Drilling at Proteus‐1 Well Moves Forward (Australia)

Karoon Gas Australia has announced that at 06:00 WST on the 19th of July the ConocoPhillips-operated Proteus‐1 ST1 was drilling ahead in the 6‐1/2” hole at a depth of 4583 metres offshore W. Australia.

Since the last update the 7‐5/8” liner was cemented and pressure tested before running in hole and drilling ahead with the 6‐1/2” drilling assembly.

ConocoPhillips is the operator of the jointly held WA‐314‐P, WA‐315‐P and WA‐398‐P Browse Basin permits containing the previously announced Greater Poseidon gas discoveries. Karoon Gas Australia Ltd holds a 40% equity interest in permit WA‐315‐P and WA‐398‐P, and a 90% interest in permit WA‐314‐P.

Proteus‐1 is the third well in the exploration program. Proteus‐1 is located in permit WA‐398‐P on a large tilted fault block approximately 14 kilometres south south east of the Poseidon‐1 discovery well.

The Transocean Legend semi‐submersible rig is drilling the exploration well, which is operated by ConocoPhillips.

The exploration program, operated by ConocoPhillips, plans to utilize the Transocean Legend semi‐submersible rig for the entire campaign and is expected to continue through 2013.

A minimum of six wells will be drilled during the second phase Browse drilling campaign.

Additional well locations for the remainder of the program will be announced as they obtain joint venture approval.