But the PEL 92 operator says preliminary assessments indicate this volume may range anywhere between 1MMbbl and 2.1MMbbl.

“The largest uncertainty in the reserve range is the size and shape of the structure and the joint venture has already committed to address this in a 3D seismic survey to be conducted over the field and the surrounding area,” Beach said yesterday in a report to the Australian Stock Exchange.

“It is expected that this seismic survey will be acquired in November-December, 2006 and processed and interpreted over subsequent months.”

During the week, the well reached a total depth of 1936m, without encountering further oil shows after the new field discovery was made last week.

Evaluation of wireline logging indicates 8m of net oil pay was intersected at the top of the Namur Sandstone, where DST-1 tested 2400 barrels of oil per day.

In the longer term, Beach said it was considering two options for field production – a pipeline back to the Christies facility 7km away, or a standalone production and load-out facility.

A single zone completion over the Namur oil zone in Callawonga-1 is expected to be completed today, after which time the rig will move to the Tennyson-1 location in PEL-106.

Callawonga-1 is located in Cooper-Eromanga Basin permit PEL 192, 90km northwest of Moomba. Joint venture partners are Beach Petroleum (operator – 75%) and Cooper Energy (25%).