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The discovery in NT/P61 was made following the drilling of the Caldita-1 exploration well in July to a total depth of 4037 metres.
The well encountered a significant hydrocarbon column in a high-quality reservoir interval, according to Santos.
A subsequent drill stem test flowed gas at a rate of 33 million cubic feet per day through a one-inch choke. But the test was restricted by the limitations of surface equipment, said the company.
“This is an encouraging result and further evaluation will be carried out to assess the appraisal and development potential of Caldita and nearby resources,” said Santos managing director John Ellice-Flint.
Caldita could be used to fuel expansion at the Wickham Point processing plant near Darwin, part of the Bayu-Undan gas project. ConocoPhillips and Santos are both partners in Wickham Point and Bayu Undan.
Caldita will now be plugged and abandoned as planned.
Caldita is about 265km north-northwest of Darwin in 137 metres of water.
Joint partners in NT/P61 are: Santos Offshore (40%); ConocoPhillips Australia Exploration (operator and 60%).
