Despite the low price of oil, Carnarvon Petroleum has announced it will spend $10 million to explore its permits in the North West Shelf for more oil and gas.
It comes after Carnarvon discovered a significant oil discovery in the Phoenix South-1 well in permit WA-435-P last August.
Carnarvon CEO Adrian Cook said the company aimed to refine its understanding of the prospectivity of the area, and would spend $10 million acquiring 3D and 2D seismic data covering the majority of its 22,000sqkm holding across its four exploration permits.
“The decision by the Joint Venture partners to acquire such a large data set was driven by the current assessment of prospectivity and the current timing is based on significant cost efficiencies and consideration of the timeframes necessary to prepare future drill ready prospects,” Cook said.
Carnarvon and its JV partners plan to drill Roc Well in the middle of 2015.
Cook has previously said Roc well is considered to be one of the more prospective and commercially attractive wells to be identified so far within the Phoenix blocks.