Santos: Gas Encountered at Evans Shoal South

Santos reported Monday that the Evans Shoal South-1 exploration well reached a total depth of 4,097 meters and encountered hydrocarbons in both the primary and secondary objectives. No hydrocarbons were recovered to surface.

The well was not drilled to the planned total depth of 4,225 meters due to poor hole conditions. It has been plugged and abandoned as programmed.

The company said that a technical assessment will continue to better understand the significance of the well results.

The rig will has been moved into the adjacent permit to drill the Barossa-1 exploration well in NT/P69, to be immediately followed by the Caldita-2 appraisal well in NT/P61.

Evans Shoal South is located in permit NT/P48, 278 kilometers northwest of Darwin and 17 kilometers south of the existing Evans Shoal gas resource, in water depths of approximately 100 meters.

The participants in NT/P48 are:

--Santos Offshore Pty Ltd Limited (operator), 40%
--Shell Development (Australia) Pty. Ltd., 50%
--Osaka Gas Australia Pty Ltd., 10%.

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