The Eremia 2 pilot hole intersected approximately 37 meters of good quality Dongara Sandstone reservoir. Preliminary measurement while drilling log interpretation indicates that the well intersected the top of the oil bearing Dongara Sandstone reservoir approximately 1 metre higher than the intersection in the Eremia 1 well and approximately 19 metres above the field oil water contact encountered in Eremia 1.
As planned, the well will now be plugged back and sidetracked to drill a horizontal production hole. After the horizontal section is drilled the well will be completed for production. A flowline will then be constructed to the Hovea Production Facility.
The Eremia Oil Field is located 2.5 kilometres to the west of the Hovea Production Facility. The Eremia 1 exploration well was drilled and completed in March 2003 as an oil discovery after encountering an oil column of up to 18 metres in thickness in excellent quality Dongara Sandstone reservoir. Eremia 1 was placed on test production through temporary facilities six weeks after the rig was released and has subsequently produced in excess of 128,000 barrels of oil.
Participants in L1 and L2 (excluding the Dongara, Mondarra and Yardarino fields), and Eremia 2 are:
Origin Energy Developments Pty Limited* 50.00% Arc Energy NL (Operator) 50.00%
*a wholly owned subsidiary of Origin Energy Limited
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