jj
Significant additional zones identified in
Hoffer B1
ASX/MEDIA ANNOUNCEMENT
21 April 2015
Cased hole logs acquired over the lower section of the well
Preliminary interpretation shows total zones of interest of approximately
200 ft across the wellbore
Operator currently preparing perforating and production testing plan
Hoffer B1 Well (Galilee 35% WI, reducing to 28% after payout)
Galilee Energy Limited (ASX:GLL) ("Galilee" or the "Company") is pleased to announce that preliminary analysis of the cased hole logs on the Hoffer B1 well in Lavaca County, Texas, has identified a number of significant gross sandstone intervals in the lower section of the well. This is in addition to the 43 ft of net pay in the Middle Midcox sandstones and potential 40 ft pay zone in the shallower Yegua Formation previously disclosed.
As previously advised, the Operator was unable to obtain open hole logs in the deeper section of the hole. Following the running and cementing of production casing, the Operator ran a cased hole logging suite. Processing and interpretation of these logs can allow for a qualitative evaluation of the potential productive zones in the well, but cannot directly quantify net pay.
The processing and interpretation of the logs to date is very encouraging and is strongly correlated to the shows identified during drilling, and the open hole log data where it is available.
The cased hole logging suite has identified:
Gross sandstone totalling approximately 30 ft in the Middle Midcox and Lower Wilcox. This is in addition to the 43 ft previously identified on open hole logs in the Middle Midcox.
Gross sandstone totalling approximately 90 ft in the primary target.
Added to the pay already identified, this provides for combined zones of interest of almost 200 ft in the
Hoffer B1 well.
"These log data, combined with the strong gas shows and very high reservoir pressures, makes the potential of the well exciting and we look forward to seeing the results from production testing over the coming weeks. Commercial success here could be transformational for Galilee given the significant follow up potential on the Hoffer prospect, and the surrounding look-alike structures in the Hoffer extension areas already under lease by the group", Managing Director Peter Lansom commented.
A: Level 4, Rowes Building, 235 Edward Street, Brisbane QLD 4000 / P: GPO Box 1944, Brisbane QLD 4001 /
T: +61 7 3211 8555
E: [email protected]
GALILEE ENERGY LIMITED
ABN: 11 064 957 419
ASX: GLL
www.galilee-energy.com.au
ASX/MEDIA ANNOUNCEMENT
The Operator is currently preparing perforating and testing plans, and Galilee will advise the market of the timing of these as soon as they are available.
As previously advised, an independent reserve analysis of the zones which have been encountered in the
Hoffer B1 well will be conducted once testing operations have been completed.
Galilee is participating on equal terms with the other Joint Venture partners for a 35% working interest (WI) (reducing to 28% after payout) in the Hoffer Prospect in Lavaca County, Texas.
Further information will be provided in due course.
For further information contact:
Peter Lansom Managing Director Galilee Energy Limited
+61 (0) 7 3211 8555
[email protected]
About Galilee
Galilee's Board and management are focused on building and expanding its asset mix to create a mid-tier exploration and production company. Galilee has a clear plan to grow shareholder value and the capacity to execute.
Strong Balance sheet
Proven successful Board and Management
New strategic direction
Directors
Chairman - David King
Managing Director - Peter Lansom
Executive Director - Paul Bilston
Non-executive Director - Ray Shorrocks
Shares
Shares on issue - 152,140,466
Top 20 holders - 55.32% *
Directors and Management - 7.23%
*As at 17 April 2015
www.galilee-energy.com.au
Page 2 of 2