The company announced that oil had flowed to surface for 30 minutes at an initial rate of 1,095 barrels per day with no water, from the 1,385 - 1,397 metre interval in the Hutton Sandstone.

"Kenmore-29 is testing a target outlined by 3D seismic to the northwest of the successful Kenmore-28 well which spudded late in September and was brought into production in mid-October with an initial flow rate in excess of 1,000 barrels of oil per day," Beach Petroleum's managing director, Reg Nelson said.

"Today's DST result is certainly an indicator that this new well should yield sound production and is further evidence that the Kenmore Field in PL 32 has more to offer and can be further expanded."

Kenmore 28 is currently producing at around 680 barrels of oil per day.

A further development well, Kenmore-30, about 640m to the southeast of Kenmore-29, will spud after the completion of Kenmore-29.

Beach Petroleum has a 100% interest in both Kenmore 29 and Kenmore 30.