Planet Gas Updates Activity at PEL 468

Planet Gas Limited has provided an update concerning exploration at PEL 468.

The Mead's Crossing-1 well spudded on 2 August 2011 reached a total depth of 589 metres on 13 August 2011. The well intersected six coal seams and total depth was called at the base of the Lithgow seam.

The thickest individual coal unit cored was 10.9 metres of the Farmer's Creek formation. Gas was recorded visibly "bubbling" (desorping) from the surface of some of the recovered cores. Heat alteration caused by igneous intrusives has resulted in carbon dioxide contamination at some levels.

Maximum methane of 54% was recorded from the State Mine Creek coals at 411 metres. Preliminary maximum gas content of 8.34 m3/t was recorded from the Irondale coals at 509 metres.

The well has now been plugged and the drilling rig has been demobilised from the site. Land rehabilitation of the wellsite is in progress.

The company said that Stony Pinch-1 Planet's second well located in the Eastern part of PEL 468, awaits REF approval. All additional submissions required by the NSW DPI have already been actioned. Stony Pinch-1 will be drilled to a similar depth and will also be targeting Coal Bed Methane resources in the Illawarra Coal Measures.

PEL 468 covers an area of 1736 km2 and is located on the boundary of the Gunnedah and Sydney Basins, 300 kilometres northwest of Sydney.

Source: Planet Gas