Supplejack South-1 Exploration Well Spudded

Tap oil reports that the Supplejack South-1 exploration was spudded on December 6, 2005. The target is located in PEP 38765 in the Onshore Taranaki Basin. The well will be drilled from the Supplejack-1 site as a deviated well.

Supplejack South-1 is an exploration well designed to test the hydrocarbon potential of a seismic anomaly at the intra Mt Messenger sandstone level offset to the Supplejack-1 discovery location. The target sandstones at Supplejack South-1 are interpreted to be the lateral equivalent of the thin sand interval that produced gas-condensate on test in Supplejack-1. The shallower sandstones which were interpreted from logs to contain hydrocarbons in Supplejack-1 are a secondary target in the Supplejack South -1 well.

The well is expected to take about two weeks to drill.

PEP 38765 Joint Venture participants are Tap (New Zealand) Pty Ltd as Permit Operator with 50.00%; Austral Pacific Energy (NZ) Limited as Operator of well with 36.67%; and TAG Oil Limited with the remaining 13.33%.

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