Nido updates Tindalo-1 drilling

Offshore staff

SYDNEY, Australia -- While drilling through the Nido formation reservoir section of the Tindalo-1 exploration in the NW Palawan basin, oil shows were observed, (demonstrated by elevated mud log wet gas readings and strong oil fluorescence in cuttings recovered to surface) down to a significant lost circulation zone encountered between 1,782 and 1,784.5 mRT (5,846 and 5,855 ft), according to Nido Petroleum. Drilling continued past this zone to a total well depth of 1,875 mRT (6,152 ft).

A small volume of oil recovered at the surface confirms the presence of a movable oil accumulation at Tindalo-1 and the planned wireline logging program over the reservoir interval began on Oct. 20 in order to determine the extent of the oil column, the company says.

10/20/2008