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Kathryn Mitchell Andrew Seaton
+61 8 8218 5260 / +61 (0) 407 979 982 +61 8 8218 5157 / +61 (0) 410 431 004
kathryn.mitchell@santos.com andrew.seaton@santos.com

Santos today announced that the Wortel-2 appraisal well in the Sampang PSC, offshore East Java, Indonesia, has been drilled to a total depth of 1,421 metres and will now be plugged and abandoned having failed to encounter significant hydrocarbons in the ‘C’ fault block.

The Sedco 601 drilling rig will now move to the Madura Offshore PSC to drill the Semangka-1 exploration well.

Following the drilling of Semangka-1, it is expected the rig will return to the Sampang PSC to drill the appraisal well Wortel-3, approximately 350m east of the Wortel-1 discovery well which penetrated a 140 metre gas column in good quality reservoir. This well will test the ‘B’ fault block section, to appraise the extent and quality of the gas reservoir in the Wortel structure.

The participants in the Sampang PSC are:

Santos (Sampang) Pty Ltd (operator) 40.5%
Singapore Petroleum Sampang Ltd 36.0%
Cue Sampang Pty Ltd 13.5%
PT Petrogas Oyong Jatim* 10.0%

* subject to finalisation of documentation

Santos stock symbols: STO (Australian Stock Exchange), STOSY (NASDAQ ADR), Ref #82-34 (Securities Exchange Commission)