Quadrant changes commitment well target offshore Australia
Quadrant Energy has decided to replace the previously proposed Palmerston-1 well for Driftwood-1 well in the WA-320-P permit in the Carnarvon Basin, offshore Western Australia.
A commitment well is due in WA-320-P by the fourth quarter 2016.
According to Tap Oil, a partner in the permit with 9.778% participating interest, after extensive technical evaluation and engagement with the regulator, Quadrant Energy, the operator with 40.665% interest, has recommended the Driftwood-1 well as the year 3 commitment well in WA-320-P replacing the previously proposed Palmerston-1 well.
Tap explained that the Driftwood-1 commitment well has an expected total well cost of A$15.47 million ($$11.5M) (gross), which is substantially lower than the estimated cost for Palmerston-1 of A$98.2 million ($72.9M).
Tap has a 5% carry on the commitment well in WA-320-P of up to $3.5 million (up to a total well cost of $70 million) from JX Nippon Oil and Gas Exploration (Australia).
The Driftwood-1 commitment well is located in WA-320-P in the Barrow sub-basin of the Northern Carnarvon Basin, approximately 1km north of the Rosily-1A exploration well which had minor oil shows.
The Noble Tom Prosser jack-up drilling rig is expected to start drilling the Driftwood-1 commitment well on August 1, 2016.
The company said that the well objective is to test the Early Cretaceous sandstones of the Mardie Greensand Member, Birdrong Member and Zeepaard Formation in a low-relief, northeast-southwest trending four-way dip closure.