New Zealand: Awe Ltd. Gives Update on Tui SW-2 Well in Taranaki Basin

AWE Limited advises that during the last week, Tui SW-2 was drilled to a depth of 1507 metres. The 13 3/8” casing has been run and cemented to a depth of 582 metres.

This is shallower than was planned, and was necessitated by continuing difficulty with unstable shallow sediments at the Tui SW location. The contingency 9 5/8” casing will now be run to 1500 metres, before drilling ahead to target depth in 8 ½” hole.

The Tui South West prospect is located in mining licence PMP 38158 in the offshore Taranaki Basin and is adjacent to the producing Tui oilfield. The Tui SW-2 well is planned to be drilled to a total depth of approximately 3,725 metres. At the conclusion of drilling, Tui SW-2 will be cased and suspended as a possible future gas injection well. Kahu-1, to the east of the Tui oilfield, will be drilled immediately following Tui SW-2.

Participants in Tui SW-1 and PMP 38158 are:

AWE Limited (Operator) 42.5%

Mitsui E&P Australia Pty Limited 35.0%

Stewart Petroleum Co Limited (NZOG) 12.5%

WM Petroleum Limited (PPP) 10.0%