Mosman Oil & Gas confirms Petroleum Creek discovery
Mosman Oil & Gas, the New Zealand and Australia focussed oil exploration and development company, has announced an update on its Petroleum Creek Project, onshore New Zealand.
As previously reported on 30 June, Mosman encountered strong oil shows at Cross Roads-1 in the Cobden Limestone at approx. 240 – 250m. The Company has now received detailed petrophysical analysis from its third party consultants including SRK and has determined the oil encountered in the Cobden Limestone at Cross Roads-1 meets the definition of a discovery in accordance with the New Zealand (‘NZ’) legislation. As required, Mosman reported this update to the Regulator, New Zealand Petroleum & Minerals (‘NZPAM’), on 3 July 2014.
Flow testing is planned for later in 2014 on both this Cobden Limestone interval and the Eight Mile Formation at Cross Roads-1. In addition, additional seismic data will be acquired to assist in mapping the extent of the accumulation and drilling locations for appraisal drilling.
In addition, Mosman confirms that drilling commenced at Crestal-1 at 12.30 (NZ time) today.
John W Barr, Executive Chairman of Mosman commented:
‘This further positive result from Cross Roads-1 is extremely encouraging. As we have outlined, this is the first stage of the process as we now move into the appraisal process at Cross Roads-1. The next steps will be to carry out flow tests, additional seismic acquisition and processing work, and then complete the economic modelling required to determine commercial viability. This process is anticipated to take several months.’