The campaign includes 1350km of seismic reprocessing, 150kms of new seismic and the drilling of two wells. Impress Ventures and Kalrez Energy have entered into farmin agreements with Victoria Petroleum to each earn a 12.5% interest in the project by paying 25% each to the cost of the exploration.

With the farmin, Victoria Petroleum will reduce from an 80% interest in PEL 104 to a 55% interest and will be contributing 30% of the cost of the accelerated work program.

PEL 104 covers an area of 1,069 square kilometres and is immediately adjacent to the western edge of the Tirrawarra Oil Field, the largest oil field in the Cooper Basin and onshore Australia with estimated recoverable reserves of 70 million barrels of oil and 310 billion cubic feet of gas.

The block also surrounds the Fly Lake Oil & Gas Field with recoverable reserves of 67 billion cubic feet of gas and 2 million barrels of oil and the Callabona Jurassic oil field production licence.

Only three wells have been drilled in the permit, with two wells interpreted as having bypassed gas and the other well with oil shows. The August 2002 Sellicks No. 1 oil discovery by the Beach Petroleum/Cooper Energy consortium 30km to the south of PEL 104 has provided encouragement for Permian oil potential on the western edge of the Permian Cooper Basin with the reported oil flow during production testing of 2,160 barrels of oil per day.

An active exploration drilling program of up to 10 wells, planned over the next nine months for the South Australian part of the Cooper Basin by current successful explorers, Beach Petroleum, Stuart Petroleum and Cooper Energy, will further focus the industry's attention on these areas adjacent and in the vicinity of PEL 104.