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Exoma Energy And CNOOC Spud Next Galilee Basin Well

Exoma Energy (ASX: EXE) and CNOOC have spudded the eleventh well in their 2012 Galilee Basin drilling program that is designed to assess the hydrocarbon potential of their permits and identify sweet spots to focus on.

Fittleworth‐1 targets oil and gas in the Toolebuc shale in ATP 1005P about 30 kilometres south of Longreach, Queensland.

The well will be cored through the Toolebuc shale section and the core will be subject to laboratory analysis.

On completion of coring, the well will be deepened to provide depth control to local seismic data.

The EDA Rig 1 will drill Fittleworth‐1 to a total depth of 1,159 metres with the top of the Toolebuc expected to be intersected at about 537 metres.

Exoma is also drilling the Wardoo-1 in ATP 991P will test both the coal seam gas potential of the Permian Betts Creek and Aramac coal measures as well as shale oil and gas in the Cretaceous Toolebuc Formation.

The joint venture is drilling up to 14 wells this year.

CNOOC is earning a 50% interest in ATP 999P and the other four permits that make up the Galilee joint venture by providing the first $50 million of joint venture expenditures.

The company recently expanded its agreement with Exoma to take an additional 10% stake in the five permits by carrying a further A$12.7 million in expenditures under the Additional Farm-in Period, which expires on 31 December 2015.

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