Interim Results

RNS Number:0286P
Centurion Energy International Inc.
26 August 2003




DATE:   AUGUST 26, 2003



                      Centurion Energy International Inc.

               Interim Results for the 6 months to 30 June 2003

       CENTURION REPORTS ANOTHER QUARTER OF STRONG CASHFLOW AND EARNINGS



Calgary, Alberta: Centurion Energy International Inc. (TSE: CUX) reports the
financial results of the Company for the six months ending June 30, 2003.



Mr. Said Arrata, President and CEO, is pleased to present the 2003 second
quarter financial report of Centurion Energy International Inc.  Q2, 2003
results reflect continued strength in cash flow and earnings. Cash flow for Q2,
2003 was $7,923,000 ($0.13 per share basic and $0.12 per share diluted) compared
to $7,213,000 ($0.12 per share basic and $0.11 per share diluted) for Q2, 2002.
Cash flow for the six months ended June 30, 2003 was $16,764,000 ($0.27 per
share basic and $0.26 per share diluted) compared to $9,755,000 ($0.16 per share
basic and $0.15 per share diluted) for the six months ended June 30, 2002.



Earnings for Q2, 2003 were $2,311,000 ($0.04 per share basic and diluted)
compared to $1,972,000 ($0.03 per share basic and diluted) for Q2, 2002.
Earnings for the six months ended June 30, 2003 were $6,486,000 ($0.10 per share
basic and diluted) compared to $2,472,000 ($0.04 per share basic and diluted)
for the six months ended June 30, 2002.  The earnings for Q2, 2003 and for the
six months ended June 30, 2003, were reduced by a one time charge associated
with Centurion's admission to the Alternative Investment Market ("AIM") of the
London Stock Exchange.  Expenses associated with the AIM listing were $1,197,000
and reduced earnings per share by $0.02.



Cash flow and earnings during the quarter ended June 30, 2003 were adversely
affected by a 9% increase in the value of the Canadian dollar versus the US
dollar because our revenues are paid in US dollars. Cash flow and earnings for
the period were also reduced because Centurion had 18,600 barrels of inventory
in storage at the Zarzis terminal resulting in a negative impact of
approximately $405,000, net of operating costs and depletion costs inventoried.



During the Q2 2003, Egyptian production averaged 2,980 boepd and Tunisian
production averaged 2,960 boepd including 750 boepd from the SEEB power plant
which commenced commercial operations on May 9, 2003. The addition of the SEEB
related gas production increased the average production for the quarter to 5,940
boepd.



Subsequent to quarter end, Centurion was pleased to announce that an agreement
was signed with Petro-Canada for exploring the Mellita Permit in Tunisia.  Under
the agreement, Petro-Canada will provide 100% funding up to $US 13.5 million for
a 2D seismic program and the drilling of one well offshore and one well onshore
in the Permit.








OPERATING HIGHLIGHTS



EGYPT



El-Manzala Concession



South Manzala Gas Project



The South Manzala pipeline construction is completed and hydro-testing is
planned for early September. First gas production is still expected before the
end of September 2003.   This 32 km eight-inch pipeline will tie in gas from the
Gelgel, Abu Monkar and Sherbean gas fields to the main gas pipeline grid at
Damietta located in the northern part of the Nile delta.



The central processing facility (CPF) that will process gas from the three
fields is nearly ready for early production that will allow production of about
25 million cubic feet per day.  The balance of the equipment for the CPF has
been shipped from Canada and full production of 35 million cubic feet per day is
expected in November. When the South Manzala Gas Project is fully operational
the addition to Centurion's production will vault total company production over
the 10,000 boepd threshold.



El Wastani Field



The El Wastani field produced an average of 11.2 mmcf/day, 478 bopd of
condensate and 198 bopd of LPG's during the second quarter 2003.  A seismic
program designed to define future exploration and development drilling locations
in the El Wastani area is being tendered and seismic field work is expected to
commence in Q4 2003.



West Gharib Concession

Hana Field



The Hana field continued normal operations with production averaging 445 bopd.
Increased world oil prices and the operating cost reductions implemented in 2002
have resulted in significantly increased net-backs over 2002.  Work is ongoing
with the field operator to re-map the West Gharib concession integrating
reprocessed and acquired seismic.



TUNISIA



El-Biban Field



The El-Biban - 3 well averaged 939 bopd (695 bopd net) during the quarter. Gas
sales to SEEB commenced on May 9, 2003 averaging about 6 million cubic feet per
day (1,010 boepd, 750 boepd net).  A new water separation and treatment unit was
installed at the El Biban facility in February 2003 and has dramatically reduced
our operating costs by about $1.40 per bbl.



