The Australian independent said that the step-out well reached a depth of 3,050 feet as of this morning and crews are currently preparing to set the surface casing. The company expects drilling to take 30 days to reach 11,000 feet, with an additional 14 days of testing.

Kenai Loop No. 2 is an onshore directional well drilled from the same pad as Kenai Loop No. 1, but targeting a bottom hole location approximately 1,800 feet from the first well.

The company plans to test the same zones at 9,700 and 10,000 feet it tested in the first well, as well as a zone at 10,600 feet not tested in the first well because of rig availability.

Buccaneer recently signed a gas supply contract with Enstar Natural Gas Co.

See full story in Sept. 4 issue, available online to subscribers at 11 a.m., Friday, Sept. 2, at www.PetroleumNews.com