InterOil Spuds Antelope-2 Appraisal Well in Papua New Guinea

InterOil commenced drilling on the Antelope-2 appraisal well, located approximately 2.2 miles (3.5 km) south of the Antelope-1 well in Petroleum Prospecting License 237 in Papua New Guinea. The planned total depth of the well is approximately 8,366 feet (2,550 meters) and is expected to take in the order of 100 days to drill.

The primary objectives of the Antelope-2 well are 1) to penetrate the southern margin of the Antelope Reef and determine the extent of the dolomite cap or higher porosity limestone reservoir predicted from seismic evaluation; and 2) to investigate the lower transition zone to further quantify and evaluate the nature of the fluid contacts in the southern extent of the field, in particular providing more information on the vertical extent and commercial potential of an oil leg.

"We are naturally keen to continue delineation of the Antelope reef structure with the Antelope-2 well, which is anticipated to penetrate the reef complex near the southern extent of the structure as indicated on seismic data. The well should add to our understanding of the structure and we anticipate working with our independent resource evaluator to review our resource estimates following conclusion of drilling and testing of this well," said Mr. Phil Mulacek, Chief Executive Officer of InterOil.