Moreys-1 drilling has now been completed and the rig will move shortly to PEP166 in Gippsland to begin drilling Holdgate-1 to a proposed depth of 2500 m.

Holdgate-1 will be funded by Armour Energy Ltd as part of its program to earn a 51% interest in PEP166. This well is expected to spud on 20th May 2012.

Holdgate-1 is designed to test gas seen in the Strzelecki section of other wells drilled in the region as well as assessing the potential for oil in the lower Strzelecki Group / Rintouls Sandstone which was encountered in Lakes' recent strategic core-hole Yallourn North 1A.

Tags: Lakes Oil