8th Jul 2014 07:46
LONDON (Alliance News) - Mosman Oil & Gas Ltd Tuesday said it had found further oil shows while drilling a well at its Petroleum Creek project in New Zealand, and is planning to flow test and take further seismic data for the site later this year.
Mosman Oil & Gas had said Monday said its Crestal-1 well at the Petroleum Creek project had drilled beyond 100 metres depth and already found two regions showing indications of oil. In a statement Tuesday, it said it had also identified oil shows throughout the Cobden Limestone from 158 metres to 173 metres.
It said it is now planning to flow test the Cobden Limestone interval later in 2014, and will also acquire additional seismic data to help map the extent of the accumulation and targets for appraisal drilling.
"It is important to put our progress into context as this positive news is the first step of the drilling programme which will be followed by the appraisal process. The next stage of which will be to carry out flow tests, additional seismic acquisition and processing work, and then complete the economic modelling required to determine commercial viability of our wells, which as previously announced is anticipated to take several months," Chairman John W Barr said in a statement.
Mosman Oil & Gas shares were up 3.3% at 42.1 pence early Tuesday.
By Steve McGrath; [email protected]; @SteveMcGrath1
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