Magellan Petroleum Announces Weekly Drilling Report Muthero-5, Muthero-6, Telowie-1 & Burrum-1
HARTFORD, Conn., March 7 /PRNewswire-FirstCall/ -- Magellan Petroleum Corporation (Nasdaq: MPET; ASX: MGN) ("Magellan") announced that its 100% owned subsidiary, Magellan Petroleum Australia Limited ("MPAL") advises the following drilling report.
Nockatunga Fields - Queensland
Muthero-5, the appraisal well in PL 51 southwest Queensland which spudded on February 23, 2007 has been cased and suspended as a future oil producer. Oil shows were recorded in the Murta Member and the Birkhead Formation.
The Muthero-6 appraisal well spudded on March 4 and surface casing was set at 218 meters. At 06:00 hr (EST) on March 7 the well was at a depth of 792 meters and drilling ahead to the programmed total depth of 1,442 meters RT.
Cooper Basin - South Australia
The Telowie-1 exploration well spudded in PEL 94 in South Australia on February 23 and was drilled to a total depth of 1,384 meters. Minor oil shows were recorded in the Murta Member during drilling. Wireline logs were run and a Drill Stem Test conducted over the interval 1,078-1,081 meters in the Murta Member recovered a small quantity of mud and trace oil. The well has been plugged and abandoned. The Century Rig 3 was released on March 4, ending the two-well drilling program in PEL 94.
Maryborough Basin - Queensland
The Burrum-1 well, the first of two coal seam gas exploration wells, spudded in ATP 613P in the Maryborough Basin of southeast Queensland on February 23. The wells are designed to evaluate the coal seam potential of the previously unexplored Burrum Coal Measures in the northern portion of the Burrum Syncline. Burrum-1 was drilled to a total depth of 438 meters and several thin coal seams have been sampled for desorption analysis.
Eureka Petroleum, a wholly-owned subsidiary of Energy Investments Limited, is funding 100% of a two-staged coal seam gas exploration program, in return for which it will be assigned a 90% working interest in the Burrum Syncline farmin area. Stage 1 comprises the current two-well program. Magellan has the right to back-in to retain up to a 50% participating interest in any development by matching Eureka's prior expenditures.
Muthero-5 Details:
Petroleum Title: PL 51, Queensland
Location: Approximately 260 meters South of Muthero-3
Coordinates: Latitude: 27degrees 42' 52.80" South
Longitude: 142 degrees 36' 47.33" East (GDA 94)
JV Operator: Santos Limited
Drilling Rig: PDI 721
Total Depth: 1446 meters RT
Objectives: Primary - Birkhead Formation; Secondary -Murta
Member
Operations for period: Muthero-5 spudded on February 23, 2007 and was
drilled to a total depth of 1,446 m. Wireline logs
were run. The well was cased and suspended as a
future oil producer and the rig released on
March 3.
Progress for Period: 0 meters.
Muthero-6 Details:
Petroleum Title: PL 51, Queensland
Location: Approximately 270 metres east of Muthero-3
Coordinates: Latitude: 27 degrees 42' 46.68" South
Longitude: 142 degrees 36' 55.56" East (GDA 94)
JV Operator: Santos Limited
Drilling Rig: PDI 721
Proposed Total Depth: 1,442 meters RT
Objectives: Primary - Birkhead Formation; Secondary -Murta
Member
Operations for period: Muthero-6 spudded on March 4, 2007 and drilled to
a depth of 221 mRT. Surface casing was set at
217.5 mRT. At 06:00 hr (EST) on March 7 the well
was at a depth of 792 mRT and drilling ahead to
the programmed total depth of 1,442 mRT.
Progress for Period: 792 meters.
Participants in Muthero-5 and Muthero-6 are:
Magellan Petroleum Corporation 38.994%
Santos Limited Group (Operator) 61.006%
Telowie-1 Details:
Petroleum Title: PEL 94 South Australia
Location: Approximately 4.8 km northeast of Maslins-1
Coordinates: Latitude: 28 degrees 51' 47.31" South
Longitude: 140 degrees 03' 36.76" East (GDA 94)
JV Operator: Beach Petroleum Ltd
Drilling Rig: Century Rig 3
Total Depth: 1,384 meters RT
Operations for period: The well spudded on February 23, 2007. Surface
casing was set at 586 mRT. The well was then
drilled to a total depth of 1,384 mRT. Wireline
logs were run and a DST conducted over the
interval 1078-1081 mRT. The well was plugged and
abandoned and the rig released on March 4.
Progress for Period: 63 meters.
Participants in Telowie-1 are:
Magellan Petroleum Corporation 35%
Beach Petroleum Ltd (Operator) 50%
Victoria Petroleum NL 15%
Burrum-1 Details:
Petroleum Title: ATP 613P Queensland
Location: Approximately 2 km northeast of the township of
Howard and approximately 55 km north of the city
of Maryborough
Coordinates: MGA 94 56457757E 7201151S
JV Operator: Magellan Petroleum Corporation
Drilling Rig: Depco Rig 22 - UDR 1200
Total Depth: 438 meters
Objectives: Coals of the Burrum Coal Measures
Operations for period: Burrum-1 spudded on February 28, 2007 and was
drilled in open hole to a depth of 252 m. The well
was then fully cored to the total depth of 438 m.
Wireline logs have been run to further evaluate
the coal seams intersected, particularly those in
the open-hole section. The well will be plugged
and abandoned as planned.
Progress for Period: 438 meters.
Participants in Burrum-1 are:
Magellan Petroleum Corporation
(Operator) 10%
Energy Investments Limited 90%
Forward Looking Statements
Statements in this release which are not historical in nature are intended to be, and are hereby identified as, forward-looking statements for purposes of the Private Securities Litigation Reform Act of 1995. These statements about Magellan and MPAL may relate to their businesses and prospects, revenues, expenses, operating cash flows, and other matters that involve a number of uncertainties that may cause actual results to differ materially from expectations. Among these risks and uncertainties are the extent of the recoverable reserves at those properties and the risk that any wells drilled may fail to encounter hydrocarbons in commercially recoverable quantities. Any forward-looking information provided in this release should be considered with these factors in mind. Magellan assumes no obligation to update any forward- looking statements contained in this release, whether as a result of new information, future events or otherwise.
SOURCE Magellan Petroleum Corporation
Released March 7, 2007