Pan Continental oil/gas strike

Waingaromia Prospect

Waingaromia 1 drilled between 1884-1890 with steam percussion rig by the Southern Petroleum Company to a depth of 402 metres. No scientific rationale for rig location. Sandstones between 143-147 metres, 238-244 metres, 341-347 metres and 384-402 metres had oil and gas shows. Flows of oil and gas from well ignited by boilers and rig burnt down. Primary reservoir objectives are Mid-Miocene sandstones and limestones.

June 2000 Waingaromia seismic survey helped to explain nature of trapping mechanism for oil and gas accumulations.

Waingaromia 2 will be drilled to a minimum depth of 500 metres to test the sands intersected at Waingaromia 1 and additional sandstone and limestone reservoirs below the 400 m total depth of the Waingaromia 1 well.
Waingaromia 2 scheduled to be drilled in May 2002 following preparation of access road and drilling pad.

Sun Resources NL ("Sun") wishes to announce Waingaromia #2, PEP 38330, East Coast Basin, North Island of New Zealand, was at 347.5 metres depth at 0505 hours NZT on Thursday, 23 May 2002 and was
drilling ahead in HQ core to targets and total depth when a gas kick occurred and gas flowed to the surface. The well was immediately shut in and the gas flared to die off as kill mud was circulated.
Operations at 0600 hour was making up additional kill mud to circulate the well and to resume drilling ahead to HQ core.