Oil Basins (OBL) has identified oil within the Gumhole formation during production testing of the Backreef-1 well in the onshore Canning basin, Western Australia.
Underbalanced perforation of a 4m interval from 957m to 961m observed surface pressure build-up, and over 800m influx was found in test string on subsequent pressure gradient survey that mostly indicated water.
Evident initial flow rates were reported at more than 1000 barrels per day, though no liquid flowed to the surface.
After reverse circulation, oil was observed at the surface of the well as the packer was unseated and two oil samples were collected before the packer was pulled.
Another sample was taken when additional oil was observed in the well after the packer was pulled out of hole.
Oil Basins executive director and CEO Neil Doyle said the Backreef Oil Discovery is the first potentially significant oil find within Production Licence L6 since the discovery of the Blina Oil Field in 1981 by Canadian explorer Home Oil and the first potentially producible oil observed in the Gumhole dolomite formation.
"The Gumhole dolomite has evident potential commercial productivity and if we can find better sited well locations up-dip from Backreef-1 with that Gumhole full of oil, it'll be a serious company-maker," he added.
"The oil discovery in the Gumhole completely justifies OBL's faith in the application of the Company's uniquely innovative approach to digitising and reprocessing vintage 2D seismic and the use of PSTM and PSDM techniques to this newly reprocessed vintage data".
Oil Basins noted that the collected oil appeared to be very light with similar qualities to the down-dip Blina oil field, about 7km to the west.
Oil Basins is the operator of the Backreef joint venture with with 80% stake, while Green Rock Energy holds the remaining 20%interest.