WestSide said Paranui-7 would be completed as an observation well for the three upcoming appraisal wells planned for the ATP 769P pilot.
The company said it drilled the Paranui-7 to a total depth of 1036m after intersecting several gassy coals seams.
“Gas was observed flowing from the well during drilling at rates which have not been measured,” the company said.
The Mitchell Rig 101 plans to spud the next well, Paranui-4, which WestSide said would be completed for a short production test before all three were fracture stimulated.
WestSide said it expected to put the wells on extended production test in October.
The company is operating and funding the pilot program so it can earn a 50% interest in ATP769P from Sunshine.