Centella 1 Well to be Cased for Later Production Testing

ARC Energy Limited reports that Centella 1 in Australia has reached a total measured depth of 3,054 meters and wireline logs and wireline pressure data have been acquired.

Preliminary interpretation indicates that the well contains an oil column extending over approximately 18.5 meters in the primary objective Dongara Sandstone. Initial core analysis, wireline log analysis and wireline pressure data indicates that the reservoir quality is poor and there may also be some formation damage. The well will now be cased for later production testing to determine the deliverability and commercial significance of the hydrocarbons.

The well is located approximately 6.5 kilometers east of the Hovea Production Facility and approximately 1.3 kilometers north of the Mondarra gas field.

Participants in Centella 1 and L1 and L2 (excluding the Dongara, Mondarra and Yardarino fields) are:

ARC Energy Limited - 50% (Operator)
Origin Energy Developments Pty Ltd - 50%

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