Kiana-1 will spud on Saturday and target structures adjacent to the existing Lake Hope oil fields, containing an estimated 30 million barrels of in-situ oil, of which more than 16 million barrels has already been produced.

It will be closely followed by Tyringa-1 which will test a four-way closure situated on a structural high trend between the neighbouring Pintari North and Spencer oil fields.

Both wells are located in PEL 107 and considered to be low risk, relatively shallow oil targets designed to test the Eromanga Basin reservoirs.

They contain estimated recoverable oil potential of more than 1 million barrels each and are located near existing pipelines, meaning production can be brought onstream very quickly.

Great Artesian’s share of the drilling costs will be funded by Magellan Petroleum (Southern) under the terms of a farm-in agreement signed in July.

Beach Petroleum will be the operator.

Kianga and Tyringa are part of a five-well program planned for Great Artesian’s Cooper Basin interests.

Beach Petroleum has committed to fully fund the drilling of one of the wells, Middleton-1, in the neighbouring PEL 106 permit.

It will target oil and condensate traps in a more basin-ward setting relative to Beach’s successful Christies and Sellicks oil field discoveries in PEL 92.