Sentry Commences Talundilly Drilling

Sentry Petroleum Ltd. has announced the commencement of drilling the Talundilly-CSG1 in ATP 862, Sentry’s northern permit in Queensland.

The Talundilly-CSG1 well is targeting the Winton coal and gas shale formation. The well will be cored from 200 to 400m and drilled down to the target depth of 550m before logging. Sentry anticipates 10 days to complete following which coal and shale cores will be sealed and shipped to CSG Exploration & Production Services for laboratory analysis and testing.

The description test will be continued during the following 60 days. The length of the testing process will depend on the time it takes for the total gas in the coal and shales to be desorbed. Sentry expect testing to be completed by mid-August 2011 with results announced immediately thereafter.  Isotherm analysis will also be performed during this period.

Upon completion of Talundilly_CSG1, the Rig will move to the Albilbah_CSG1 well location. The Company anticipates spudding Albilbah_CSG1 in the last week of June.

Sentry also announced the execution of a non-binding Memorandum of Understanding with a subsidiary of Ergon Energy Corp Ltd, a major electricity distributor, retailer and generator owned by the Government of Queensland.

Under the terms of the non-binding MOU, the companies have agreed to enter into negotiations for the purchase and sale of potential gas for use in Ergon’s Barcaldine Power Generation Station immediately north of Sentry’s permits ATP 862 and ATP 864.

Source: Sentry Petroleum