETBNM-3 well and commencement of the ETSEM-3PH well.

Operational Highlights:

  - Successfully drilled, completed and placed on production the ETBNM-3 gas-supply well in the crestal portion of the North Tchibala structure from the Dentale D-15 reservoir.
   * Reservoir properties were above pre-drill estimates, with strong porosity and permeability coupled with over 10 meters of net reservoir pay;
   * Provides sufficient gas supply for field operations, liftings and power needs, significantly reducing the costs of higher priced diesel;
   * Evaluation ongoing to assess the potential of the shallower pay intervals encountered in the D-9 and D-12 intervals, which appear to contain wet gas to light oil pay;

  - Continued the drilling campaign in offshore Gabon by moving the rig on 27th July to a new slot on the SEENT platform to drill the ETSEM-3PH pilot hole and development well;
   * Planned as a pilot hole and subsequent horizontal Gamba producer near the crest of the central fault block of SE Etame;
   * Pilot well designed to test the original field Oil Water Contact and potential of the underlying Dentale formation;
   * Following the pilot well, a horizontal development well is planned with a completion length of 300 meters within the Gamba sands.

George Maxwell, Vaalco’s Chief Executive Officer, commented, “We continue to execute operationally across our diversified portfolio of assets. In Gabon, the newly successful gas well won’t add production or sales directly but will reduce costs associated with using higher priced diesel; this should improve field uptime and potentially add production uplift to existing wells over time. Our strategy remains unchanged with an ongoing focus on growing production, reserves and value for our shareholders.”

About Vaalco

Vaalco, founded in 1985 and incorporated under the laws of Delaware, is a Houston, Texas, USA based, independent energy company with a diverse portfolio of production, development and exploration assets across Gabon, Egypt, Côte d'Ivoire, and Equatorial Guinea.

Vaalco’s Legal Entity Identifier (LEI) is 549300CFHFVIWB8M6T24.