DRILLING STATUS REPORT – 13 MARCH 2009 Paradox Basin #2, Grand County, Utah • The Paradox Basin #2 appraisal is currently at 7877 feet (2401m) and running in hole after a bit change and full inspection of the drill string • The next casing point will be below 10000 feet and Golden State expect to reach the casing depth early next week • Levels of background gas have increased with up to 26 units and increased levels of connection gas. Locally traces of ethane have been detected. • Unit Rig 234 continues to outperform the drilling plan and is currently 25 days ahead of the equivalent depth in the Paradox Basin #1 well. Operations on the Paradox Basin #2 gas appraisal and development well are proceeding ahead of schedule. The well is currently at 7877 feet (2401m) and they are currently running back into the hole following a bit change and a an inspection of the drill string and bottom‐hole assembly. Drilling is due to recommence early today Australian time. Drilling rates of 15 to 40 ft per hour are expected once drilling recommences and the well should reach the next casing point early next week. Levels of background gas have increased with depth with readings of up to 26 units locally recorded. Traces of ethane are also common. Rig 234 continues to perform well and the drilling is 10 days ahead of schedule and 25 days ahead of the same depth in Paradox Basin #1. There have been some minor problems with the mud motors and jars and a full inspection of the drill string has been undertaken in the last 24 hours.
GDN Price at posting:
6.1¢ Sentiment: Buy Disclosure: Held
