The Perth-based company said the Scott-2 well was the second well to be drilled on the Oyster Creek project in Brazoria County.

“This flow rate from a lower zone in Scott-2 is at the high end of expectations with the best sands in the well still to test after completion of the pipeline,” Antares managing director Howard McLaughlin said.

“We are now looking at the potential for further development wells on the Oyster Creek project.”

The first well, Harrizon-1, flowed between 4-6 million cubic feet per day and 100-300 bbls of condensate per day from two zones.

Scott-2 was drilled in the adjacent fault block to Harrison-1 to test a separate compartment. Further wells will be required to evaluate other targets within the project acreage, according to Antares.

Elsewhere in the state, Antares has signed a farm-in deal with operator Lighthouse Exploration to participate in the drilling of an 8000-foot well at the Castor prospect with a 50% interest.

Expected to spud in the next few months, the well will test a Yegua objective at the Gemini project in Wharton Country.

An additional nearby prospect named Pollux will likely be drilled if the first well is successful.

The Gemini project covers a 435-acre lease with the two gas prospects defined by seismic amplitude anomalies on good quality reprocessed 3D seismic. There are nearby producing Yegua wells with very similar seismic attributes.

Project potential varies between 5-15 billion cubic feet of gas, according to Antares.

“The Gemini opportunity is a low to moderate risk, near term drilling opportunity that further builds our growing portfolio of South Texas projects,” McLaughlin said.

“In the success case these prospects deliver a high rate of return and excellent revenues.”

Under the farm-in, Antares has agreed to spend at least $US850,000, which includes a payment of back-costs and a small carry for Lighthouse through the drilling of the first well.

Antares’ working interest reduces to 45% upon first sales.