Remington Oil and Gas Corporation Discovers New Reserves On West Cameron 170 and Increases 2001 Capital Spending Forecast

Apr 11, 2001, 01:00 ET from Remington Oil and Gas Corporation

    DALLAS, April 11 /PRNewswire/ -- Remington Oil and Gas Corporation
 (Nasdaq: ROIL; PCX: REM.P) announced today a new discovery on West Cameron
 Block 170 and provides an update on current operations.
 
     OFFSHORE SHELF DRILLING
     Production casing has been set at 17,200' measured depth in the
 OCS-G 4085 #4 well located on West Cameron Block 170, Offshore Louisiana.  The
 #4 exploratory well logged 77 net feet of apparent oil and gas pay in four
 sands in a previously untested fault block.  The well was drilled from an open
 water location in 45 feet of water and will require a minimal caisson
 structure and flowline to be installed prior to production.  Current plans are
 to complete and test the well and then install the necessary equipment for
 production, which is anticipated to commence in the late third quarter 2001.
 Remington owns a 42% working interest in the #4 well, which is operated by
 NEXEN Petroleum USA, Inc. (NYSE:   NXY).  Following the completion of the #4
 well, drilling is to commence on the West Cameron A-7 development well.
 Remington will participate in the A-7 well with a 20% working interest.
     Remington has completed and flow tested the previously announced discovery
 located on South Marsh Island Block 35, Offshore Louisiana.  This well flow
 tested 812 barrels of oil and 1.0 MMcf of gas per day.  A caisson structure
 has been installed and the oil and gas flowline is currently being designed.
 First production is anticipated by the fourth quarter 2001.  Remington
 operates this new field with a 62.5% working interest, with Magnum Hunter
 Resources (Amex:   MHR) owning the remaining 37.5% working interest.
     Drilling operations have commenced at the company's operated Eugene Island
 302 exploratory well.  The OCS-G 21642 #1, located in 220 feet of water, is
 drilling toward an 11,107' total depth.  Remington owns a 57.5% working
 interest in this well.  Magnum Hunter Resources (Amex:   MHR) and The Wiser Oil
 Company (NYSE:   WZR) own 30% and 12.5 % working interest respectively.
 
     ONSHORE GULF COAST
     In South Texas, Remington has participated in two new oil and gas
 discoveries located in Nueces County Texas.  The two new wells, Othal #2 and
 Dollarhide #1, both have been completed and are currently producing to sales.
 Remington owns a 25% working interest in both wells.  We expect to drill 10
 additional exploratory wells in the South Texas area this year.
     Remington is currently participating in two exploratory wells in
 Mississippi.  The Parker #1, located in Hinds County, is currently being
 prepared for production testing in the Smackover.  In Jasper County, the
 company is participating in the drilling of a 13,700' exploratory well with a
 48% working interest.  We expect to drill four to six additional exploratory
 wells in Mississippi this year mainly based on newly acquired 3-D data.
 
     FIRST QUARTER PRODUCTION
     The company expects first quarter 2001 oil and gas production volumes to
 increase approximately 34% over our fourth quarter 2000 volume of 5.2 BCFE.
 Based on new discoveries announced in 2001, barring no unexpected service
 industry delays, production volumes for the year are now expected to exceed
 2000 levels by approximately 40%.
     James A. Watt, President and Chief Executive Officer, stated, "Most of the
 discoveries announced in 2000 are now on production.  East Cameron 305 and
 345/360 are scheduled to come on production in the summer and Eugene Island
 397 early in 2002.  We continue to have success with the drillbit in all three
 of our core areas based on 3-D seismic data.  Based on success so far this
 year, we anticipate a 2001 capital program of approximately $90 million, or
 36% above our originally approved $66 million budget.  This capital program
 will be funded from cash flow."
     Remington Oil and Gas Corporation is an independent oil and gas
 exploration and production company headquartered in Dallas, Texas, with
 operations concentrating in the onshore and offshore regions of the Gulf
 Coast.
 
     Statements concerning future revenues and expenses, results of
 exploration, exploitation, development and acquisition expenditures, and
 reserve levels are forward-looking statements.  These statements are based on
 assumptions concerning commodity prices, drilling results and production,
 administrative and interest costs that management believes are reasonable
 based on currently available information; however, management's assumptions
 and the Company's future performance are subject to a wide range of business
 risks, and there is no assurance that these goals and projections can or will
 be met.  Further information is available in the Company's filings with the
 Securities and Exchange Commission, which are incorporated by this reference.
 
