The curved section of the well bore was drilled successfully to plan with no well bore integrity issues or operational issues encountered.
Drilling is progressing through the Pierre formation and hydrocarbons in the cuttings are being encountered which is
encouraging. These drill cuttings are being analysed by an on-site independent geologist. This is an important part of
the geologic process and assists in determining the potentially productive zones within the formation.
Drilling operations are being performed internally and on 12 hour day-light shifts to keep costs as low as possible. The
Company is able to perform operations in such a manner due its strategic and dedicated drill rig fleet rental agreement
where high daily rates and stand-by rates are not being incurred.
The Company expects that drilling operations will conclude this month with sequential flow testing of the three wells
to commence immediately following drilling. The Magellan #1 well is the first of the three wells that is scheduled for
flow testing.
The three-Well program is being conducted in three phases which has been designed to significantly reduce drilling costs and maximise operational efficiencies:
Phase 1 – Sequentially drilling the upper vertical sections on the three wells – SUCCESFULLY COMPLETED
Phase 2 – Sequentially drilling the deviated well bore sections on the three wells – UNDERWAY
Phase 3 – Sequentially flow testing the three wells – NEXT PHASE
Austin is the operator of the Pathfinder project and controls a 100% working interest that covers 15,773 gross acres.
