MEO Australia Limited disclosed that at 06:00 Darwin time Friday Dec. 6, the jackup Ensco 104 (400' ILC)  was preparing to commence the wireline logging program having drilled the Blackwood-2 well in Permit NT/P68 offshore Australia's Northern Territory to total depth at 11,236 feet (3,425 meters) measured depth below rotary table (MDRT).

Operational progress since the previous report is summarized in the table below.

Progress Sumary

Progress since last report:

Drilled 8.5 inch (216 millimeters) hole from 10,334 feet (3,150 meters) MDRT to 10,538 feet (3,226 meters) MDRTCut core from 10,538 feet (3,226 meters) to 10,771 feet (3,283 meters) MDRT (recovered 196 feet or 60 meters)Drilled 8.5 inch (216 millimeters) hole from 10,771 feet (3,283 meters) MDRT to 11,236 feet (3,425 meters) MDRT (Total Depth)Prepared to commence wireline logging program Present.

Operation (at 06:00 Darwin time, Dec. 6):

Preparing to conduct wireline logging program

Outlook:

Production test (if warranted)Plug and abandon wellBACKGROUNDThe Blackwood-2 appraisal well is located approximately 4.9 miles (8 kilometers) from the Blackwood-1 discovery well. Further information regarding the NT/P68 Exploration Permit is available on the MEO website.

The drilling of Blackwood-2 is an obligation under the NT/P68 Farm-in Agreement (FIA) dated May 17, 2011 between Eni Australia Limited (Eni) and MEO. Under the FIA and subsequent amendment, MEO’s 50 percent participating interest share of the costs of the well will be carried.