AWE Spuds West Cape-1 Well

PEP 38481 and 38482, Taranaki Basin
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AWE reports that the West Cape-1 well started drilling at 1930 hours on September 13, 2007. At 0600 hours today, the well was preparing to run BOPís prior to drilling ahead. During the week, the well was drilled to 1,500 meters and 13-3/8" casing was run and cemented.

The West Cape prospect is located in the western Taranaki basin within PEP 38481. The prospect is located approximately 20 kilometers west of the Tui Area oil project, which recently started production. West Cape-1 is being drilled in a water depth of approximately 131 meters. The well has a planned total depth of 3,730 meters.

Participants in PEP 38481 are:

AWE (Operator)                             40.0%
OMV New Zealand Pty Limited                25.0%
Energy Western Holdings Ltd ("Shell NZ")   20.0%
Todd Petroleum Mining Company Ltd          15.0% 
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