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ATP Oil & Gas Corporation Provides Operational Update

Posted on: Wednesday, 20 July 2005, 15:01 CDT

HOUSTON, July 20 /PRNewswire-FirstCall/ -- ATP Oil & Gas Corporation today announced that it has resumed production at all but two of its Gulf of Mexico fields shut-in as a result of Tropical Storm Cindy and Hurricanes Dennis and Emily. Although the storms caused minimal damage to platforms, third quarter production and other infrastructure projects were interrupted, resulting in delays and production shut-in of approximately five to ten days.

(Logo: http://www.newscom.com/cgi-bin/prnh/20030428/ATPGLOGO )

Unrelated to the storms, the Company shut-in Helvellyn in the UK Sector North Sea in early June 2005. If left on production, Helvellyn would have incurred intermittent operation and increased costs at the host platform, as gas flowing through the host platform owned by other companies was shut-in. The curtailment at Helvellyn resulted in approximately 0.3 Bcfe of deferred production for the second quarter. The Company's second quarter 2005 production is now estimated to be in line with the lower end of previous estimates at approximately 5.0 Bcfe. The company anticipates resuming production at Helvellyn in the fourth quarter 2005. In a normal year UK natural gas prices peak in the winter months to approximately twice the natural gas summer prices.

Development operations at the Company's first Dutch Sector North Sea development, L-06d, are proceeding expeditiously. ATP has reentered and sidetracked the L-06d well which was previously drilled in 1990. The well reached total depth (TD) of 8,859' and logged 88' of net gas pay, 26' structurally high to the original well. The well will be completed and connected to a third-party host platform with initial production expected in the fourth quarter of 2005.

Development is proceeding in the UK Sector at Tors, the Company's third North Sea development, consisting of the three wells at Kilmar and the two wells at Garrow. The Company awaits field development approval from the Department of Trade and Industry (DTI) which will permit the start of offshore onsite installations. Depending on the timing of the field development approval, production at Kilmar is presently projected for the first half of 2006, with Garrow production to follow later in 2006.

At Mississippi Canyon 711 (MC 711 or Gomez) in the Gulf of Mexico, the semi-submersible drilling rig, Ocean Voyager, is back on location. The laying of the two 27-mile pipelines is approximately 50% complete, after a brief delay caused by Hurricane Dennis. Installation of facilities on the Rowan Midland, which will serve as MC 711's production platform, is expected to begin in the third quarter. Initial production is on schedule for the fourth quarter 2005.

About ATP Oil & Gas

ATP Oil & Gas is focused on development and production of natural gas and oil in the Gulf of Mexico and the North Sea. The Company trades publicly as ATPG on the NASDAQ National Market.

Forward-looking Statements

Certain statements included in this news release are "forward-looking statements" under the Private Securities Litigation Reform Act of 1995. ATP cautions that assumptions, expectations, projections, intentions, or beliefs about future events may, and often do, vary from actual results and the differences can be material. Some of the key factors which could cause actual results to vary from those ATP expects include changes in natural gas and oil prices, the timing of planned capital expenditures, availability of acquisitions, uncertainties in estimating proved reserves and forecasting production results, operational factors affecting the commencement or maintenance of producing wells, the condition of the capital markets generally, as well as our ability to access them, and uncertainties regarding environmental regulations or litigation and other legal or regulatory developments affecting our business. More information about the risks and uncertainties relating to ATP's forward-looking statements are found in our SEC filings.

Photo: NewsCom: http://www.newscom.com/cgi-bin/prnh/20030428/ATPGLOGOAP Archive: http://photoarchive.ap.org/PRN Photo Desk, photodesk@prnewswire.com

ATP Oil & Gas Corporation

CONTACT: T. Paul Bulmahn, Chairman and President, or Albert L. ReeseJr., Chief Financial Officer, both of ATP Oil & Gas Corporation,+1-713-622-3311

Web site: http://www.atpog.com/

Source: PRNewswire-FirstCall

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