 

SOURCE Remington Oil and Gas Corporation
    DALLAS, April 11 /PRNewswire/ -- Remington Oil and Gas Corporation
 (Nasdaq: ROIL; PCX: REM.P) announced today a new discovery on West Cameron
 Block 170 and provides an update on current operations.
 
     OFFSHORE SHELF DRILLING
     Production casing has been set at 17,200' measured depth in the
 OCS-G 4085 #4 well located on West Cameron Block 170, Offshore Louisiana.  The
 #4 exploratory well logged 77 net feet of apparent oil and gas pay in four
 sands in a previously untested fault block.  The well was drilled from an open
 water location in 45 feet of water and will require a minimal caisson
 structure and flowline to be installed prior to production.  Current plans are
 to complete and test the well and then install the necessary equipment for
 production, which is anticipated to commence in the late third quarter 2001.
 Remington owns a 42% working interest in the #4 well, which is operated by
 NEXEN Petroleum USA, Inc. (NYSE:   NXY).  Following the completion of the #4
 well, drilling is to commence on the West Cameron A-7 development well.
 Remington will participate in the A-7 well with a 20% working interest.
     Remington has completed and flow tested the previously announced discovery
 located on South Marsh Island Block 35, Offshore Louisiana.  This well flow
 tested 812 barrels of oil and 1.0 MMcf of gas per day.  A caisson structure
 has been installed and the oil and gas flowline is currently being designed.
 First production is anticipated by the fourth quarter 2001.  Remington
 operates this new field with a 62.5% working interest, with Magnum Hunter
 Resources (Amex:   MHR) owning the remaining 37.5% working interest.
     Drilling operations have commenced at the company's operated Eugene Island
 302 exploratory well.  The OCS-G 21642 #1, located in 220 feet of water, is
 drilling toward an 11,107' total depth.  Remington owns a 57.5% working
 interest in this well.  Magnum Hunter Resources (Amex:   MHR) and The Wiser Oil
 Company (NYSE:   WZR) own 30% and 12.5 % working interest respectively.
 
     ONSHORE GULF COAST
     In South Texas, Remington has participated in two new oil and gas
 discoveries located in Nueces County Texas.  The two new wells, Othal #2 and
 Dollarhide #1, both have been completed and are currently producing to sales.
 Remington owns a 25% working interest in both wells.  We expect to drill 10
 additional exploratory wells in the South Texas area this year.
     Remington is currently participating in two exploratory wells in
 Mississippi.  The Parker #1, located in Hinds County, is currently being
 prepared for production testing in the Smackover.  In Jasper County, the
 company is participating in the drilling of a 13,700' exploratory well with a
 48% working interest.  We expect to drill four to six additional exploratory
 wells in Mississippi this year mainly based on newly acquired 3-D data.
 
     FIRST QUARTER PRODUCTION
     The company expects first quarter 2001 oil and gas production volumes to
 increase approximately 34% over our fourth quarter 2000 volume of 5.2 BCFE.
 Based on new discoveries announced in 2001, barring no unexpected service
 industry delays, production volumes for the year are now expected to exceed
 2000 levels by approximately 40%.
     James A. Watt, President and Chief Executive Officer, stated, "Most of the
 discoveries announced in 2000 are now on production.  East Cameron 305 and
 345/360 are scheduled to come on production in the summer and Eugene Island
 397 early in 2002.  We continue to have success with the drillbit in all three
 of our core areas based on 3-D seismic data.  Based on success so far this
 year, we anticipate a 2001 capital program of approximately $90 million, or
 36% above our originally approved $66 million budget.  This capital program
 will be funded from cash flow."
     Remington Oil and Gas Corporation is an independent oil and gas
 exploration and production company headquartered in Dallas, Texas, with
 operations concentrating in the onshore and offshore regions of the Gulf
 Coast.
 
     Statements concerning future revenues and expenses, results of
 exploration, exploitation, development and acquisition expenditures, and
 reserve levels are forward-looking statements.  These statements are based on
 assumptions concerning commodity prices, drilling results and production,
 administrative and interest costs that management believes are reasonable
 based on currently available information; however, management's assumptions
 and the Company's future performance are subject to a wide range of business
 risks, and there is no assurance that these goals and projections can or will
 be met.  Further information is available in the Company's filings with the
 Securities and Exchange Commission, which are incorporated by this reference.
 
 SOURCE  Remington Oil and Gas Corporation