AWE: Waitsia-3 appraisal well drilling update
Monday, Jun 19, 2017
AWE Limited (ASX: AWE), the Operator of Production Licences L1/L2 in the northern Perth Basin, Western Australia, advises that as at 06:00 hours (6.00am) AWST today the Waitsia-3 appraisal well was at 3,578 m Measured Depth below Rotary Table (MDRT) and drilling ahead to a planned total depth (TD) at 3,706 m MDRT.

All primary and secondary targets have been intersected. Elevated gas shows were encountered in multiple zones within the Kingia and High Cliff intervals and their significance will be evaluated by wireline logs.

Three sections of core were cut: Core #1 was cut from 3,206 m to 3,232 m MDRT; Core #2 was cut from 3,232 m to 3,251 m MDRT; and Core #3 was cut from 3,251 m to 3,282 m MDRT. All cores have been sent for analysis.

Waitsia-3 was spudded on 19 May 2017 and is forecast to take approximately seven weeks in total to complete. The well is designed to appraise the gas potential in the southern extension of the Waitsia Field, with primary targets being conventional reservoirs in the Kingia and High Cliff Sandstones and the secondary target being the sandstone reservoirs of the Irwin River Coal Measures.

Waitsia-3 is the first of a two well appraisal drilling program planned for the Waitsia field in 2017. If the results are positive, the well will be completed as a production well and a flow test may be performed. Waitsia-3 is located approximately 19.8 km east-south-east of Dongara, Western Australia, and 10.8 km south of Waitsia-1. The approved work program for the Waitsia-3 appraisal well does not include hydraulic fracture stimulation.

About the Waitsia gas field

The northern Perth Basin has been one of Western Australia’s major gas producing regions for more than 50 years. Discovered in September 2014, the Waitsia field is regarded as the largest onshore conventional gas discovery in Australia for the last 30 years and has the capability to supply the domestic market with 100 TJ/d for 10 years from conventional reservoirs.

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