Kiwi-1 Well Spudded Offshore New Zealand

Australian Worldwide Exploration reports that the Kiwi-1 well was spudded on August 22, 2004 offshore New Zealand.

Kiwi-1 is an exploration well located approximately 4 kilometers southwest of the Amokura oil field. The primary objective is the Kapuni "F" sand reservoir, which contains oil at the adjacent Amokura, Pateke and Tui fields. The well also aims to test a very large deeper secondary objective, the North Cape Formation, where extensive oil shows were encountered in the Pukeko-1 well. The secondary objective represents a high-risk but potentially very high-reward target.

Kiwi-1 is the 4th well in AWE's current exploration program in the offshore Taranaki Basin. On a "trouble free" basis, the well is expected to take approximately 16 days to reach its planned total depth of approximately 4,250 meters.

Participants in T/L 1 are:

New Zealand Overseas Petroleum Limited (operator) 45.0%
AWE Petroleum Pty Ltd 20.0%
Mitsui E&P New Zealand Limited 12.5%
Stewart Petroleum Company Limited 12.5%
WM Petroleum Limited 10.0%