Mixed Results from Corybas 1 Well

ARC Energy

ARC Energy reports that the gas exploration and appraisal well Corybas 1, was preparing to run a completion assembly over the Irwin River Coal Measures section. Since the last report, core 3 was cut over the interval 2591 to 2612 meters with 88% recovery and the well has been drilled ahead to total depth of 2627 meters.

DST 3 was then conducted over the High Cliff Sandstone interval from 2584.4 to 2627 meters. The test recovered formation water at a rate of approximately 100 barrels per day. The well is now being completed over the gas bearing Irwin River section for future production testing.

Particicpants in L1 and L2 (excluding the Dongara, Mondarra and Yardarino fields) and Corybas 1 are ARC Energy with 50% as operator and Origin Energy with the remaining 50%.

Executive Director's comments:

"The Corybas well has successfully achieved its objectives of evaluating the Irwin River and High Cliff Sandstone reservoirs in the Elegans structure. The flows of gas from the Irwin River section have demonstrated the potential for conventional gas recoveries from the structure and are very encouraging for the potential commercialization of the resource. Although it was disappointing that the Upper High Cliff Sandstone section was not gas bearing, it has demonstrated the excellent reservoir development of this section in the area, and provided an additional exploration target for the future. Century Rig 11 will now drill the Dongara 34 gas development well for ARC."


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