PetroFrontier reported an update on its general operations in the Georgina Basin, Northern Territory, Australia.
2011 Drilling Update
The first two wells to be drilled by PetroFrontier will be horizontal wells ("Baldwin-2" and "MacIntyre-2") on EP 103 and EP 127 respectively in the South Georgina Basin in the Northern Territory. Both wells will be twins to existing wells ("Baldwin-1" and "MacIntyre-1"). The existing wells will be used as pilot holes for the horizontal leg into the Basal Arthur Creek shale zone. Baldwin-2 and MacIntyre-2 include conventional targets above the Basal Arthur Creek shale zone.
As a result of the significant flooding in the area, the creek crossing between the two drilling locations is impassable and is currently being upgraded by constructing a new road on a different alignment that has adequate drainage to permit the rig to access the MacIntyre-2 location even in the event of further moderate rain events. The rig is also undergoing additional modification to comply with Australian regulations and is expected to be mobilizing to the Georgina Basin near the end of May. The rig will travel over 3,000 kilometers from Brisbane in Queensland to the Baldwin-2 well site. PetroFrontier will provide a further update once rig mobilization has been confirmed.
2011 Seismic Program
PetroFrontier has planned approximately 1,800 kilometers of additional 2D seismic as a further delineation to the approximately 550 kilometers of 2D seismic PetroFrontier acquired during 4Q 2010. The mandatory sacred sites cultural clearance process is underway with the local Traditional Owners and is expected to be completed by mid June. Seismic land operations are expected to commence in late June following the completion of the cultural clearance process. The initial focus of the program is to refine prospects already identified in the greater Ross area. The balance of the program is regional seismic designed to identify possible targets in the other licensed areas.
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