Petro Matad DT-1 Well At Final Depth Of 1,220 Meters On July 14

15th Jul 2010 14:57

LONDON (Dow Jones)--The Petro Matad Ltd (MATD.LN), an oil exploration company said Thursday that Davsan Tolgoi-1 or DT-1 exploration well reached a final measured depth of 1,220 meters on July 14. MAIN FACTS: -The well passed through the Tsagaantsav formation from 1,075 meters to 1,146 meters, then entered metamorphic basement. -The entire 71 meters section of the Tsagaantsav formation contained oil shows and elevated mud gas, with indications of live oil through six sandstone and conglomerate units totalling about 35 meters in aggregate. -Several of these intervals included very good shows that included cut, fluorescence, oil staining and a strong petroliferous odour. -Good reservoir quality is indicated by fast drilling breaks through all sandstone and conglomerate intervals. -The lower Tsagaantsav formation was encountered about 150 meters high to the 3D seismic prognosis, with about half of the anticipated lower Tsagaantsav thickness. -Wireline logging will be carried out on the DT-1 well and following completion of that process the drill will move to DT-2. -Shares at 1355 GMT up 5.75 pence, or 6.18%, at GBP99.25 pence, valuing the company at GBP145.66 million. -By Razak Musah Baba, Dow Jones Newswires; 44-20-7842-9275; [email protected] (END) Dow Jones Newswires July 15, 2010 09:57 ET (13:57 GMT)