Greymouth Petroleum Probes for Deep Gas with Turangi-1 Well

Greymouth Petroleum has contracted Parker Drilling Rig #246 for the drilling of the Turangi-1 well in PEP 38762. The Drilling Unit is to move to Turangi-1 following completion of the current Cardiff Joint Venture well drilling operations.

Rig #246 had been scheduled to mobilize to the Turangi-1 site over the Christmas/New Year period for January 14, 2005 drilling commencement. Mobilization is presently delayed, beyond the control of Greymouth, by the mechanical difficulties reportedly encountered with Cardiff-2.

PEP38762 lies onshore on the north coast of the Taranaki Peninsular. The Motonui petrochemical manufacturing facility is located to the NW corner of the permit and main gas transmission pipelines bisect the permit. PEP 38762 lies along the same inversion trend and sits between the Pohokura gas condensate field which is offshore to the North West, and the Mangahewa deep gas field and the McKee oil field (both of which are onshore to the South East).

The Turangi-1 well will test the hydrocarbon potential of the Mangahewa Formation, to a depth of approximately 4000 meters. At 4000 meters, a decision to deepen the well to test the deeper Kaimiro Formation, (to a targeted depth of approximately 4500 meters) will be made.