Amplitude Energy has intersected at least 60 metres of gas-bearing Waarre C sandstone at its Juliet-1 exploration well, including 49 metres of interpreted high-quality net pay. The result is ahead of schedule and budget, but commercial recoverability, gas composition and deliverability remain unconfirmed.
- 49 metres of interpreted high-quality net pay
- At least 60 metres of gross gas-bearing sandstone
- Elevated gas and resistivity readings indicate probable hydrocarbons
- Gas-water contact interpreted below total depth
- Wireline logging and clean-up work to guide completion decision
Juliet-1 Intersects 49 Metres of Interpreted Net Pay
Amplitude Energy Limited (ASX:AEL) has reported a strong preliminary result from the Juliet-1 exploration well in Victoria’s Offshore Otway Basin, with the Waarre C reservoir showing at least 60 metres of gross gas-bearing sandstone. The interval includes 49 metres of interpreted high-quality net pay, which the company says is in line with other Waarre C reservoirs in nearby fields.
Drilling reached a total depth of 2,299 metres true vertical depth subsea at about 10.20pm AEST on 7 September, safely and without material incidents. Preliminary Logging While Drilling data recorded elevated gas readings at the Waarre C intersection, together with higher resistivity readings that are consistent with probable hydrocarbon presence.
Pipeline Proximity Supports the Appraisal Case
Juliet-1 sits in permit VIC/L24, adjacent to the existing Casino, Henry and Netherby pipeline. Amplitude Energy operates the permit and owns a 50% interest, with O.G. Energy holding the balance. The location gives the discovery a potentially relevant infrastructure setting, although the announcement does not provide a development concept, resource estimate or production forecast.
The well programme is currently ahead of schedule and budget. That is a favourable operational detail, but it does not settle the more important questions: whether the interpreted pay will flow at useful rates, what the gas contains and whether the accumulation can support commercial recovery.
Logging and Clean-Up Will Test Commercial Potential
Wireline logging, pressure measurements and fluid sampling are planned over the coming days to inform resource-volume estimates and establish initial gas composition. Amplitude Energy will then decide whether to complete Juliet-1 before cleaning up the well and suspending it.
Clean-up results are expected to provide information on reservoir deliverability, while further laboratory analysis will be used to confirm gas composition. Those results, rather than the drilling indications alone, will determine how much weight can be placed on the 49-metre interpreted pay figure. The company expects these activities to take roughly two weeks.
Amplitude Energy has expressly cautioned that intersecting a gas-bearing reservoir does not itself confirm commercially or potentially recoverable hydrocarbons. No petroleum reserves or contingent resources are being reported at this stage, and the gas-water contact is currently interpreted to sit below total depth. The next announcement will therefore need to bridge the gap between an encouraging subsurface intersection and evidence of a developable gas resource.
Bottom Line?
Juliet-1 has delivered the geological result Amplitude Energy was seeking, but pressure, sample, clean-up and deliverability data will decide whether the discovery becomes an investable development opportunity.
Questions in the middle?
- Will wireline samples confirm a commercially attractive gas composition?
- What flow performance will the well deliver during clean-up?
- Will Amplitude Energy report a resource estimate or completion decision after the next two weeks of evaluation?