However, the partners did say the drilling provided them with substantial information that needs to be fully evaluated before the significance of the gas discovery can be determined.
"Once the data is fully evaluated, the possible future options for commercialisation of the field can be considered, including development with existing discoveries or by drilling nearby prospects to establish sufficient reserves for a stand alone development," Santos said.
Last month, the Casino-1 discovery well intersected a 47m gas column, leading to estimates that the reservoir might contain up to 300 billion cubic feet of gas. Any gas finds in the Otway Basin are considered significant because of the close proximity to the Adelaide and Melbourne markets.
Despite the prospect of linkage with earlier discoveries such as BHP's Minerva or Origin/Woodside's at Geographe/Thylacine, Perilya - who have 35.6 per cent stake in Strike Oil - saw its share price slide 12c to finish at 52c after the announcement. Santos was up 16c and finished at $6.30.
