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Meridian Resource Announces Production Test Results on Its J. A. Smith Well

Posted on: Monday, 25 September 2006, 12:01 CDT

The Meridian Resource Corporation (NYSE:TMR) today announced initial

production test results on its J. A. Smith well on the Y-Not prospect,

located in Iberia Parish in the Weeks Island Field. The well was drilled

to approximately 16,000 feet measured depth ("MD")

and logged approximately 30 feet of overall gross gas pay in the Lower

Miocene sand section. The well was tested at a gross daily flow rate of

up to 3.5 million cubic feet of gas and 109 barrels of condensate before

shutting down the testing unit to prepare to put the well on production.

Flowing tubing pressure was measured at approximately 4,332 psi through

a 12/64th-inch choke and shut in tubing

pressure was measured at approximately 4,520 psi. Production from the

well will require construction of a short pipeline and production

facility tie-ins, which the Company expects to have completed during

early fourth quarter of 2006. The Company owns approximately 97% working

interest (74% net revenue interest) in the well, subject to final unit

surveys.

Operations continue on the second horizontal lateral in the Blackstone

Minerals No. 1 well to test the Austin Chalk formation. The first

lateral was drilled to a length of approximately 3,500 feet to the

south, and the second lateral, going to the north, is currently at a

horizontal length of approximately 5,300 feet going to approximately

6,000 feet. Drilling on the second lateral is expected to be completed

within the next two weeks after which the company will test the combined

flow rate from both laterals. For the three wells drilled and awaiting

the drilling of laterals, the Company has contracted for a rig that will

stay in the field to drill these wells'

laterals through completion beginning in mid November, 2006.

The Company's Bayou Gentilly project has been

awaiting a valve for the pipeline tie-in by the pipeline company and is

anticipated to be completed by end of next month.

The Meridian Resource Corporation is an independent oil and natural gas

company engaged in the exploration for and development of oil and

natural gas in Louisiana, Texas, and the Gulf of Mexico. Meridian has

access to an extensive inventory of seismic data and, among independent

producers, is a leader in using 3-D seismic and other technologies to

analyze prospects, define risk, target and complete high-potential wells

for exploration and development. Meridian is headquartered in Houston,

Texas, and has offices in Tulsa, Oklahoma as well as a field office in

Weeks Island, Louisiana. Meridian stock is traded on the New York Stock

Exchange under the symbol "TMR".

Safe Harbor Statement and Disclaimer

Statements identified by the words "expects,"

"projects,""plans,"

and certain of the other foregoing statements may be deemed "forward-looking

statements." Although Meridian believes that

the expectations reflected in such forward-looking statements are

reasonable, these statements involve risks and uncertainties that may

cause actual future activities and results to be materially different

from those suggested or described in this press release. These include

risks inherent in the drilling of oil and natural gas wells, including

risks of fire, explosion, blowout, pipe failure, casing collapse,

unusual or unexpected formation pressures, environmental hazards, and

other operating and production risks inherent in oil and natural gas

drilling and production activities, which may temporarily or permanently

reduce production or cause initial production or test results to not be

indicative of future well performance or delay the timing of sales or

completion of drilling operations; risks with respect to oil and natural

gas prices, a material decline in which could cause the Company to delay

or suspend planned drilling operations or reduce production levels; and

risks relating to the availability of capital to fund drilling

operations that can be adversely affected by adverse drilling results,

production declines and declines in oil and gas prices. These and other

risks are described in the Company's

documents and reports, available from the U.S. Securities and Exchange

Commission, including the report filed on Form 10-K for the year ended

December 31, 2005.

Source: Business Wire

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