Australia's deep waters are seen as the last hope for a major oil discovery to reverse the Australian Geological Survey Organization's prediction that the nation's oil production would halve by 2010. Ever-improving technology has brought a global boom in deepwater exploration and production. "If we are successful, then a whole new hydrocarbon basin could be opened, but on the other hand we have to recognize that the chances are quite small," said Woodside's Southeast Australia Exploration manager Jeroen Bruins.
"It's a remote area so we need to find a reasonable volume of oil. Gas, at this moment, would not be commercial," said Bruins. Only an oil discovery of at least 200 million barrels would make Gnarlyknots-1 a success.
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