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Santos strikes gas in Australia' s Browse basin

BY DAVID WINNING

SYDNEY -- Santos said it had discovered natural gas through an exploration well in Australia' s Browse basin, underscoring the area' s potential as a production hub to supply Asia' s growing demand for cleaner burning fuels.

Santos said the Bassett West-1 well located 7.5 m of gas pay along with condensate, a type of light oil, around 90 km northeast of the Crown discovery in November.

The water depth at location is 368 m and the well reached a total depth of 5,239 m. Wireline logging and sampling has confirmed 7.5 m gas pay in Jurassic sandstones on the western flank of the large Bassett structure.

Santos Head of Exploration Bill Ovenden said he was encouraged by the presence of gas with condensate and the absence of a water leg or gas-water contact.

“Further work is required to fully understand the overall resource picture for the Bassett feature,” Mr Ovenden said. “This includes greater clarity on the gas composition and the extent of this gas-bearing interval and additional potential reservoir segments across this large regional structural high.”

Drilling of the next well in the program, Dufresne-1, is due to begin after Bassett West-1 has been plugged and abandoned.

Santos owns 30% of the WA-408-P permit where the well was drilled. Total is the biggest shareholder in the block with a 50% interest, and Murphy Oil holds the remaining stake.

Dow Jones Newswires

06/06/2013

 

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