The survey will help operator Beach Petroleum develop an appraisal and production program for the Gidgee oil prospect, from which an exploration well drilled in 1989 tested more than 1000 barrels per day.

But the discovery was abandoned by Santos during a period of low oil prices, when the well encountered production problems and follow-up drilling was disappointing.

The JV plans to drill a low-risk follow-up well to Gidgee-1 at the end of this year.

Beach holds an 85% interest in the ATP 633P, after Strike Oil previously farmed-in to earn a 15% stake.

Immediately after the 3D seismic program is completed, Beach plans to acquire a 2D seismic survey to identify further prospects for drilling.

Strike described the start of the seismic survey as a “major milestone” for the permit, which has taken eight years to be granted due to Native Title issues.

When the permit was granted last month, Strike said ATP 633P contained several large prospects in addition to Gidgee.

The main prospects in the permit are immediately south and up-dip of an oilfield complex, which is connected to the Jackson-to-Moonie oil pipeline. The Tickalara Oilfield within this complex reportedly contains more than 11 million bbls of recoverable oil, according to Strike.

The company said ATP 633P was its first area in the Cooper/Eromanga Basin to be awarded following resolution of Native Title issues.

Strike expects permits PELA71 and PELA96 will be awarded about mid-year, with seismic acquisition planned for the end of the year, to be followed by drilling in 2007.