Three separate zones of elevated gas readings were recorded over the interval 3,530-3,612m while drilling through the primary target Meek Sands of the Middle Wilcox Formation. Two intervals of most interest from the wireline logs are a 9m interval in the Upper Meek Sands between 3,530-3,539m and a 13m interval in the Middle Meek Sands between 3,600-3,613m.
Two of the eight separate zones of elevated gas readings recorded over the interval 3,176-3,399m in the secondary Upper Wilcox Formation, are considered to be of most interest from the wireline logs. The first is a 30m interval between 3,198-3,223m and the second is a 50m interval between 3,275-3,325m.
The current activity is conditioning the hole prior to running production casing to a total depth of 3,786m, after which a testing program will be conducted.
Commenting on the success to date at the Meek Prospect, Mr Matt Battrick, Managing Director of Sun Resources stated; "The logs have identified two gas zones of interest in the primary objective Meek sands, thereby vindicating the pre-drill geological model and associated seismic anomaly. The addition of 2 potential gas zones in the Upper Wilcox is a bonus that will be assessed at a future time, subject to the results of the testing program on the primary Meek sands. If successful, this well has the potential to significantly add to the Company's reserves, production and importantly cash flow from the USA."
In July 2008, Sun Resources negotiated a farm-in with MEI to acquire a 12.5% Working Interest (10%NRI) in the Meek Prospect that lies within the productive Wilcox trend of the onshore Gulf of Mexico in south Texas.
The Meek Prospect is relatively low risk because it has been keyed off an adjacent Middle Wilcox (Meek sands) producing field using 3D seismic attributes. These indicate the presence of hydrocarbons conforming to the prospect structure in stacked, Middle Wilcox (Meek) sands below 3,500m depth. The AHGU #1 well on the prospect targets gas and condensate potential of 16 bcfg with 269,000 bo (18 bcfge).
About Sun Resources NL
Sun Resources NL (ASX:SUR) is an Australian company, which is engaged in oil and gas exploration and investment. The Company operates in two segments: corporate administration and exploration. As of June 30, 2007, the Company participated in the drilling of seven oil and gas wells (six wells on South Texas Project Margarita prospects and one on a development project in the Lake Long Field area in Louisiana) and in a number of work overs and completions. Its exploration and production emphasis is on both oil and gas in conventional geological settings and within conventional reservoirs, principally located in Texas (Flour Bluff Gas Project, Project Margarita and Project Redback on the South Texas Gulf Coast), Louisiana (Lake Long Project) and California (Eagle Oil/Gas Development Project in the San Joaquin Basin). Its subsidiaries include Nieuport Pty Ltd, Sun Resources (New Caledonia) Pty Ltd, Sun Resources (NSW) Pty Ltd and Highland Petroleum Limited.
Sun Resources NL