Ezzaouia Field



This field produced at an average rate of 1,210 bopd (375 bopd net). Two step
out wells have been approved by all partners to test the southern extension of
the field.  The southern extension was defined by a 3D seismic program shot in
2002 and has the potential to contain up to 10 million barrels of recoverable
reserves.  Each of these wells will take approximately 35 days to drill to a
depth of approximately 7,500 feet.  A drilling rig has been contracted for the
drilling of these wells and is expected to mobilize to the Ezzaouia field in
October.




Robbana Field



The Robbana field which produces from one well continues to produce about 60
bopd (50 bopd net). An exploration well is planned for Q4, 2003 to test an
up-dip structure to the southwest of the producing well.  A 65 km 2D seismic
program was recently completed to pick the best location on the structure. The
well will target potential reserves of 40 to 50 million barrels.



Al Manzah Field



The Al Manzah Field has, as predicted, started to produce water in late July,
2003. The Al Manzah #2 well was producing approximately 1,900 bopd (1,425 net)
before water break-through.  AMZ #2 was choked back to about 200  bopd (150 bopd
net) and water injection was halted.



Remedial work has commenced to put Al Manzah #1 well back on production. If the
well produces oil, water injection will be resumed and significant additional
reserves could be recovered from the Al Manzah Field. Total oil produced to date
from the field is about 1.6 million barrels.



SEEB Power Plant



The SEEB plant, which is the first power plant built in Tunisia under
legislation allowing independent power operations to use gas from marginal gas
fields, commenced commercial operations on May 9, 2003. The plant was built by a
consortium consisting of Centurion and Caterpillar Power Ventures International
near the city of Zarzis located in south central Tunisia at a cost of
approximately $US 30 million. The plant is capable of generating 27 megawatts of
power per hour. Natural gas from two fields, El Biban and Ezzaouia, owned by
Centurion and partners (Centurion working interest 74% and 31% respectively)
will fuel the power plant.



Mellita Permit



Centurion has announced that an agreement has been signed with Petro-Canada, one
of Canada's largest oil and gas companies, to fund an exploration program on
Centurion's 100% owned Mellita Permit. Under the terms of the agreement that is
subject to final approval by the Tunisian authorities, Petro-Canada will become
operator and will fund 100% of the cost of an exploration program up to US $
13.5 million to earn a 72.5% working interest in the 845,000 acre permit. The
exploration program will consist of up to 2,274 km of 2D marine seismic, 75 km
of 2D land seismic and the drilling of two exploration wells, one offshore and
one onshore on Djerba Island.



ETAP, the Tunisian State Oil Company, has the right to elect to participate for
up to 50% in the development of any discoveries made on the permit. In the event
of a discovery, Centurion and Petro-Canada would be reimbursed for exploration
costs equal to ETAP's participating interest and ETAP would pay its share of
future development costs.



The land seismic has been acquired already and the marine seismic program is
currently underway with completion expected during the first week of September.
Following processing and interpretation of the seismic, drilling locations will
be selected and drilling could commence as early as the first half of 2004.
Centurion's exploration staff have mapped sixteen structural leads on the
Mellita Permit. Potential oil reserves on the permit could be up to 500 million
barrels.





Performance Highlights

(For Periods ending June 30)

(Canadian Dollars)


                                    3 months ending   3 months ending   6 months ending   6 months ending
                                         2003              2002              2003              2002
Oil and gas Sales ($mm)                  11.3               9.9              26.3              14.5
Sales price per boe ($)                  29.06             33.03             33.74             32.58
Cash flow ($mm)                           7.9               7.2              16.8               9.8
Per share basic ($)                      0.13              0.12              0.27              0.16
Per share diluted ($)                    0.12              0.11              0.26              0.15
Earnings ($mm)                            2.3               2.0               6.5               2.5
Per share basic and diluted              0.04              0.03              0.10              0.04
Shares outstanding                       62.5              62.2              62.5              62.2
Production (average boepd)               5,940             5,000             5,720             3,740
Total production (boe)                  541,000           455,000          1,036,000          685,000





Certain statements in this News Release constitute forward-looking statements
within the meaning of the Private Securities Litigation Reform Act of 1995.
Such forward-looking statements involve risks, uncertainties and other factors
which may cause the actual results, performance or achievements of the
Corporation to be materially different from any future results, performance or
achievements expressed or implied by such forward looking statements.



For More Information:

Said S. Arrata, President and CEO, or

Barry W. Swan, Senior Vice President, Finance and CFO

Tel:  [phone] / Fax: [phone]



or



Scott Koyich, Investor Relations

Tel:  [phone]



E-mail: [e-mail]

Web:  http://www.centurionenergy.com





Chris Steele or John Bick

Holborn Public Relations

Tel: [phone]








                      This information is provided by RNS
            The company news service from the London Stock Exchange
END

IR UNOSROURWUAR