Beach Drills 2nd Bauer Development Well

Drillsearch announced that following the success of the first Bauer development well the second in the 3 well development program, Bauer-3 spudded at 9.45am, Monday, October 3, 2011. Drillsearch holds a 60% interest in PEL 91 while Beach Energy as operator holds 40%.

The Bauer Field was discovered in August 2011 with the drilling of Bauer-1. The discovery well intersected a 14.6m oil column in the McKinlay/Namur of which 11.7m was Namur Sandstone pay.

The Bauer Oil Discovery is estimated to have gross mean oil reserves of 3.5 MMbbls. Bauer-1 is one of the largest McKinlay/Namur oil column found to date on the Western Flank Oil Fairway.

Bauer-3 is the second of three development wells to be drilled in this program and is located approximately 290 meters south east of the Bauer-1 Oil Discovery. Drilling is expected to take 8-10 days. Bauer-3 will be drilled as a conventional vertical oil well with wireline logging and possible testing planned after the well reaches total depth.