The Apache-operated Fur Seal-1 well started drilling in 58 metres of water and will test a prospect defined by 3D seismic data between the Moonfish and Sunfish oil and gas discoveries.

Expected to be drilled to 2612 metres, the well will target the Intra Latrobe reservoir beds sub-cropping against a large Eocene submarine channel. The prospect has the potential to contain mean reserves of 29 million barrels of oil, said Nexus.

Nexus holds a 37.5% interest in Vic/P54, while operator Apache Energy has the remaining 62.5%.

Immediately after drilling Fur Seal-1 to total depth, the Ocean Patriot Drilling Rig will move to the Nexus-operated Culverin-1 well in permit Vic/P56.

This second well was intended to intersect both the Culverin prospect, containing a potential 97 million barrels of oil, and the Scimitar prospect, with 63 million barrels, vertically beneath it.

“The Fur Seal and Culverin/Scimitar drilling will be an exciting period and offers Nexus exposure to reserves potential in excess of 70 million barrels for its participating interest in the two wells,” said Nexus managing director Ian Tchacos.

Culverin-1 is expected to encounter the Top Latrobe reservoir in the Culverin prospect at a depth of 2910 metres and the Scimitar prospect in a series of stacked pay zones over an interval of at least 700 metres within the Intra Latrobe reservoir.

The well is expected to be drilled to at least 3612 metres and possibly deeper.

Culverin and Scimitar are close to several large oil fields and are on trend with existing discoveries at Blackback/Terakahi and Basker/Manta.

Participants in Vic/P56 are: Nexus Energy (Operator - 40%); Korea National Oil Corporation (30%); SCGAU Pty Ltd (a subsidiary of the Seoul City Gas – 20%) and Anzon Australia Ltd (10% - subject to raising funds in a share purchase plan.)