OMV Continues Matuku Drilling (New Zealand)

Octanex N.L. has been advised by OMV New Zealand Limited, the Operator of the Matuku-1 exploration well being drilled in the offshore Taranaki Basin permit PEP 51906, that at 06:00 hours (NZST) on Tuesday, 24 December 2013, the well was at a depth of 3167m MDRT (measured depth below rotary table) and preparing to drill ahead in the 12 1/4″ hole.

Planned operations over the coming week are to complete the 12 1/4″ hole section, run and cement in the 9 5/8″ casing string and then carry out a leak-off test prior to drilling the 8 1/2 hole
through the zones of interest .
The well is targeting the hydrocarbon potential of the Kapuni Group Farewell Formation F sandstone reservoir (T10 sands); with sandstones of the Kapuni Group Kaimiro Formation D Sand (T20 sands) and Pakawau Group North Cape Formation (K90) being secondary targets – see the attached Figure 1 Prospect Map of Matuku and the well targets. Matuku-1 is programmed as a vertical well that is being drilled by the Kan Tan IV semi-submersible rig in water depths of approximately 130m. The Operator currently intends drilling the well to a total depth (TD) of 4750m MDRT.
Matuku-1 is scheduled to take 45 days to drill to TD and then abandon.

The Company’s wholly-owned subsidiary, Octanex NZ Limited, holds a 22.5% participating interest in the PEP 51906 permit and this interest is being free carried by OMV through the drilling of the Matuku-1 well – see the attached Figure 2 Location Map for the Permit and Matuku-1.

[mappress]
Press Release, December 24, 2013