Tanganyika Oil Company Ltd.
TSX VENTURE : TYK
OMX : TYKS

Tanganyika Oil Company Ltd.

June 25, 2008 02:30 ET

Drilling Success Continues to Extend Reserves and Production Growth at Tanganyika's Tishrine Block

CALGARY, ALBERTA--(Marketwire - June 25, 2008) - Tanganyika Oil Company Ltd. ("Tanganyika" or the "Company") (TSX VENTURE:TYK)(OMX:TYKS) is pleased to provide an update on the Tishrine drilling and appraisal program.

The Company's second quarter drilling program has continued to prove reserves and discovered resource boundaries beyond the reserve and resource areas recorded at December 31, 2007. The Company continues to extend the West Tishrine field downdip to the north and along strike to the southwest. In addition to geographically extending the Tishrine reserves and resources, oil has been logged and tested at depths of -820 to -845 meters subsea. Reserves have not previously been attributed to reservoirs at this depth. While increasing the reserves and resources in the Tishrine block, the Company's production increases to date in 2008 are in line with production guidance provided to the market.

Significant wells drilled in the northern downdip extension include WT-270, WT-273, WT-265 and WT-275 with net pay ranging 26-33 meters in the Chilou A, 16-46 meters in the Chilou B1-B3 and 18-38 meters in the Jadalla reservoirs. Significant wells drilled in the southwest extension include WT-261, WT-266 and WT-277 with net pay ranging 23-30 meters in the Chilou A, 18-36 meters in the Chilou B1-B3 and 18-107 meters in the Jadalla reservoirs.

Recent production testing results from these wells follow:



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Gross fluid Gross well oil
production production
(barrels of (barrels of Water cut
Well fluid per day) oil per day) (%)
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WT-277 981 432 66
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WT-266 1,472 1,457 1
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WT-261 1,295 1,282 1
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WT-270 107 100 1
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WT-273 837 670 20
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WT-265 63 57 10
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WT-275 145 125 14
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The prolific 35 kilometer east-west Tishrine anticline has producing fields at each end of the structure, the East and West Fields, and oil has been tested in up to 5 different horizons across the anticline. The Company will continue appraising this anticline throughout 2008 with a planned ten well appraisal program. WT-276 is the first appraisal well to be drilled in the area between the existing East and West Tishrine Fields, stepping three kilometers to the Southeast of the West Tishrine field. Preliminary indications from WT-276 are very positive with 23 meters of net pay logged in the Chilou A, 36 meters in the Chilou B1-B3 and 180 meters in the Jadalla reservoirs, complemented with good oil shows. WT-276 will be tested over the next 30-60 days.

2008 results to date are very encouraging for the summer and fall appraisal program. Further details of the Tishrine appraisal program will follow with the second Quarter operations update in July.

Tanganyika Oil Company Ltd. is a Canadian oil and gas company with production and exploration assets in Syria. Its shares are traded on the TSX Venture Exchange under the symbol TYK and its Swedish Depository Receipts trade on the OMX Nordic Exchange under the symbol "TYKS".

Note Regarding Reserve Category Definitions:

Proved reserves are those reserves that can be estimated with a high degree of certainty to be recoverable. It is likely that the actual remaining quantities recovered will exceed the estimated proved reserves.

Probable reserves are those additional reserves that are less certain to be recovered than proven reserves. It is equally likely that the actual remaining quantities recovered will be greater or less than the sum of the proven plus probable reserves.

Possible reserves are those additional reserves that are less certain to be recovered than probable reserves. There is only a 10-percent probability that the quantities actually recovered will equal or exceed the sum of the proven plus probable plus possible reserves.

Discovered resources are those quantities of oil and gas estimated on a given date to be remaining in, plus those quantities already produced from, known accumulations. Discovered resources are divided into economic and uneconomic categories, with the estimated future recoverable portion classified as reserves and contingent resources, respectively.

Forward-looking statements: This press release contains statements about expected or anticipated future events and financial results that are forward-looking in nature and, as a result, are subject to certain risks and uncertainties, such as general economic, market and business conditions, the regulatory process and actions, technical issues, new legislation, competitive and general economic factors and conditions, the uncertainties resulting from potential delays or changes in plans, the occurrence of unexpected events and management's capability to execute and implement its future plans. Actual results may differ materially from those projected by management.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Tanganyika Oil Company Ltd.
    Gary Guidry
    President and Chief Executive Officer
    (403) 716-4051
    (403) 261-1007 (FAX)
    Email: gary.guidry@tykoil.com
    or
    Tanganyika Oil Company Ltd.
    Ian Gibbs
    Chief Financial Officer
    (604) 689-7842
    (604) 689-4250 (FAX)
    Email: ian.gibbs@tykoil.com
    or
    Tanganyika Oil Company Ltd.
    Sophia Shane
    Corporate Development
    (604) 689-7842
    (604) 689-4250 (FAX)
    Email: sophias@namdo.com
    Website: www.tanganyikaoil.com