The Ungani-1/ST1 well has initial test rates in excess of 2,000 bopd.
The shale chips showed signs of hydrocarbons during sampling and will be analysed as part of Exoma's 2012 shale appraisal program.
Wireline logs and side-wall cores confirmed the presence of a 10.3 m (33.7 ft) gross oil column in the Birkhead formation with interpreted net oil pay of at least 6.5 m (21.3 ft).
The stimulation program targeted four intervals within the Permian section via a 4½” cased test well, successfully fracture stimulating the Patchawarra tight sands, as well as the Roseneath and Murteree shales.
Evident initial flow rates were recorded in excess of 1000 bpd with permeability estimated at 750 millidarcy.
The gas show was encountered during air mist drilling in a tight calcite cemented dolomitic shale with poor porosity and permeability.
Armour's primary objective for the Holdgate-1 well is the Strzelecki Group onshore Gippsland Basin,
Australian-Canadian Oil Royalties Ltd. announced the completion of a definitive farmout agreement with Terra Nova Minerals Inc. on the exploration of its Australian Cooper Basin holdings.
Initial gross production has commenced at a rate of 800 barrels per day (b/d).
The primary target is the oil-bearing sands of the Murta Member.