Retransmission: TransGlobe Energy Corporation Announces Acquisition of Additional Production in The Republic Of Yemen

Nov 16, 2000 - 08 55 ET

CALGARY, ALBERTA--TransGlobe Energy Corporation  (TSE, symbol 
"TGL"; NASD OTC-BB symbol "TGLEF") is pleased to announce it has 
signed a letter of intent to acquire an additional four percent 
working interest in Block 32 in the Republic of Yemen. 

Block 32, Republic of Yemen (13.81% working interest) 

TG Holdings Yemen Inc., a wholly owned subsidiary of TransGlobe 
Energy Corporation, has signed a letter of intent to purchase an 
additional four percent working interest in Block 32 for a total 
of US$2.13 million.  The transaction will increase TG Holdings 
Yemen Inc.'s working interest to 13.81087 percent.  The initial 
payment of US$1.17 million will be funded with cash and bank debt.
 Additional payments totaling US$960,000 are due upon reaching 
cumulative production targets of 7 million to 12 million barrels 
of oil.  The purchase agreement and assignment of interest is 
subject to the approval of the Ministry of Oil and Mineral 
Resources. The transaction is expected to close by the end of 
November 2000. 

Tasour field production in Block 32 has reached 7,000 Bopd from 
the Tasour #1 and Tasour  #4 wells. The rate will be increased 
when the Tasour #3 well is brought into production later this 
week. The operator, DNO ASA, plans to raise the field production 
rate to 10,000 Bopd (approximately 1,400 Bopd to TransGlobe).  The
increased interest in Block 32 and the recent successful gas wells
in Canada are expected to raise TransGlobe's production to 
approximately 1,700 Boed by December 31,2000, an 990% increase 
over the 1999 exit rate. 

TransGlobe is an international exploration and production company 
with its corporate office in Calgary, Alberta. Along with its 
interest in Block 32, the Company holds a 25% working interest in 
Block S-1 in the Republic of Yemen where it has participated in 
three new discoveries. TransGlobe also has producing properties in
Alberta and British Columbia, Canada. 

This release includes certain statements that may be deemed to be 
"forward-looking statements" within the meaning of the US Private 
Securities Litigation Reform Act of 1995.  All statements in this 
release, other than statements of historical facts, that address 
future production, reserve potential, exploration drilling, 
exploitation activities and events or developments that the 
company expects are forward-looking statements.  Although 
TransGlobe believes the expectations expressed in such 
forward-looking statements are based on reasonable assumptions, 
such statements are not guarantees of future performance and 
actual results or developments may differ materially from those in
the forward-looking statements.  Factors that could cause actual 
results to differ materially from those in forward-looking 
statements include oil and gas prices, exploitation and 
exploration successes, continued availability of capital and 
financing, and general economic, market or business conditions. 

On behalf of the Board of Directors of 


Ross G. Clarkson, 

President & CEO 



TransGlobe Energy Corporation
Ross G. Clarkson, President & CEO
(403) 264-9888
(403) 264-9898 (FAX)


TransGlobe Energy Corporation
Lloyd Herrick, Vice President & COO
(403) 264-9888