Triangle, which operates the Cliff Head oil field located 10km off Western Australia's coast with a 78.75% stake having bought Roc Oil's remaining 42.5% in March, reported that production had been suspended after the oil leak was detected on Wednesday.

 

Triangle has been working with staff, contractors and the Department of Mines, Industry Regulation and Safety to repair the leak as soon as possible.

 

Managing director Rob Towner said staff detected the leak during a routine maintenance check of the onshore pipeline and we notified the appropriate authorities, and that production should restart today.

 

"Production will be reduced while the corroded section of the pipeline is replaced with injection water being redirected to our onshore Chows well," he said. 

 

"We expect to be back to maximum production by mid next week.

 

"I would like to thank our management team, staff and contractors for their assistance and professionalism in detecting and solving the onshore water pipeline leak, and we are pleased that full production will resume next week."

 

It's a rare glitch for the prized asset which has production upside with development and workover programs in place in what is still considered an underexplored basin.

 

Meanwhile Triangle also has a 40% interest in the Xanadu-1 oil discovery in the Perth Basin which is now confirmed as a Cliff Head analogue.

 

Arrowsmith is the only onshore processing plant in the Perth Basin with the capacity to service third-party crude, offering additional cash flow opportunities to Triangle.

 

Cliff Head is also the Perth Basin's only offshore platform in 15-20m of water depth, with production of 1166 barrels of oil per day on a year to date average.

 

Triangle was trading at 14c this morning.