Goldie-1 Production Testing and Waitaria-2 Status
March 9, 2001
Goldie-1 Production Testing and Waitaria-2 Status Reports
Wellington, New Zealand – March 9, 2001-- Indo-Pacific Energy Ltd. (INDX) advises that production testing of the Goldie-1 oil discovery (INDX 100% on sole risk) is now in progress. The well has been completed in such way that the main zone at 5,300 foot depth and a secondary zone at 6,600 foot depth can be separately tested. An initial swab test on the 6,600 zone did not properly clean up the borehole and recovered only minor amounts of oil. It was therefore decided to move to the main 5,300 pay zone, and temporarily suspend further testing of the lower zone. The 5,300 foot zone commenced free flowing oil to surface, without any lift assistance, on the evening of March 8. The well was diverted to the separator on the morning of March 9 (New Zealand time), and is now free flowing oil with some gas and no water at a stable and good rate through a 20/64” choke. A series of flow tests on differing choke sizes will be conducted over the next few days, and no official flow rates will be announced until completion of this program. An oil sales contract has been negotiated, and all oil from start of testing is being stored on site, for transport and sale at the oil export port of New Plymouth.
In New Zealand’s East Coast Basin, the Waitaria-2 well ( INDX 25%) is now being plugged and abandoned as a dry hole. An open hole flow test of the interval from 4600 feet to 8300 feet failed to produce any gas. Indo-Pacific had previously decided that the log data from the well did not indicate that the well was likely to flow, and had given notice that it would not participate in this test; and is, therefore, not liable for any of the cost of this test operation.
David Bennett : Chief Executive Officer
This release includes certain statements that may be deemed to be ``forward-looking statements''. All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that the Company expects are forward-looking statements. Although Indo-Pacific believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include oil and gas prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and that actual results or developments may differ materially from those projected in the forward-looking statements.