Ann: STO:Completed Baxter flow test Dorado-3 exceeds expectations, page-2

Completed Baxter flow test in Dorado-3 exceeds expectations

Santos today announced that the multi-rate flow testing of the Dorado field in the Bedout
Basin, offshore Western Australia, has confirmed excellent productivity and fluid quality from
the Baxter gas and condensate reservoir.
The now completed Baxter formation flow test was the first of two planned for the Dorado
field, with testing of the primary Caley oil reservoir to be undertaken in coming weeks.
The initial clean-up test over the Baxter reservoir was conducted over a twelve-hour period
and achieved a maximum rate of approximately 48 million standard cubic feet per day of gas
and 4,500 barrels per day of associated condensate through a 60/64” choke. The well test
was conducted over a 7.4 metre net interval between 4,136 and 4,156 metres Measured
Depth and achieved with only 150 psi of drawdown.
Production was limited by surface equipment constraints indicating the reservoir has the
capacity to flow at significantly higher rates. Completion of the multi-rate testing exceeded
initial expectations and has provided further reservoir information consistent with other high
rate North West Shelf gas wells.
Preliminary interpretation of the well test points to reservoir quality and condensate gas ratio
better than initially expected, which will result in higher well deliverability when the field is
developed.
A separate test will be undertaken over the Caley oil reservoir to provide key information on
deliverability and fluid compositions.
Santos Managing Director and Chief Executive Officer Kevin Gallagher said: “The flow rate in
the Baxter confirms our interpretation of a high quality reservoir with excellent productivity
and condensate-rich gas with low levels of impurities.”
“This result further increases our confidence in our ability to commercialise the significant
condensate resources in the Dorado field.”
“We look forward to the results from the planned test of the Caley oil reservoir, which should
close out the Dorado appraisal program and allow us to work towards a Final Investment
Decision on the project, which is now one of the most exciting growth projects across the
Santos portfolio.”
Dorado-3 is located in petroleum permit WA-437-P, in which Santos is operator and has an
80% interest, with Carnarvon Petroleum Limited holding the balance. It is in Commonwealth
waters approximately 160 kilometres north of Port Hedland and one kilometre north-west of
the Dorado-1 discovery, made in July last year.
Dorado-3 was drilled using the jack-up mobile offshore drilling unit, Noble Tom Prosser, in a
water depth of 95 metres and reached a total measured depth of 4,643 metres.