Beach Energy says it and its 30% partner, Cooper Energy, plans to spend $24 million on nine exploration wells in the Cooper Basin region of Central Australia.
In a statement to the ASX, Beach said the program will focus largely on the remaining prospectivity in the primary productive reservoir of the permit, the Namur Sandstone.
"The work program and budget as approved represents a capital investment of over $24 million and is expected to increment a risked mean reserve in the order of 1.8 million barrels of oil on a gross basis."
That’s worth around $170 million in extra revenue.
Beach as a 75% stake in the program and Cooper Energy the remainder.
Beach said that of the nine wells, two have been carried forward into the new permit year from the previously approved and currently active eleven well program.
"A further four of the nine are Namur exploration locations that have already been agreed and funds allocated by the Joint Venture.
"The remaining three exploration locations will be confirmed in due course following current drilling results and interpretation of the proposed seismic program.
"These wells will likely include tests of other play types.
“Approximately 200km2 of 3D seismic will be targeted in the area of PEL 92 immediately to the west of the PEL 91 Joint Venture discoveries at Chiton, Hanson and Snellings.
"The 2D program will be directed in the east of the permit, to infill the currently sparse 2D grid. “
Beach shares ended the day steady on 90c.
