The company reports the degradation to be a result of mechanical failures during drilling operations. Rather than attempt a costly and lengthy workover, it has resolved to drill a new well 50m from the original site.

The well will be drilled within the fortnight, following routine maintenance to the drill rig.

Tucker is the fourth well to be drilled by Sundance since its listing on the ASX in April. The well will focus on gas sands and non-conventional reservoirs and will be drilled to a total depth of 1800m, with primary target formations being the Caney and Woodford Shales.

Meanwhile, Sundance reports more favourable progress at its OL Hill A 23-12, Price A 22-7-10 and Huffstandler A 21-10 wells, also within the Ashland prospect.

Last week, the company installed a pumping unit to OL Hill to facilitate the recovery and flow back of frac fluids which remain following stimulation of the well’s Woodford Shale formation in July.

At Price A, it has reported good gas shows in both targeted formations and is planning to fracture stimulate the Woodford Shale formation as soon as possible, after which the well will be prepared for production.

Drilling of Huffstadler A will begin once the new Tucker well is completed. Huffstadler will be drilled to a total depth of 1800m with primary target formations again being the Caney and Woodford Shales.

Sundance holds a 70% interest in the Ashland prospect.