Based on cuttings, fluorescence and logging while drilling measurements, hydrocarbon shows were seen in the UK1a interval at a depth of 2078-2083m and the LK1a from 2121-2124m, AED said.

The company added that the upper interval appears to be oil that correlates with the same sandstone interval that tested oil at Puffin-2 in 1974, 1.8 km to the north.

These preliminary depths and interpretations will be confirmed by wireline testing once Puffin-9 reaches a total depth of 3100m in the Triassic.

The Stena Clyde semi-submersible rig is currently drilling the well at a depth of 2225m in 8 ½ inch hole, after setting and cementing 9 5/8 inch casing at 2036m.

The well was designed to test multiple reservoir objectives including sandstones within the Triassic, Upper Cretaceous and Tertiary sections that have been mapped using recent pre-stack depth migration reprocessing of the 1998 Onnia 3D seismic survey.

Earlier this month, AED announced the Commonwealth Department of Industry, Tourism and Resources has accepted its field development plan and was prepared to grant a production licence for the Puffin Field.

In addition, AED says it has entered into an agreement with a major international shipping group for the conversion to a floating production, storage and offloading vessel and subsequent supply and operation of the MT Gerrita.

The agreement provides a fixed two-year lease with four one-year options. This will allow AED to participate in other projects using the FPSO.

The company expects production at the Puffin Field to start before the end of this year.