“We have not made a decision yet, but intend to by the end of this week,” Austral chief executive Dave Bennett told EnergyReview.Net from Wellington this morning.

The well reached the 4895m TD over the Christmas holiday break and electric logs revealed all anticipated reservoir targets within the Eocene-aged Kapuni formation – the McKee, K1A, K2 and deeper K3E sands – had been intersected and were gas-charged.

Bennett said early media reports – of the drilling assembly being cemented into place when liquid cement was pumped down the outside, as well as the inside, of the drill pipe – were incorrect.

“The most likely scenario is that a faulty liner hanger assembly created the problems that allowed some cement to escape, but we won’t be certain unless we can retrieve the stuck drilling assembly,” he said.