molopo spuds harcourt . . Moving on to mungi straight afterwards...

molopo spuds harcourt . . Moving on to mungi straight afterwards . . .

Molopo Australia Limited announces the commencement of the Bindaree 01 well which spudded on 6th November 2004. Bindaree 01 is the first of two production wells to be drilled on the Bindaree Prospect within the Harcourt gas accumulation. Earlier in the year Molopo and its partners applied for a Petroleum Lease covering 178km2 which included the entire Harcourt and Bindaree areas.

This application was based on a review of the results from two earlier production test wells at Harcourt. The Bindaree Prospect is located to the immediate north of the Mungi Gas Field and is considered a likely extension of the Mungi Field where Molopo and its partners have 10 CBM production wells currently on line.

When drilling is completed the Bindaree wells will be water fracced and, pending results and QLD Government approval of the Production Lease application, connected to the existing gas gathering system at Mungi so the gas may be treated and sold.

Once the two Bindaree wells have been completed, the rig is expected to mobilised to Mungi where the drilling of the Phase 2 development wells can commence. The Mungi coal bed methane (CBM) gas field is located in PL94 in the Bowen Basin, and is the closest CBM Production Licence to the significant Gladstone industrial market.

Bindaree/Harcourt is located in PLA 210 (formerly ATP564P). Interest holders in the Bindaree/Harcourt wells are Origin Energy Limited (50%), Molopo (25%) and Helm Energy-Australia LLC (25%)