HOUSTON,
Feb. 6 /PRNewswire-FirstCall/ -- VAALCO
Energy,
Inc. (NYSE: EGY) (the "Company") today announced the signing of a farm-in
agreement with Century Exploration (UK) Ltd. (Operator)
VAALCO
will pay
a portion of the well costs to earn a 25% working interest in an exploration
well to be drilled in Block 48/25c located in the Southern Gas Basin of
the
North Sea.
The
well
will target the lower Rotliegende sands at a total vertical depth of
approximately 7,900 feet. The estimated well cost is $20 million and operations
are expected to commence in the third quarter of 2008.
About
VAALCO
VAALCO
Energy,
Inc. is a Houston based independent energy company principally engaged
in the
acquisition, exploration, development and production of crude oil. VAALCO's
strategy is to increase reserves and production through the exploration
of oil
and natural gas properties with high emphasis on international opportunities.
The Company's properties and exploration acreage are located primarily
in Gabon
and Angola, West Africa.
This
press release includes "forward-looking statements" as defined by the U.S.
securities laws. Forward-looking statements are those concerning VAALCO's
plans,
expectations, and objectives for future operations and activities. All
statements included in this press release that address activities, events
or
developments that VAALCO
expects,
believes or anticipates will or may occur in the future are forward-looking
statements. These statements are based on assumptions made by VAALCO
based on
its experience, perception of historical trends, current conditions, expected
future developments and other factors it believes are appropriate in the
circumstances. Such statements are subject to a number of assumptions,
risks and
uncertainties, many of which are beyond VAALCO's
control. These risks include, but are not limited to, inflation, lack of
availability, goods, services and capital, environmental risks, drilling
risks,
foreign operational risks and regulatory changes. Investors are cautioned
that
forward-looking statements are not guarantees of future performance and
that
actual results or developments may differ materially from those projected
in the
forward-looking statements. These risks are further described in VAALCO's
annual
report on form 10K/A for the year ended December 31, 2006 and other reports
filed with the SEC which can be reviewed at http://www.sec.gov,
or
which can be received by contacting VAALCO
at 4600
Post Oak Place, Suite 309, Houston, Texas 77027, (713)
623-0801.