Mosman Oil & Gas (LON:MSMN) said it has now completed a seismic programme, capturing good data, and it has seen early indications of a new target that is similar to a nearby discovery.
Importantly, the seismic has also identified a fault between the Crestal 1 and Crestal 2 well locations, Mosman said.
The information gained though the programme will be essential to selecting the exact locations of the next exploration wells.
Mosman, as it looks to the next phase of drilling, has also reached an agreement with the drill contractor to secure the rig’s availability and as a result the equipment will be stored nearby ready for the next programme.
The company revealed also that it is still waiting to carry-out well testing operations for the Cross Roads 1 and Crestal 1 wells.
The former was delayed while seismic was underway, in order to avoid disruption to the data, while plans for the latter are currently being evaluated due to the presence of gas and pressure in the well following perforation and completion operations.
Mosman said Jean-Pierre Hurel, an advisory board member, will visit the site, and the plans for the well must be considered carefully. A nodding donkey is on site, and is ready to install for an extended will test when required.
Elsewhere in New Zealand, Mosman awaits a decision from the authorities following applications in the government’s last block offer – the company made four applications via the process, and it expects decisions will be made by December.
In Australia, meanwhile, an appraisal well is being planned for the EP 145 asset, and a field surveying programme has revealed the presence of potential source rocks, seal, and reservoir targets.
Clearance work is currently underway to enable seismic and drilling work.
At Vic P62, Mosman’s other Australian project, venture partners have agreed and approved a work programme involving technical de-risking and drilling site selection. This work will enable a decision to be made in 2015 regarding future drilling.
On AIM, Mosman shares were down 17% in the morning’s deals trading at 13.38p each.