Samson Issues Update on N.D. Wells

Samson Oil & Gas Limited on Sunday advised that operations on the Earl #1-13H progressed to drilling out plugs 19 to plug 11. At this point the tubing string being used to drill the plugs parted at around 4,400 feet.

The top part of the tubing string was subsequently recovered and an operation to recover the balance of the tubing is underway. This has taken longer than anticipated because the drill pad had to be reinforced with gravel as a consequence of the spring thaw. In addition, unseasonal blizzard conditions have been experienced in North Dakota which shut down operations for a 48 hour period.

A rotating snubbing unit was mobilized to the well site the morning of Friday May 6th. This equipment will enable the parted tubing string to be rotated and pulled such that the drill string is successfully recovered. The rupture in the drill string is thought to have been caused by frac sand forming a bridge behind the drill bit. Once the string is rotated and fluid circulated, the string will be recovered.

Whilst these operations have been undertaken, the well continued to flow hydrocarbons and the rate in the 24 hours ending 0500 hours on May 6th was 749 BOPD, with rates observed up to 1296 BOPD.

EVERETT #1-15H (SSN Working Interest 31%)

The Everett #1-15H spudded on May 7th, and on May 8th was at a depth of 2,214 feet. The Everett well is designed as a 5,000 ft horizontal well in the Middle Bakken. It is to be completed using external casing packers and fracture stimulated in 20 stages.


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