Australian oil and gas exploration company 3D Energi has reported a gas discovery at the Charlemont-1 exploration well in the VIC/P79 exploration permit area within Victoria’s Otway Basin.
The company, which holds a 20% interest in VIC/P79, reported that a gas sample was successfully recovered from the Waarre C sandstone at a 2,571.2m measured depth rotary table (MDRT).
ConocoPhillips Australia (51%) and Korea National Oil Corporation (KNOC) with a 29% stake are the other partners in the VIC/P79 permit.
3D Energi said that the wireline logging programme has been completed across the Waarre C, B and A sandstones to evaluate the presence of hydrocarbons.
This confirmation aligns with preliminary interpretations from wireline logs and drilling observations, which indicated hydrocarbon-bearing sandstones and elevated gas readings.
The gas sample's CO₂ concentration was found to be 16 Mol%, consistent with pre-drill predictions. The intersection of gas in the Waarre C, which was unexpected prior to drilling, may have positive implications for the Charlemont Trend.
In the Waarre A sandstone, elevated gas readings suggest probable hydrocarbon presence, although further petrophysical analysis is needed to confirm this.
However, MDT (Modular Formation Dynamics Tester) pressure data could not establish a continuous gas column across the Waarre units, and no fluid samples were recovered from Waarre A.
This discovery confirms the presence of hydrocarbons, aligning with initial interpretations from wireline logs that indicated hydrocarbon-bearing sandstones.
The Charlemont-1 well is part of the broader Otway Exploration Drilling Programme and represents the second gas discovery following the earlier Essington find.
This development underscores the potential of the Charlemont Cluster and highlights the effectiveness of an infrastructure-led exploration strategy in the Otway Basin.
The strategic significance of this discovery is underscored by its proximity to existing offshore gas production and processing infrastructure, which could facilitate future development options.
3D Energi executive chairman Noel Newell said: “Phase 1 of the Otway Exploration Drilling Programme has identified important new natural gas resources close to existing offshore gas production and processing infrastructure in the Otway Basin, supplying the Australian domestic gas market.
“This enhances the strategic significance of the discovery and supports future development optionality, subject to further technical and commercial evaluation, consistent with the company’s objective of contributing new gas supply to a tightening East Coast market”.
The Charlemont-1 well is scheduled to be plugged and abandoned in accordance with the approved drilling environment plan, with operations expected to conclude shortly.
Following this, the Transocean Equinox rig will be transferred to another operator in the area.
While there is potential for additional drilling under phase two of the Otway Exploration Drilling Programme, no decisions have been made, pending further evaluation.
