The Perth-based company said in May it would spend at least $US2.2 million ($A2.9 million) to have a 75% working interest in drilling the initial 13,000 foot (3962m) gas exploration well in Oyster Creek.

The well is designed to test the lower Frio formation next to the productive S. Angleton (Collins Lake) Field.

The company’s agreement with Kansas-based Slawson Exploration Company covers a 1700 acre group of leases over three separate fault compartments defined by good quality 3D seismic data, according to Antares.

Project potential varies between 4 and 20 billion cubic feet gas, depending on individual well outcomes. A shallow oil play also existing within the project area is estimated to contain 400,000 barrels of recoverable potential.

“These prospects are deemed to have fairly low geological risk and excellent reservoir deliverability,” Antares said.

“It is likely an additional well will be drilled if the first well comes in as predicted.”