However, Arc and Roc are likely to retain WA 286-P where the Frankland sweet gas find and Dunsborough oil discovery were recently made in a three-well exploration campaign drilled by the Premium Wilcraft jack-up rig.

“Arc considers a gas development at Frankland could be very profitable in the current gas market climate in WA,” the company said in its latest corporate presentation. However, managing director Eric Streitberg has previously said he believed the gas would remain stranded for some time yet.

The company was also positive about Dunsborough.

“The Dunsborough-1 oil discovery is likely to be marginally economic but is potentially as big as Cliff Head. It has considerable additional potential but requires 3D seismic to fully define targets.”

But the company was less positive about Perseverance-1, the third well in the program, which was drilled in WA 325-P.

“Recent analysis shows high CO2 due to proximity of volcanics in northern WA 325-P and WA 327-P,” Arc said.

Participating interests in WA-325-P and WA-327-P are operator Roc Oil (37.5%), Apache (37.5%) and Arc Energy (25%). Arc recently acquired Wandoo’s Perth Basin interests, which included 5% in these two permits and 24% in WA 286-P.

Participating interests in WA 286-P are operator Roc (37.5%), Arc 30%, AWE (27.5%) and CIECO Exploration and Production (5%).