Drillsearch director, Philip Kelso, said: "The Blacktip project will provide significant impetus for the development of the major near shore gas resources in the Bonaparte Gulf and spur further petroleum exploration and development in this exciting region.
"Blacktip, with associated infrastructure and its pipeline to Gove will be close to the Marina prospect, where we have assessed 710 bcf potential. Drillsearch Energy welcomes this announcement as it enhances the potential farm out value of its permits."
The Woodside Agreement is for the 20 year supply of natural gas from the 110 bcf Blacktip field to the Gove Alumina refinery in the Northern Territory, involving a $500 million investment by the partners.
The Marina prospect was delineated with offshore 2D seismic surveys completed in July, 2002. The development of the Blacktip gas project will upgrade the potential of Drillsearch's permits in the Bonaparte Gulf.
Drillsearch has also spudded the Extreme et al Worsley 5-5-87-6W6 well, located about 80kms west of the town of Peace River, Northern Alberta, Canada.
Originally due to spud around 3rd June 2003, drilling was delayed by bad weather and prior drilling commitments.
The well will test the Cretaceous Age Bluesky formation, which is gas productive in the area. If the well is successful, it will be followed by a further two exploration wells within the leases.
