Beach Energy Reports Oil Find at Stunsail-1 Well in PEL 91 in Cooper Basin

Beach Energy Ltd. (Beach) reported Friday that the Stunsail-1 exploration well in PEL 91 (Beach 40 percent and operator, Drillsearch Energy Ltd. 60 percent) in Australia's Cooper Basin successfully discovered oil in stacked pay over the McKinlay/Top Namur, Mid-Namur and Birkhead reservoirs.

The Stunsail-1 well exceeded expectations by encountering a thicker column and multiple hydrocarbon bearing zones. The well intersected the McKinlay/Namur at a depth of 4,484 feet (1,367 meters) with a 32.8 foot (10 meter) column, 19.6 feet (6 meters) of which was within the highly productive Namur Sandstone. A 13.1 foot (4 meter) oil column was also penetrated in the mid-Namur at a depth of 4.603 feet (1,403 meters).

Additional oil shows were encountered in the deeper Birkhead Formation, with two intervals tested. The first drill stem test (DST) tested a gross 49.2 foot (15 meter) section, at a top depth of 5,469 feet (1,667 meters), and recovered 46 barrels of oil and 3 barrels of filtrate over a 4 hour period, equating to a test rate of in excess of 250 barrels of oil per day. The second DST is testing a gross 37.7 foot (11.5 meter) section, with a top depth of 5,282 feet (1,610 meters). Results from this test are still pending.

Preliminary volumetric estimates of the field are currently being assessed.

Reg Nelson, Beach managing director, said “The new field discovery at Stunsail continues the extraordinary success Beach has had drilling on 3D in this part of the basin. This is our most northerly discovery in PEL 91 to date, which bodes well for future exploration in this part of the permit. Our goal is to continue to grow production from the Western Flank, with a number of further exploration wells to be drilled in our operated and non-operated areas this financial year.”

Following the completion of the evaluation program, the Ensign 930 rig will be moved to the Hardwicke-1 exploration well, which is located approximately 5 miles (8 kilometers) to the northeast of Stunsail-1.