Beach Energy Provides Monthly Drilling Report (Australia)

Beach Energy Limited today released monthly drilling report ending 6 April 2011.

Beach Operated Cooper-Eromanga Basin Gas – PEL 106FI Block

The Canunda-1 extended production test has recommenced. This follows the successful workover completed in March to retrieve wireline and downhole pressure gauges. Data gathered from this test will help to define reservoir size and production characteristics of this high liquids gas field.

Beach Operated Cooper Basin Shale Gas Exploration – PEL 218

Holdfast-1 (Beach 90%), the second of a two-well back-to-back shale gas exploration program in the Nappamerri Trough, reached a total depth of 3487 metres in the Patchawarra Formation. During the month, a total of 382 metres of core was cut (93% recovery) through the target Roseneath-Epsilon-Murteree (REM) interval, and a comprehensive suite of wireline logging was conducted. Good gas shows were recorded through the target sequence. The well is currently being cased and cemented in preparation for further engineering and frac evaluations.

The extensive analysis program currently underway on samples from Holdfast-1 and from the earlier Encounter-1 will continue for several months. A frac program is planned to commence in mid May.

Santos Operated Cooper Basin Oil and Gas Development

The Moomba-184 gas development well (Beach 20.21%) spudded on 4-April and was drilling ahead in surface hole. This is the first well to be drilled by the new purpose-built Saxon-183 drilling rig.

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Source: Beach Energy, April 6, 2011;