The project had only been online for one week, producing 198 terajoules of gas, before operator Woodside shut it down on September 24.
Woodside said in its quarterly report today it expects the project to reach steady-state production by January 2008.
The Otway Gas Project was expected to deliver first gas almost a year ago, in the fourth quarter of 2006.
Construction and operational delays saw the original budget of $811 million blow out by about 20%.
Joint venture participants are Woodside (51.55% and operator), Origin Energy Resources (30.75%), Benaris International Pty Ltd (12.7%) and CalEnergy Gas (Australia) Limited (5%).
