"Mosaic's Permian strategy is one that has already proven to be successful in similar mining regions of the world, with companies in Canada currently recording considerable success after adopting the strategy of exploring in similar Permian sediments," said Mosaic boss, Dr Howard Brady.

"Our success ratio to date has been extremely high, with a small number of failures attributable to chasing river channel sands at depth."

Mosaic told the markets it plans to drill another well in the Churchie gasfield - discovered last year - and is currently being finalised by the technical team at Mosaic.