Sun Says Drilling of Vesta 1 Well Offshore Australia Delayed

Sun Resources reports that drilling of the Vesta 1 well in located offshore Australia in the Carnarvon Basin, permit WA-261-P, has been delayed until late April-May 2004. It will follow the drilling of the Muggles Prospect in WA-254-P.

The delay has been caused by ongoing changes in well scheduling to the Apache's contracted Ensco-56 jackup.

The Vesta Prospect is a shallow buttress-stratigraphic trap lying west southwest of the Stag Oilfield. The C halosa sand of the Athol Formation is targeted in the trap. Prospect potential ranges in size from 11.5 (mean) to 23.2 (P10) million barrels of oil recoverable. If drilling is successful the nearby Chamois oil accumulation 2.4 (mean) to 3.9 (P10)) million barrels of oil recoverable could also be included in a development to tie back to the Stag Oil Field.

Participants in Vesta 1 are Apache as operator with 57.07%; Sun Resources with 7.78%; Tap Oil Limited with 12.65%; Victoria Petroleum with 12.50% and Arrow Energy with the remaining 10%. Strike Oil NL is not a participant in the evaluation of the Vesta Prospect, but still retains a 16.22% interest in the surrounding permit.

The Muggles Prospect in offshore Carnarvon Basin permit WA-254-P will be drilled in late April 2004. This well will be drilled prior to the Vesta Prospect located in permit WA-261-P which lies some 70 kilometers southwest of the Muggles' location.

The Muggles Prospect is an M australis stratigraphic pinchout trap at ~1300 meters subsea depth within a Cretaceous channel on the Enderby Terrace. Prospect potential ranges in size from 26.2 (mean) to 68.8 (P10) million barrels of oil recoverable. If drilling is successful the discovery could be tied back to the Legendre Oil Field, lying 10 kilometers northwest. WA-254-P participants Apache and Woodside Energy have as a collective the majority interest in the Legendre Oilfield.

Participants in WA-254-P are Apache as operator with 47.887%; Woodside with 24.37750%; First Australian Resources with 10.7143%; Sun Resources with 7.8571%; Victoria Petroleum with 6.1743% and Pan Pacific Petroleum with 2.9914%.