Larner 2-12 has successfully completed perforating and testing of the primary gas interval and has recorded an initial production flow rate of 2.8 million cubic feet per day, the partners told the ASX today.

The 2-12 well tested the primary Forbes gas sand objective and flowed dry gas over an extended test period.

“The results of the Larner 2-12 well have exceeded pre-drill expectations at all levels,” Orchard executive chairman Steve Graves said.

“Firstly the gas pay zone of 46 feet (14m) was significantly greater than expectations - by over 100% - with a high net/gross ratio.

“Also, the gas flow rate was the highest recorded to date by Orchard, which should lead to a strong commercial result.”

Graves said the well would now enter commercial production using Orchard’s existing infrastructure, which includes a pipeline.

Livingstone executive director Craig Burton said the Larner 2-12 success had given the current Forbes exploration strategy a “large confidence boost” as the joint venture prepares for a new round of drilling this year.

“Livingstone is extremely pleased with having a major gas discovery at Larner 2-12, the first well drilled since it acquired its 50% interest in the Forbes project,” Burton said.

“The success at Larner 2-12 goes a long way in supporting the new technical assessments of our prospects in the area and the ability to identify potential gas targets.”

The Forbes joint venture will now start testing the Edge 1-10 well, which was drilled and completed late last year as part of a two well program with Larner 2-12.

Participants in Larner 2-12 are Orchard Petroleum (operator and 50%) and Livingstone Petroleum (50%).