- New Zealand-focused Kea Petroleum has made an oil discovery in a new sand reservoir at Puka 2 in the lower Mount Messenger 'Mako' Sands.

Puka 2 intersected 4.6 metres of sand with a vertical thickness of approximately 3.3 metres in the lower Mount Messenger near 1,700-metre measured depth.

Preliminary petrophysical log analysis indicates that this sand has an average oil saturation of 64%, porosity of 25.6% with MDT permeabilities in the order of 75 to 100millidarcies.

Chairman Ian Gowrie-Smith said: "We are delighted to have again struck oil at Puka. This new discovery, with its high quality sands, is likely to have much better flow rates than Puka 1. Kea can now look forward with confidence to an early and substantial cash flow."

At 2:03pm: [LON:KEA] share price was +2p at 9.5p

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