Kea Petroleum provided an update on current drilling activities in New Zealand and its drilling program in Australia.

Drilling of Douglas-1 well on permit PEP 51153 within New Zealand's onshore Taranaki Basin has been completed, having reached its total depth of 9,842 feet (3,000 meters). The NRG rig has been de-mobilized and moved offsite. Kea has intersected the target Tikorangi Limestone, which hosts oil in the adjoining Waihapa oil field.

As the well encountered extensive open fracture networks together with some encouraging hydrocarbon shows, Kea moved directly to testing which is expected to last approximately four weeks.

Targeting of the Douglas 1 well was assisted by the recent completion of a key seismic line over the Douglas prospect. In the event of a commercial discovery, production will be assisted by Douglas 1 having been drilled from the former Wingrove site which has existing production facilities.

Tags: Kea Petroleum