Kea Petroleum declared that the Hoadleys-1 exploration well in the ATP837P license area in Australia's onshore Surat Basin was spudded on June 25, 2011, and has already run and set surface casing to 254m.

It is anticipated that the well will be drilled to a total depth of 2,200m by late July 2011, and will test for oil in the Lower Evergreen and Precipice Sands. Both of these targets are producers in the nearby Moonie oil field.

In the event of success Kea's gross median reserve estimate is approximately one million barrels, with a potential upside of up to several million barrels.

Tags: Kea Petroleum