Tangiers Petroleum has identified 14 leads confirming significant oil potential in the Milligans Fan oil play, in the sea off Northern Australia.

The leads were identified by ISIS Petroleum Consultants (ISIS) in its competent persons report of the Bonaparte Basin Permit Areas WA-442-P and NT/P81.

ISIS estimates that the leads contain a mean unrisked oil in place of 683 million barrels, with mean prospective resource of 218 barrels of oil.

Tangiers Petroleum chairman Mark Ceglinski welcomed the news.

"The ISIS CPR further confirms the excellent prospectivity of the region and Tangiers is looking forward to the further evaluation of the Bonaparte Basin Block, which includes the Nova and Super Nova deep gas prospects, the Turtle and Barnett oil discoveries, and Messner lead," he said.

Milligans Formation has been intersected in previous offshore wells, confirming the presence of an active petroleum system, including oil recovery in Turtle-2 and oil and gas recovery in Barnett-2.