9 Mar 2006drilling progress report● Neutral
Gastar gave a drilling update on PEL 238 in New South Wales, Australia, where it holds a 35% working interest (partners Eastern Star Gas 32.5% as operator, Hillgrove Resources 32.5%). Drilling of the first of nine new coal seam gas wells began March 7, 2006, with the program expected to run to mid-year and the new wells on production test by mid-2006. Reserves certification is still pending, and gas sales depend on partner agreement on pricing and gathering spending.