- 01Queensland-record 4,700m well reaches basement.
- 02Record gas shows; no flow rates or commerciality confirmed.
- 03Logging planned; Canyon North-2 targeted for Q4 2026.
Omega Oil & Gas (ASX: OMA) has brought gas to surface from its Canyon North-1 exploration well in Queensland’s Taroom Trough after drilling the deepest well recorded in the state.
The well reached 4,700 metres measured depth in basement, extending beyond its original target of approximately 4,000m to investigate the Muggleton Formation.
Gas entering the wellbore from unstimulated rock in that formation was separated from drilling fluid and safely flared at surface during operations.
The result represents Omega’s highest gas shows to date, although no flow rates have been measured and the flare does not establish future productivity or commercial viability.
Extended drilling increased the time required to complete Canyon North-1, but allowed the joint venture to penetrate the Muggleton interval before ending the well in basement.
Deeper Muggleton Potential
Canyon North-1 is the first well in the ATP 2081 joint venture, operated by Omega with a 45% interest alongside privately owned Tri-Star at 30% and Beach Energy (ASX: BPT) at 25%.
The partners elected to deepen the well after encouraging Muggleton results at Omega’s wholly owned Canyon-4 well and strong gas shows in the deeper Canyon North-1 intervals.
Drilling also encountered high gas shows within the Canyon Sandstone and Lower Kianga Formation, providing observations across several reservoir intervals rather than only the deeper Muggleton target.
Pressure observations were consistent with the high pore pressures previously identified at Canyon-1H, reinforcing the interpretation of a highly over-pressured reservoir system.
Logging Dataset Acquisition
Omega is preparing to acquire a comprehensive wireline logging dataset across the Permian sequence, including the Canyon Sandstone and Lower Kianga Formation.
The immediate operational priority is to manage wellbore gas levels sufficiently to permit safe logging and evaluation of the encountered intervals; however, if gas cannot be reduced to acceptable levels, the lower section will be plugged and the Muggleton Formation isolated before logging the other five regionally extensive reservoir levels.
The company plans to release its interpretation of Canyon North-1 after logging and evaluation are complete, with the current gas observations remaining separate from any future flow-test measurements.
“Gas influx at these levels from unstimulated rock, in a well this deep and this over-pressured, strengthens our conviction that the Taroom Trough hosts a very large, regionally extensive petroleum system,” managing director Trevor Brown said.
“The coming months are among the most important in Omega’s journey and we look forward to sharing the results.”
Extended Appraisal Campaign
Omega plans to move directly to Canyon North-2 after the current well, with that drilling targeted for the fourth quarter of 2026.
Core analysis is expected to feed geological assessments during late 2026 and early 2027, ahead of a targeted resource assessment upgrade in the first quarter of 2027.
Following Canyon North-2, the proposed program includes at least one and potentially two horizontal appraisal wells across Omega-operated acreage, subject to well results and joint venture approval.
Those wells could incorporate horizontal sections of up to 2,000m, with flow testing targeted for the first half of 2027 to assess performance beyond the gas shows observed during drilling.
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