Australian duo Beach Energy and Drillsearch Energy have hit oil in their latest exploration well on PEL 91, on the western flank of the South Australian Cooper basin.
Beach revealed on Wednesday the Balgowan-1 exploration well had hit 3.5 metres of net pay in the Namur sandstone and two metres of net pay in the McKinlay member, extending the oil fairway to the north-east of recent discoveries.
“The new field discovery at Balgowan has extended the oil fairway in PEL 91 that includes recent exploration success at Stunsail, Congony, Kalladeina and Sceale,” Beach managing director Reg Nelson said.
“This extension brings a new focus on a number of other prospects in this northern area of the permit.”
Following the completion of casing operations, the drilling rig Ensign-930 will be moved midway between the Balgowan and Stunsail discoveries to drill the Burners-1 exploration well.
Beach operates PEL 91 with a 40% interest, with Drillsearch holding the remaining 60% equity.