Salamander Spuds Dao Ruang-2 Appraisal Well


Thailand
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Salamander announced that the Dao Ruang-2 appraisal well, Block L15/50, Onshore North East Thailand, spudded on January 16, 2011. Dao Ruang is a 1993 Texaco gas discovery that has potential gross mean resources of 500 Bcf. Salamander has a 50% interest in, and is operator of, Block L15/50.

Dao Ruang-2 will be drilled, using the MB Century 26 rig to approximately 1,670 meters total vertical depth sub-sea. The well will target a fracture network in the Pha Nok Khao Permian carbonate reservoir on the eastern flank of the structure as mapped on the recently acquired high resolution 3D seismic. The well is expected to take approximately 45 days to complete on a dry hole basis.

On completion of the Dao Ruang-2 well, the rig will drill the Dao Ruang-3 appraisal well targeting a fracture network on the northwest flank of the structure.

James Menzies, CEO of Salamander, commented, "Dao Ruang-2 is the first well in the Khorat basin to be drilled using modern high resolution 3D imaging techniques to aid visualization of the fracture network. This technology could prove to be key in finding and commercializing resources in this province where Salamander has the leading acreage position."

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