AWE: Mechanical difficulties at Pateke

AWE Limited reports that as at 06:00 hours (6.00am NZDT) today, the Pateke-4H development well, offshore New Zealand had been drilled to a total measured depth of 4,110 metres.

Following the penetration last week of the Kupuni F sand, where oil shows and real time logging measurements indicated the likely presence of an oil bearing reservoir, removal of the 12 ¼ inch drilling assembly has experienced mechanical drill string difficulties which are currently being addressed.

If remedial actions are unsuccessful, a short section of the well may need to be redrilled as a sidetrack operation. The development program then allows for the installation of the 9 5/8 inch casing, after which drilling will continue in the new hole, through the reservoir section, to a projected total measured depth of 5,361 metres.

The Pateke-4H development well is in PMP 38158 and AWE is the Operator. Located in the offshore Taranaki Basin, New Zealand, PMP 38158 contains the Tui, Amokura and Pateke fields and has been producing since 2007.

Pateke-4H is targeting a mapped northern extension of the currently producing Pateke field. The well is being drilled in water depth of approximately 124m with a planned total measured depth of 5,361m, including a 1,272m horizontal section. If successful, the well will be completed for subsequent tie-back to the Tui FPSO (“Umuroa”) for production in 2015.