OMV Announces Major Gas Discovery in Australia

OMV Announces Major Gas Discovery in Australia / Picture: © Flickr

The sidetrack appraisal well to the original Zola-1 discovery well was drilled down to a total depth of 4,713 m (true vertical depth). An extensive wireline measurement and pressure testing program confirmed the presence of gas within several high quality sands of the target Triassic Mungaroo Formation. The well and sidetrack were drilled in a water depth of 285 m and encountered 130 m of net gas pay. Both will be plugged and abandoned as per plan.

In order to further assess the development potential of Zola, OMV and its partners in WA-290-P, Apache (operator), Santos, Nippon Oil Exploration and Tap Oil, have agreed to acquire a new high resolution 3D seismic survey over the permit, which is likely to commence mid 2011.

Jaap Huijskes, member of the OMV Executive Board responsible for Exploration and Production (E&P), stated: "Zola-1 is one of OMV's biggest gas discoveries and is the result of a successful and safely carried out exploration and appraisal drilling campaign. We are very proud of OMV's exploration activities in Australia, which have culminated in this significant discovery on the North West Shelf. The next step will be to further appraise the gas discovery, including the acquisition of a new 3D seismic survey."

In 2010, OMV’s oil and gas production was 318,000 boe/d and its proven reserves were about 1.15 bn boe at year-end. In its core countries in Romania and Austria, OMV is focusing on reducing the natural decline and on enhancing the recovery rates from mature fields. Future growth is expected to come via new field developments, exploration and acquisitions internationally. OMV intends to grow the existing portfolio to and beyond critical mass, on a production per country basis, and is looking to find new growth areas within the Caspian, Middle East and North Africa regions where OMV can leverage on its existing E&P exposure.