Austral Pacific Finalizes Work Program for Cheal-A3X Well

Austral Pacific Energy

Austral Pacific Energy reports that service contracts are now being finalized for the Cheal-A3X work-over and the Cheal-4 well. Replacement of the Cheal-A3X wellhead and installation of wax cutter unit will commence in second week of October, to be immediately followed by the drilling of Cheal-A4. This well is targeted to intersect the Mount Messenger oil pay (the new field discovery made at Cheal-A3X), midway between Cheal-A3X and Cheal-2; and will also intersect the shallower Urenui oil and gas pay encountered in both those previous wells. Austral is operator and holds a 36.5% share in the Cheal field.

Following the just announced successful flow testing of the Radnor-1 well, drilled on the northern limb of the Cardiff structure by another operator; the Parker 246 will now be released to Austral Pacific and its partners to drill the Cardiff-2 well, located on the crest of the Cardiff structure. The Cardiff site is near completion in preparation for the rig move, and it is anticipated that Cardiff-2 will spud before the end of October. Cardiff-2 will take some 7 weeks to drill to 4900m (16,000 feet), with flow testing scheduled to follow-on immediately. Austral Pacific is operator and holds a 25.1% interest in the Cardiff structure, and is carried through the cost of drilling.

The Company also anticipates that the Miromiro-1 well, in which it is a 27.5% partner, will spud in early November. Production continues at Kahili-1A, with condensate dropout causing varying flow rates. A downhole pressure survey will be conducted in the coming week, to aid in analysis of the situation.

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