The joint venture – which comprises VicPet, Sun Resources, First Australian Resources, Lakes Oil and US private interests – plans to drill vertically to 4,206 metres to evaluate the Gatchell Sand less than a mile north-west of Eagle-1 discovery well.
Eagle-2 is targeting up to 34 million barrels of oil and 58 billion cubic feet of gas, according to the partners.
If the Gatchell Sand is present and flow rates estimated between 220 to 450 barrels of oil a day are confirmed, a short radius lateral of 330m to 410m will be done from Eagle-2 to target increased production rates.
There is proven oil and gas in the discovery, where downhole mechanical problems ruined the last drilling attempt. Technological advancements since then have led the partners to believe the mechanical well risks are now controllable and they are now planning to re-test the play using new horizontal well technology, according to Victoria Petroleum.
In 2001, Eagle-1, a horizontal well in the Gatchell sandstone, intersected 131m of pay over the intervals 4,177m to 4,207m in the Upper Gatchell and 4,229m to 4,330m in the Lower Gatchell.
This pay showed good to excellent porosity and improved thickening compared to the Gatchell sands in the adjacent vertical Mary Bellocchi-1 well, another partner, First Australian Resources (FAR), said.
Mary Bellocchi-1 tested 223 barrels of oil and 820 thousand cubic feet of gas a day.
In 2004, interpretation of a seismic strike line in the Eagle Project provided strong evidence the oil accumulation earlier tested by Mary Bellocchi-1 appears to be a stratigraphic component which can be interpreted to be a stratigraphic trap of about 20 million barrels and 40 bcf on the high side.
A new well, between half and one mile northwest of Eagle-1, on this new seismic line would provide confirmation of a significant stratigraphically trapped oil field, the company said.
Interests in the Eagle Project are Victoria Petroleum (operator) 15%, Sun Resources 10%, First Australian Resources 15%, Lakes Oil 15% and US private interests 45%.