MEO: Blackwood-2 Production Test Completed

MEO Australia Limited has announced that the Ensco 104 jack up drilling rig had completed the Blackwood-2 production test and is preparing to plug and abandon the well as planned.

The production test was carried out across the interval 3,234m – 3,254mMDRT. The top of this 20m interval is approximately 9m below the clear hydrocarbon bearing zone in Blackwood-1 (based on MDT data).
No flow was recorded on testing indicating low reservoir permeability.

An updated reservoir assessment will be made following further evaluation of all information including interpretation of the Drill Stem Test (DST) results. The drilling of Blackwood-2 is an obligation under the NT/P68 Farm-in Agreement (FIA) dated 17 th May 2011 between Eni Australia Limited (Eni) and MEO. Under the FIA and subsequent amendment, MEO’s 50% participating interest share of the costs of the well are being carried.

MEO’s CEO and MD Jürgen Hendrich said: “Blackwood-2 was an aggressive step-out well designed to test the possibility of a deeper gas-water contact than inferred from Blackwood-1 pressure data. The target represented an attractive prospective resource upside that needed to be resolved by appraisal drilling. The production test was conducted over a new, younger reservoir interval than intersected by Blackwood-1, which has been demonstrated to be tight.”

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Press Release, December 23, 2013