|Thursday, October 21, 1999
Texaco announced the second significant natural gas discovery off the northwest coast of Western Australia within Exploration Permit WA-267-P, operated by West Australian Petroleum Pty. Limited (WAPET). This latest discovery well, Orthrus No. 1, follows the company's announcement last month of the first exploratory well, the Geryon No. 1, in this same block. The Orthrus No. 1, was spudded on October. 1, in approximately 3,940 feet of water, and reached a total depth of 11,712 feet subsea on October. 15. Initial results indicate hydrocarbon gas pay in a high-quality reservoir zone with a total net gas pay of 174 feet over a 298 feet gross interval. In making the announcement, Dr. Bruce S. Appelbaum, President of Texaco Exploration said, "The Orthus discovery, along with the recent Geryon discovery, complements the significant resource base of the WAPET-operated Gorgon, West Tryal Rocks, Spar, Chrysaor and Dionysus gas fields. The estimated resources of these five fields total more than 17.5 trillion cubic feet (tcf) of hydrocarbon gas, of which 5.6 tcf is Texaco's share. The Orthrus discovery, located 17 miles southwest of Geryon, will further support our initiatives to commercialize the Gorgon area gas fields through LNG and domestic gas markets. The Orthrus discovery well was drilled by deepwater rig Marine 500 which will return to Western Australia early in 2000 to continue drilling in WA-267-P to further explore the potential of this area." Texaco leads a domestic gas marketing initiative on behalf of other Gorgon field participants, Chevron, Mobil and Shell, to supply high-volume industrial gas users in Western Australia from the Gorgon and West Tryal Rocks fields. Texaco Australia Pty Ltd holds a 25 percent interest in WA-267-P and interests ranging from 28.6 per cent to 50 per cent in the other titles in the Gorgon area. Texaco's co-venturers in WA-267-P are: Chevron Asiatic Limited (25%), Mobil Australia Resources Company Pty Ltd (25%), Shell Development (Australia) Proprietary Limited (12.5%) and BP Exploration (Alpha) Ltd (12.5%). WAPET is the operator for the joint venture.