Karoon Gas's (ASX: KAR) core focus and strategy is to identify, explore and develop acreage that is highly prospective for oil and gas . Karoon currently has five focus areas, the Browse Basin (Western Australia), Bonaparte Basin (Northern Territory), Tumbes Basin (Peru), Marañón Basin (Peru) and the Santos Basin (Brazil).
Karoon Gas (ASX: KAR) and ConocoPhillips have spudded the Proteus‐1 exploration well in the Browse Basin offshore Western Australia.
The well, the third of five wells the joint venture is drilling, is located about 14 kilometres southeast of the Poseidon-1 gas discovery well.
The principal objective of the exploration program is to better define the size and quality of the hydrocarbon accumulations within the exploration permits which contain the greater Poseidon trend.
Additional well locations for the remainder of the program will be announced as they obtain joint venture approval.
The previous Zephyros‐1 well is expected to be capable of flowing gas at similar rates as the Kronos-1 gas discovery.
However, the ConocoPhilips-led joint venture has opted not to production test Zephyros‐1 due to its many similarities with Kronos-1.
MDT sampling tools have indicated the reservoir sands at Zephyros‐1 have some of the highest mobility values, which measure potential to flow gas, in any of the Poseidon area wells.
Pressure data from the Plover Formation gas column indicates a possible deep gas‐water contact similar to that interpreted at Kronos‐1.
The 108 metres of cut core and wireline logging being carried out are expected to provide a high quality data set sufficient for ongoing field evaluation work.
Karoon had $228.3 million in cash as of 31 December 2012.
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