New Zealand Oil & Gas Ltd declares that the exploration well Momoho-1 had reached a depth of 2898m and the drill crew was preparing to pull out of hole prior to running 9 5/8 inch casing.

The well encountered good gas shows upon penetration of the primary Farewell Formation reservoir target at 2896m.

Although the presence of gas shows is encouraging, it is not possible to comment on their commercial significance until the well has drilled through the entire reservoir and logs are acquired over this section.

Momoho is an exploration well 6 kms southeast of the Kupe central field, off the coast of South Taranaki, New Zealand. Drilling began on June 13, 2008.

Tags: New Zealand Oil and Gas Ltd