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Mobil Confirms Major Gas Discovery in Bolivia

5 August 1999

Mobil Confirms Major Gas Discovery in Bolivia

    FAIRFAX, Va.--August 5, 1999--Mobil Corporation announced today that Mobil Boliviana de Petroleos, its wholly owned subsidiary, has confirmed a significant gas discovery in Southern Bolivia. The Itau X-1(A) well, drilled to a total depth of 18,912 feet is located within Block XX (20) West near the border of Argentina. In two independent tests, the well flowed a combined rate of 60 million standard cubic feet per day of gas. The initial estimate is that the Itau X-1(A) discovery is one of the larger discoveries to date in Bolivia.
    The Itau discovery is located close to pipelines linking the area with the recently inaugurated Bolivia - Brazil Gas Pipeline. Forward plans include actively marketing the Itau gas in the growing markets of the Southern Cone, mainly Brazil. Mobil will have a 34 percent interest in the Itau field. Total Exploration Production Bolivie S.A., a subsidiary of TOTALFINA S.A., is the operator with a 41 percent interest and TESORO Bolivia Petroleum Company holds the remaining 25 percent interest.
    "The Itau gas discovery complements Mobil's existing operations elsewhere in the Southern Cone, said M. W. Scoggins, President, International Exploration & Producing, Mobil Oil Corporation. "In Argentina, Mobil has natural gas interests in the Aguarague field and the Sierra Chata field which together currently produce about 140 million cubic feet of Mobil share gas a day for sale to markets in Buenos Aires and northern Chile."
    Mobil is a major integrated oil and gas company, which in addition to extensive downstream activities in South America, has upstream holdings in Argentina, Brazil, Peru and Venezuela.