OMV Finds Traces of Oil & Gas at Manaia

Cue Energy Resources Ltd (Cue) advises that the OMV-operated Manaia-2 well, offshore New Zealand, is at a depth of 2005m MDRT at 0600 hours local time on 11 October 2013.

Current operations are running wireline logs.

Since the previous report, 12 1/4 x 13 1/2 hole was drilled through the Moki Formation, the underlying Lower Manganui Formation and into the top of the Ngatoro Group as planned.

Elevated gas readings and oil fluorescence was observed throughout the Moki Formation.

The significance of these hydrocarbon shows will be fully evaluated by the current logging programme.

Manaia-2 is located in PMP 38160 in the offshore Taranaki Basin, New Zealand.

The well is operated by OMV New Zealand Ltd and is being drilled from the semi-submersible drilling rig ’Kan Tan IV’.

The well is located 1.25 km north of Maui-4 (which discovered the Manaia field) and 6 km to the southwest of the Maari Field well head platform. The well has a planned total depth of 2,850m and the programme is now expected to take 58 days in total due to delays caused by adverse weather and rig repairs. The undeveloped Moki and Farewell Formation reservoirs that will be appraised by Manaia-2 have the potential to add 11 million barrels of gross reserves to the Manaia field.

Press Release, October 11, 2013