Trading had been halted on Wednesday as the Calgary-based company revealed its success at the Katandra evaluation well, in which it as a 10% stake.

Shares in Avery gained 17.5 cents Canadian to close at 55 cents on the TSX Venture Exchange, representing a stock market value of about C$9.2 million, according to a Canadian Press report.

The Katandra drilling location is seismically defined with the nearest on-trend analog being the Jabiru Oilfield located 28km southeast. Jabiru has produced in excess of 100 million bbls of oil to date.

Earlier, Avery had said the well had a recoverable reserve potential of 102 million barrels of oil and potential production rates in excess of 15,000 barrels of oil per day.

The Katandra evaluation was drilled in 110 metres of water to a depth of 1,450m, encountering a seven metre column of 48 degree API oil in the Upper Vulcan formation at a depth of 1,369 metres. Data acquired in the 8.5-inch borehole indicates the oil column had an average porosity of about 22% and multi-Darcy permeability.

The rig has been released and operations have been completed. The well is classified as an oil discovery by the operator and major stakeholder, OMV Timor Sea Pty Ltd.

An initial evaluation is being conducted by the joint venture with respect to pool reserves, production capability and other technical data. The data gained by the drilling of Katandra will be used to further evaluate currently identified and future prospects within the 272 square kilometre ACP 24 licence area where Avery now holds a 10% interest.

"We are pleased with the initial Katandra results," said Avery Resources Chairman and CEO David Little. "The excellent reservoir quality and the high-grade light oil are favourable for the ongoing evaluation of the ACP 24 license."

Avery’s other Australian acreages are an oil and gas prospect in the Cooper Basin, Queensland and a natural gas prospect in the Darling Basin, NSW.