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AWE provides update on drilling at Senecio-3 well in Perth basin

NORTH SYDNEY, Australia -- AWE Limited (AWE), as Operator of Permits L1/L2 in the Perth Basin, Western Australia, reported that on Aug. 19, 2014 the Senecio-3 appraisal well was at a measured depth of 2,691 m in an 8 ½ inch hole and was running in the hole before drilling to planned total depth of 2,783 m.

A section of core was cut from 2,637 m to 2,691 m, recovering 43.23 m (80% core recovery) of Dongara/Wagina sandstone. Gas shows and fluorescence were observed while coring the well.

The Senecio-3 appraisal well is designed to test the unconventional gas potential in the western side of the Senecio reservoir. Core samples and log data will be collected and sent for analysis and AWE will not conduct hydraulic fracture stimulation on Senecio-3 at this stage.

If the results are positive, AWE anticipates commencing the approvals process for the first phase of the Senecio unconventional gas field development. The Senecio-3 well could potentially be re-completed as a production well in a future field development.

The Senecio-3 appraisal well is located on agricultural land approximately 14.5 kms east of Dongara, Western Australia, and 7 kms from the operating Dongara gas plant.

The Joint Venture partners in L1/L2 are: AWE Limited (via subsidiaries) (Operator) 50.0% and Origin Energy Resources Limited 50.0%.

08/19/2014

 

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