Orchard Petroleum LimitedABN 25 061 655 46318 October 2004Joint...

Orchard Petroleum Limited
ABN 25 061 655 463
18 October 2004
Joint ASX and Media Announcement
Jack Hamar 1-1 Well—1,000 feet of Prospective Oil and Gas Intervals
Orchard Petroleum Limited (ASX; OPL) (Orchard) and Orchard Petroleum Inc. (OP Inc), a
wholly owned subsidiary of Orchard, are pleased to announce the following update on the Jack
Hamar 1-1 well.
Drilling results and electric log analysis collected following the drilling to a total depth of 9,730
feet suggest that the Jack Hamar 1-1 well has encountered approximately 1,000 gross feet of
prospective hydrocarbon section in the Monterey Shale and Echegoin formations. Both
formations are prolific producers in California.
Several discrete intervals in our primary objective have been identified for further detailed
testing and evaluation including a secondary objective in a shallow gas-bearing interval that will
likely require a separate appraisal program.
The joint venture has run 5½ inch casing to total depth in preparation for testing the potential
productive intervals. The testing will most likely include the hydraulic fracturing of certain
Monterey intervals in order to stimulate overall production.
Well testing and completion procedures for the Monterey will be aimed at identifying the most
advantageous approach to maximising potential production generally starting with the deepest
intervals and proceeding to the shallowest. It is likely that complete testing of the multiple
hydrocarbon bearing intervals will not take place until additional wells have been drilled in the
program.
The shallow gas-bearing intervals will most likely be evaluated with an appraisal well designed
specifically to test this separate prospective gas section. Site selection and permitting is
underway.
Steve Graves, Executive Chairman said, “We are very pleased with the Jack Hamar results. They
suggest that there will most likely be much to do over the coming drilling program”.
Steve Graves further said, “The hydrocarbon bearing Monterey Formation and the shallower
Echegoin section that we have encountered appear to be of satisfactory quality and are likely
extensive enough to suggest that gross hydrocarbon volumes in this well will not be the limiting
factor in the scale of success. The productivity of the hydrocarbon bearing sections will
eventually determine overall success”.
Orchard Petroleum Limited
ABN 25 061 655 463
Jack Hamar 1-1 is located in the South East Lost Hills area of the San Joaquin Basin of
California.
Participants in Jack Hamar 1-1 are:
OP, Inc. 25%
Nuenco LLC 25%
NEG (Operator) & Matris Exploration Company 50%
For further information please contact Mr Steve Graves on 0011 1805 4694656.
Join Orchard’s e-news list at www.orchardpetroleum.com
The geological information included in this announcement is based on information
provided by Mr Edward Duncan, a qualified geologist employed as a technical consultant
to the Company. Mr Duncan has practiced as a geologist in the petroleum industry for
over 20 years. Mr Duncan has consented to the inclusion of the geological information in
this announcement in the form and context in which it appears.