Puffin-7 to Be Completed as Puffin Field's First Producer

AED Oil says that preparations are underway to complete the Puffin-7 well in Timor Sea permit AC/P22 as the development's first oil producer. In addition, the Government has awarded the production license for the Puffin Field as AC/L6.

AED stated that log results confirmed that oil was intersected in "excellent quality" lat Cretaceous Sandstone at a depth of 2414m and that the reservoir sandstone is of a similar high permeability to that encountered in Puffin-5.

Puffin-7 intersected the reservoir about 400m north o the Puffin-5 intersection point, which tested oil in June 2000.

The Stena Clyde is currently drilling Puffin-7 ahead in an 8-1/2" hole at a depth of 2854m. The will also 340m along a planned 400m horizontal section.

AED, which wholly owns and operates the well, said it expects to know the results form initial clean-up flows and production testing in about two weeks times.

Meantime, the company says it is continuing to evaluated the drilling results received to date, and the Puffin-7 reserves, including a an evaluation of the location of the crest of the reservoir and its height above the intersection point.