Currently, the company is drilling its wholly-owned Overston-1 well in Queensland's Surat Basin. Sunshine told the market it was encouraged by results from weekend drilling, with strong gas shows in the 2,325-2,360m and 2,700-2,748m intervals.
Sunshine said the primary target in the Tinowan Sandstones section (3,100m) should be reached in the next 24 to 48 hours. The Tinowan Sandstone is a major hydrocarbon producing sandstone in the Surat Basin.
An independent report has concluded there is a 50% chance of a 50 billion cubic feet gas reservoir, about half the size of neighbouring Churchie gas discovery.
