Santos has announced the completion of the Quokka-1 appraisal well in North Slope, Alaska, helping to further define the Nanushuk reservoir in the Quokka Unit.
The Australian oil and gas company holds a 51% operating interest in the Quokka Unit, with Repsol having the remaining 49%.
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Drilling of the Quokka-1 well commenced on 1 January 2026 and reached a depth of 1,459m (4,787ft).
The well encountered a reservoir with around 143ft of net oil pay in the Nanushuk formation, demonstrating an average porosity of 19%.
After a single stage fracture stimulation, the well achieved a flow rate of 2,190 barrels of oil per day (bopd).
The Quokka-1 well is situated approximately 10km from the 2020 discovery at the Mitquq-1 well.
Analysis shows the presence of high-quality, light-gravity oil, reinforcing the potential for a two-drill-site development with production levels comparable to Pikka phase one.
Development planning has commenced with key permitting activities under way.
Santos is currently evaluating the resource potential for this development.
In fiscal year 2025 (FY25), the company disclosed 2C contingent resources of 177 million barrels of oil equivalent (mboe) for the Quokka Unit.
The resource evaluation continues, with appraisal results to be assessed in the FY26 contingent resource review.
A 3D seismic survey is also planned for the upcoming winter season to optimise field planning.
Meanwhile, Pikka phase one is nearing first oil, with mechanical completion achieved and commissioning activities advancing.
The plant currently functions with the fuel gas introduced, marking a significant milestone.
First oil is expected imminently, followed by the start-up of the seawater treatment plant to support production ramp-up.
By the end of the first quarter of 2026 (Q1 2026), 24 development wells had been drilled, with 20 undergoing fracturing and flowing back as anticipated.
The process of tying in wells is advancing to facilitate the start of oil production and increase output.
Santos anticipates reaching a plateau capacity of 80,000bopd in mid-2026, with first sales revenue projected around two months after the first oil.
Santos managing director and CEO Kevin Gallagher said: “The Quokka-1 results demonstrate the exceptional quality of the Nanushuk reservoir and confirm our geological assessment of this significant accumulation.
“Located strategically to the east of our Pikka phase one development, Quokka represents another high-return opportunity that strengthens our position on the North Slope and extends our development runway in Alaska for years to come.”
At the Barossa gas project, meanwhile, Santos is proceeding towards resuming full gas production.
Despite initial constraints, three cargoes were sold in Q1.
The dry gas seals on the floating production, storage and offloading (FPSO) compressors have been replaced to enable full-capacity production.
Heat exchangers are being flushed and cleaned to clear blockages, with production expected to restart around 18 April 2026.
In September 2025, Santos announced that the BW Opal FPSO vessel had received its first gas from the $4.5bn (A$6.83bn) Barossa LNG project.
