So far, about 26m of gas-producing sandstone units have been intersected – more than double the 11m pre-drill estimated thickness, the Brisbane-based company said.

Last week, the company announced the well had tested 2.8 million cubic feet per day from one zone between depths of 135m and 150m. White Sands said the additional sandstone units appear to be contributing to an increasing total flow rate.

“These results, which exceed those of historic drilling, suggest more promise for the deeper zones than originally anticipated,” company secretary Ron Anderson said.

“On the results from the shallow testing, it appears that WSP Primero-1 is likely to be completed and suspended as a future gas production well.”

White Sands is now working to increase the hole to 14-inch diameter with an under-reamer, before running and cementing the 9 5/8 inch casing at 300m.

“Air drilling will continue below the casing point with the distinct possibility that more gas-bearing sands will be intersected between 300m and 500m in the Reid’s Dome beds,” Anderson said.

Drilling will then continue into the underlying Permian Cattle Creek formation to a planned total depth of 2700m. These rock units are also considered to be prospective for gas, and contained oil and gas shows when last penetrated in AOE-1, which was drilled in 1954.

If gas is present, the target Reid’s Dome beds have been interpreted to contain up to a potential 300 billion cubic feet of gas.

Participants in Primero-1 and PL 231 are Victoria Petroleum (40%), Dome Petroleum (40%) and operator White Sands Petroleum (20%).