Electric logs and well cutting samples indicated hydrocarbon shows over a gross 60m interval within the targeted Belumai Formation.

"The sandstones appear to be one of the same good reservoir quality, but appear to be thicker than those penetrated in the nearby Kambuna-1 well that flowed 14 million cubic feet of gas per day plus 990 barrels of condensate when drilled by Bow Valley in 1986," the company said.

Potential reserves in the prospect have been independently estimated as being two to three trillion cubic feet of gas plus 150 to 200 million barrels of liquid.

In other Matrix news, the company announced this week it has raised seven million dollars via a placement of approximately 28 million fully paid ordinary shares to local institutional and exempt investors.

The funds will be used to complete Matrix's planned drilling program of the Asahan Offshore PSC acreage.