At 6am this morning, Cadenza-1 was at 206m and drilling ahead with a 12.25-inch bit. The partners plan to drill to about 1000m, then run and set surface casing.

Cadenza-1 will be drilled to a total depth of about 3100m. Drilling is expected to take about 21 days.

Energy Investments, a wholly owned subsidiary of Everdue, will fully fund the Cadenza-1 well. In the event of a commercial discovery, Great Artesian and Energy Investments will each hold a 50% interest in any subsequent production licence.

The well is located about 2.5km north-northeast of the Paranta-1 new gas/condensate discovery.

“Cadenza-1 will target an anti-clinal feature, which has the potential to host between 12 (P50) and 28 (P10) billion cubic feet of gas within several levels of the Patchawarra Formation,” Great Artesian said.

“The Patchawarra Formation is the primary reservoir target within the region and contains the main zones of interest within the Rossco-1, Udacha-1 and Middleton-1 wells. Additional, secondary potential is anticipated within the underlying Tirrawarra Formation.”

The Cadenza Prospect was delineated following interpretation of the Paranta 3D seismic survey acquired in October 2005 that Everdue funded.

Cadenza-1 is now the sixth successive exploration well that Great Artesian has participated in since August 2005 that has been fully funded by farminees.