As at 2000 hrs BRST on 18 November 2014 drilling is ongoing in the 12-1/4' hole section at a current depth of 1,760 mRT.

Kangaroo-2 penetrated the target Paleocene reservoir at 1,660 mRT as indicated by increased LWD resistivity readings, elevated gas readings and oil shows seen in mud log cuttings from the reservoir section consistent with reservoir descriptions from Kangaroo-1.

Drilling will continue to total depth before running wireline logging designed to confirm the presence and extent of the hydrocarbon column. Coring and flow testing is expected to be undertaken upon a successful outcome from wireline logging.

Since the 14 November 2014 Progress Report, BOP and equipment testing was completed, the cement shoe drilled out and drilling in the 12-1/4' hole section commenced.

Tags: Karoon Gas Australia Ltd