New Zealand Exchange-listed Widespread Energy, which holds 11.7% of privately held Green Gate, said on Monday morning that wireline logging of Kate-1 confirmed that about 70m of high-quality potential reservoir section had been encountered, but no commercial hydrocarbons had been found.
Australian Securities Exchange-listed Gas2Grid has now earned a 55% interest in the onshore portion of licence PEP 38260 by funding the costs of Kate-1.
Widespread said the well had confirmed good maturity of source rocks (fluorescent kerogen was observed) and excellent reservoir and seal characteristics. These results, plus the interpretation of new seismic shot around the Kate-1 anticline, would be incorporated into operator Green Gate's continued evaluation of its North Canterbury exploration blocks PEP 338260 and PEP 38263.
According to Widespread, the well's primary target was sandstone reservoirs in the Late Cretaceous Broken River formation coal measures, with an estimated potential of about 25 million barrels of oil in place, with secondary targets in younger sandstones and limestones.
