oil traces, page-19

Announcement out150708

Blamore 1 Pedirka Basin Drilling Progress Report
Blamore 1 is the first well in a planned 7 well programme in 2008 targeting prospective recoverable resources at “high” estimate of 260 Mmbbls oil and 2.4 TCFG gas and up to 105 BCFG Helium in conventional reservoirs as well as representing the first phase of exploration for 34-70 TCFG in prospective recoverable Coal Bed Methane resources. Please refer to earlier announcements for details of the 2008 exploration programme
Blamore 1 Report from 0600 hrs 14th July to 0600 hrs 15th July 2008
Drilling : Preparing to drill ahead 1,405m RKB in ?top Purni Formation (Permian) fine grained sandstones and siltstones, minor interbeds of coal
Geology : Encountered interpreted top of ?Triassic Walkandi Formation at c.1,285m RKB, top of ?Permian Purni Formation 1,370m. Palynology samples have been taken to verify formation ages.
Oil Shows : No oil shows have been observed in samples other than over the previously reported interval 996m to 1017m in the ?top Algebuckina Sandstone .
Total Depth : Planned total depth is 2,500m.
Targets : Prognosed primary reservoir targets are the Poolowanna Formation and the Tirrawarra Sandstone. The top Algebuckina Sandstone was a secondary target. Other horizons may have potential including the top of the Devonian Warburton Beds. Blamore is a wildcat well based on seismic interpretation. Prognosed formation top depths are being revised using new seismic parameters based on preliminary field wellsite interpretation and subject to ongoing revision as more data becomes available, particularly final electric logging.