Having identified the prolific Ghadames Basin as a target for entry into North Africa, Pioneer acquired leases on blocks covering several million acres in southern Tunisia during 2001. This onshore play offers the benefit of lower cost, shallow targets in an area with an existing pipeline infrastructure.
In September 2002, Pioneer announced a discovery on the Adam prospect in its Borj El Khadra block that encountered several oil and gas productive zones in Silurian sands. The field is currently producing approximately 17,000 gross barrels of oil per day from the eight wells drilled with 100% success. Pioneer's interest in the block is 40 percent.
Pioneer has expanded its position in Tunisia and will assume operatorship of an adjacent block with plans to acquire 3-D seismic and initiate a drilling program in the summer of 2006.