Australia western flank multipay oil discovery hit

July 19, 2011
Drillsearch Energy Ltd., Sydney, has a multipay new oil field discovery at Arno-1 in the Cooper-Eromanga basin western flank oil fairway in PEL 91 in South Australia.

By OGJ editors
HOUSTON, July 19
– Drillsearch Energy Ltd., Sydney, has a multipay new oil field discovery at Arno-1 in the Cooper-Eromanga basin western flank oil fairway in PEL 91 in South Australia.

Arno-1 found oil pay zones in the McKinlay, Namur, and Birkhead reservoirs, each well-recognized in the basin. Birkhead is emerging as a leading oil exploration play in the western flank with discoveries just north of Arno-1 at Growler, Wirraway, and Snatcher Fields.

Arno-1 cut a 7.4-m gross oil column in the McKinlay and Namur sandstones at 1,374-81 m and a 6-m gross oil column in Birkhead sands at 1,662-68 m that may be be part of a larger Birkhead channel play fairway. Further tests and evaluation of the three pay zones is required to estimate ultimate recoveries.

A 21-m interval of oil shows at 1,338-59 m was also encountered in the Murta formation which on testing proved tight. With the oil zone now seen in the Murta Formation at Arno-1, this zone may become a focus of future exploratory drilling.

After testing Arno-1, Drillsearch will move the rig to drill the Bauer-1 oil exploratory well 5 km south of Arno-1 and 2.5 km north of Chiton oil field.