Lakes Oil (LKO) and its new partner Armour Energy are set to commence drilling at the Moreys 1 gas well in PEP 169, in the Otway Basin, onshore Victoria, Australia.
The Moreys Prospect is a tilted fault block that straddles the border with adjoining permit PEP 168. It is located along a known west-northwest trending hydrocarbon fairway, with nearby gas fields and an existing gas pipeline within 1km.
Drilling will primarily target the Late Cretaceous Waarre 'C' sands, with secondary targets in the overlying Flaxman formation and underlying Eumeralla Formation.
Approvals have been received and the rig is already mobilised on the site to drill the Moreys 1 well in the western part of the permit, which is a proven hydrocarbon province connected to the eastern Australian gas network.
The conventionally drilled well is expected to reach the target depth of 2,000m in around ten days.
Armour Energy is funding the drilling of the well for a cost of $2.5m to earn a 51% interest in LKO's permit.