“The Mulberry-2 well has encountered four metres of oil pay in the 12-5 sand of the Birkhead Formation," Drillsearch said.

This discovery has extended the Birkhead 12-5 oil pool 450 metres north/west of the Mulberry-1 discovery. Mulberry-2 is the first of a 3 well appraisal drilling programme designed to test the extent of and develop the reserves in the Mulberry pool.

The well has been cased and suspended as a potential future oil producer from the Birkhead Formation. The rig is now drilling the Mulberry-3 appraisal well, which spudded yesterday.

“This well continues Drillsearch’s run of successful wells in 2005," said Drillsearch managing director Philip Kelso.

"When we receive the results of the Tintaburra 3D seismic survey, which is being processed, we hope that data will throw up additional appraisal locations in the Mulberry pool.”

Partners in PL.39 - ATP299P (Tintaburra Block) are Santos (operator) 90% and Drillsearch 10%.